Canadian Dollar Weakens as Crude Oils Decreases

The Canadian dollar slashed its previous gains as the crude oil fell for a sixth day in a row, on concerns that a longer global slump will damp demand for energy in the U.S., the main destination for Canada’s commodity exportation.

The Canadian currency reached a seven-week low against its U.S. counterpart as its attractiveness declined significantly on concerns that the global slump will be longer than expected, provoking a new wave of pessimism which brought investors to safer positions in the currency market, being the yen, this week’s best performing option so far. The crude oil, Canada’s main export to the U.S. was traded at near $60 in New York, the lowest level since May 26.

USD/CAD traded at 1.1663 as of 23:44 GMT after peaking at 1.1720 in today’s session and remaining stable in the intraday comparison