Commodity currencies unaffected by oil

High volatility is setting the tone on the oil market amid the US dollar advance. Crude oil lost ground following the closely watched oil rig count from Baker Hughes. The industry group reported that last week the US oil rig count rose by 3 to 428, an eight-month high. Meanwhile, traders have shifted focus away from the weak statistics on the US labor market. Oil has reversed upward as investors are anticipating the OPEC meeting scheduled for November 30 in Vienna, where major oil producers could ratify the output freeze deal. Oil traders voice concern over the aftermath of hurricane Matthew which could deal a devastating blow to the US oil drillers. Interestingly, commodity currencies are showing a strong resilience to the solid US dollar. Today, the Canadian dollar is ready to meet the challenge. The USD/CAD pair fell sharply on Friday following the downbeat US nonfarm payrolls while traders cheered reports on Canada’s labor market. This enabled the loonie to stand the pressure from its counterpart. Today, demand for the Canadian dollar is being supported by a televised debate of the two contenders for the US presidency. Donald Trump is losing favor with voters as he is calling for a termination of the trade partnership with Canada and Mexico. The Russian ruble is not going to give in to the US dollar. The dollar/ruble pair is hovering around a yearly low. Today, the pair corrected and is trading at 62.40. Analysts spotted strong resistance at 62.50. The energy summit gets underway in Istanbul. Russia’s President Vladimir Putin and Energy Minister Alexander Novak are going to take part in the conference. Their comments could make a serious impact on the oil dynamic and the Russian ruble. https://www.instaforex.com

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