Canada’s dollar drops on crude oil inventory draw

The USD/CAD pair is trading in the 1.31s during the US session. The Canadian dollar wavers after data shows a lower-than-estimated crude oil inventory draw, reflecting weaker demand. The US dollar holds up surprisingly well despite lower-than-expected US housing data.

Canada’s dollar trades lower against its US counterpart after crude oil prices give up their gains on the back of US data showing a lower-than-expected Oil Inventory Draw.

US Building Permits and Housing Starts data came out lower-than-expected which ought to have weighed on USD and benefited CAD, but had the opposite effect.

The Canadian Dollar edges lower after Crude Oil prices give up gains on the back of US Oil inventory data from the Energy Information Administration (EIA), showing a lower-than-forecast draw on US inventories.

EIA Crude OIl Stocks Change in the week ending July 14, came in at -0.708M against analyst’s estimates of 2.44M and a gain of 5.946M in the week before. This suggests lower-than-expected demand for Crude Oil, which falls after the news.