Pages

Tuesday, 12 June 2012

2012.06.12 14:41:15 MARKET TALK: Lower Oil, Weaker Growth Mean USD/CAD Above Parity -Scotia

8:40 EDT - Oil prices, a key driver of USD/CAD, have dropped a
"shocking" 24% since their April highs, says Scotiabank. "The softness
is on the back of global growth concerns, but also on Saudi's oil
ministers comments that OPEC needs higher output limits and the US
exemptions on Iranian oil, all leading into the OPEC meetings," it
says. "On the back of a softer growth outlook, weaker oil and risk
aversion that is elevated, USD/CAD is likely to remain above parity in
the near-term," it says. Early Tues, pair down 0.3% on day at 1.0286,
according to CQG. (don.curren@dowjones.com)



(END) Dow Jones Newswires

June 12, 2012 08:41 ET (12:41 GMT)

No comments:

Post a Comment