Investing.com – The U.S. dollar erased losses against its Canadian counterpart on Monday, as crude oil, Canada’s largest export, retreated amid concerns about the economic impact of Friday’s devastating earthquake and tsunami in Japan.
USD/CAD clawed back up from 0.9710, the daily low, to hit 0.9742 during European afternoon trade, easing up 0.12%.
The pair was likely to find support at 0.9667, last Wednesday’s low and a multi-year low and resistance at 0.9801, Friday’s high.
The 8.9 magnitude earthquake and tsunami that struck Japan's east coast on Friday resulted in the closure of refineries and ports in the world's third-largest oil consumer.
Earlier in the day, crude futures for delivery in April were trading at USD100.47 a barrel on the New York Mercantile Exchange, after peaking at USD101.10.
Crude futures had climbed steadily in February and early March as unrest in Libya cut off crude exports and sparked fear of similar situations developing in other oil-rich countries.
The loonie was also down against the euro, with EUR/CAD climbing 0.56% to hit 1.3604.
Also Monday, official data showed that Canada’s fourth-quarter industrial capacity utilization rate rose at the slowest pace in six quarters as gains in the oil and gas extraction industry were offset by the first decline in the manufacturing sector since the second quarter of 2009.
USD/CAD clawed back up from 0.9710, the daily low, to hit 0.9742 during European afternoon trade, easing up 0.12%.
The pair was likely to find support at 0.9667, last Wednesday’s low and a multi-year low and resistance at 0.9801, Friday’s high.
The 8.9 magnitude earthquake and tsunami that struck Japan's east coast on Friday resulted in the closure of refineries and ports in the world's third-largest oil consumer.
Earlier in the day, crude futures for delivery in April were trading at USD100.47 a barrel on the New York Mercantile Exchange, after peaking at USD101.10.
Crude futures had climbed steadily in February and early March as unrest in Libya cut off crude exports and sparked fear of similar situations developing in other oil-rich countries.
The loonie was also down against the euro, with EUR/CAD climbing 0.56% to hit 1.3604.
Also Monday, official data showed that Canada’s fourth-quarter industrial capacity utilization rate rose at the slowest pace in six quarters as gains in the oil and gas extraction industry were offset by the first decline in the manufacturing sector since the second quarter of 2009.