Hurricane Harvey, which continues to paralyze the city of Houston as well as many Texas Gulf Coast communities, remains the main topic of conversation. Considering the substantial concentration of refineries in the area (up to 30% of U.S. capacity could be affected, according to the most recent reports), the price of numerous refined petroleum products, including gasoline has climbed toward levels not seen in two years. Meanwhile, crude oil prices have retreated 2.21%. This may appear counterintuitive, however, the temporary closures of numerous refineries has a significant influence on demand for crude oil.
Our loonie mirrored the decline in crude oil yesterday, posting generalized losses. The U.S. dollar also lost ground against its major counterparts. The euro emerged the big winner yesterday, with the single currency trading this morning above the 1.2000 mark against the greenback, its highest level since December 2015.
Today, we’ll be keeping an eye on U.S. Consumer Confidence, which will be released at 10 a.m.
Julien Duquette
Range of the day: 1.2450 – 1.2515