TORONTO: The Canadian dollar has dropped as oil prices gave up ground, against its most major rivals in European deals.
American Petroleum Institute will release its weekly oil inventories data later in the day, while Energy Information Administration will come out with its official data. Crude for March delivery fell $0.91 to $52.63 a barrel.
Further continued worries about oversupply in the oil market pressured the oil prices. The US crude oil inventories have already reached a record high of 417.9 million barrels for the week ended February 6.
Possibility of oil disruption due to violence in Middle East and and falling US oil rig counts boosted oil prices yesterday.
The loonie declined to 1.2446 against the greenback from yesterday’s closing value of 1.2384. The next possible downside target for the loonie is seen around the 1.26 mark.
