The Canadian Dollar is still tracking oil prices quite closely. Last week it began against the US Dollar around 1.2690, moved to an intra-day high immediately after Friday’s CPI of 1.2811 and ended in New York at 1.2770. It opened in London this morning around 1.2783 and has traded in a 40 pip range from 1.2760 to 1.2800. NYMEX crude rallied sharply into the close on Friday, up over a dollar fifty from Tuesday’s low of $51.55 to end the week just 25 cents lower at $56.85. This morning in Europe it has slipped around 30 cents to $56.55 with Brent Crude 40 cents lower at $62.18. The Bank of Canada’s Autumn Review last week contained a very thorough examination of the factors behind the oil price decline since 2014. They conclude, “the most important drivers were the surprising growth of US shale oil production, the output decisions of the Organization of the Petroleum Exporting Countries and the weaker-than-expected global growth that followed the 2009 global financial crisis”. For the week ahead, Canadian wholesale sales numbers are out on Tuesday with retail sales published on Thursday when the rest of North America celebrates Thanksgiving. As Winter approaches in the Northern Hemisphere, keep a close eye on those oil prices.