After my post last night got me reading Budget 1980 and the National Energy Program, I stumbled upon something completely fascinating: the hated National Energy Program proposed an indexed price for synthetic crude from oil sands projects which, had it been followed until today, would have been above
the Canadian dollar price of WTI in -LSB-...]
The Canadian dollars price activity usually follows the same trend because the United dollar tend to follow similar trends, so this could be a reduced risk solution to consider when investing.
Not exact matches
Crude oil
prices in
Canadian dollars for Brent (North Sea, UK), West Texas Intermediate (Cushing, OK, USA), and Edmonton Par.
The report blamed the
Canadian dollar's appreciation, which eroded
price competitiveness, «as well as the rapid growth in emerging markets as a tourist destination.»
Later, in a response to a question on why the
Canadian dollar remains buoyant despite so many negatives, the governor said
Canadian asset
prices tend to track what's happening in the U.S. because, historically, when the American economy grows, the
Canadian economy grows with it.
Raising rates while the Federal Reserve in the U.S. keeps printing money will send the
Canadian dollar higher, increasing the
price of exports and hurting the profitability of manufacturers.
Vallée's advice: sell the
Canadian dollar now while it's hot, and then buy it back at a cheaper
price before it goes even higher.
As long as production levels stay high, the outlook for oil
prices will remain weak, as will the
Canadian dollar, the TSX and the job prospects for those in Alberta and Newfoundland and Labrador.»
Since last year, the near - term
price of WTI crude, in
Canadian dollars, has dropped by almost $ 25 per barrel, and the long - term futures
price by $ 10, when you take into account futures market
prices for
Canadian dollars as well.
The future viability of oil sands projects depends not just on your view of world oil
prices — it depends just as much on how these factors evolve, in particular discounts to
Canadian heavy products and the
Canadian dollar.
This puts deflationary pressure on
prices in Canada, since imports are relatively less expensive when
priced in
Canadian dollars.
First, I want to look at how the changes not just in oil
prices, but also changes in diluent costs, discounts for oil sands crude relative to light crude and, in particular, the fall of the
Canadian dollar have changed the outlook for new oil sands projects — for those under construction, and for those currently operating.
Suppose the
Canadian dollar rises, causing
Canadian prices (in
Canadian dollars) to rise above U.S.
prices (in U.S.
dollars).
If you're talking about a new project with no significant investment already deployed, building a new mine if you expect today's
prices to hold in the long term is a tough call — a 50 - year oil sands project is a lot of risk for less than a 10 % rate of return — but even there, you can see the impact of the lower
Canadian dollar and the hedge provided by a royalty regime which lowers rates when
prices are low.
Canadians have benefited a great deal from the increase in the
Canadian dollar, even if they are not seeing lower
prices at the register.
Canadian companies, which sell oil
priced in U.S.
dollars but pay costs in loonies, will also benefit from a rising greenback and, ultimately, that more resilient heavy oil
price, adds Stelmach.
The pipeline or any other way to bring Western
Canadian Crude to Tex refiners would speed up oil extraction in Alberta and increase world supplies, which would bring down oil
prices for all Americans, by about a
dollar a barrel according to Levi.
Oil
prices have traditionally been a key driver of the
Canadian dollar.
Ruined vacation plans, higher cauliflower costs, egregious gas
prices — the collapse of the
Canadian dollar is taking a toll on consumers.
In addition, the correlation between oil and the
Canadian dollar has weakened over the past three years, suggesting that recent
price swings in oil haven't been of great enough magnitude to materially influence the loonie.
That's because oil
prices have stabilized, and also because traders appear to assume a stronger U.S.
dollar means the
Canadian currency should be stronger too.
«The value of the
Canadian dollar and the
price of oil, one of the nation's top exports, have both tumbled to near record lows,» the billionaire and former three - term mayor of New York wrote ahead of Trudeau's arrival for town - hall event on live television.
The low
Canadian dollar used to be the main culprit in higher book
prices, but lately the difference is more likely due to the influence of
Canadian copyright rules, which grant
Canadian distributors exclusivity — and allow them to add up to 10 % to the
price of U.S. books.
The final sale
price is expected to be well north of a billion
dollars, which would make it the largest real estate transaction in
Canadian history — possibly double the previous record of $ 618 million that CIBC fetched in 2000 for its Commerce Court complex in Toronto.
And it said it planned on lowering the
prices of more items to about $ 1 as it also answers the expansion by
Canadian dollar store operator Dollarama Inc. (TSX: DOL).
Said Poloz: «That comparative advantage has been strengthened by the decline in the
Canadian dollar in the past couple of years — a symptom of falling resource
prices, and a facilitator of the rotation of growth from resource production to other sectors.»
Although the stock is undervalued compared to
Canadian telecoms, the
dollar price isn't cheap.
That advantage is erased now that the
dollar is near parity, and since there has been little attempt to differentiate
Canadian lobster beyond
price, Americans have little incentive to buy it.
The crudest version of this story says that Ottawa should increase spending as a direct response to the fall in oil
prices and the resulting depreciation of the
Canadian dollar.
SAINT ANDREWS, N.B. — Even with the
Canadian dollar and energy
prices at rock - bottom levels, Prime Minister Justin Trudeau remains convinced that his long - promised, big - budget infrastructure investment will be the answer to all short - and long - term ills.
If you're talking about a new project with no significant investment already deployed, building a new mine if you expect today's
prices to hold in the long term is a tough call — a 50 year oil sands project is a lot of risk for less than a 10 per cent rate of return — but even there, you can see the impact of the lower
Canadian dollar and the hedge provided by a royalty regime which lowers rates when
prices are low.
The combined effects of drought in California and the falling
Canadian dollar have caused the
price of cauliflower to triple since the fall.
However, the
Canadian dollar is expected to see minimal benefit from higher oil
prices: a U.S. Federal Reserve interest rate hike is likely in the first half of 2017, which would bolster the U.S.
dollar, while the Bank of Canada is expected to hold steady on rates.
Total CPI inflation remains near the bottom of the Bank's target range as the disinflationary effects of economic slack and low consumer energy
prices are only partially offset by the inflationary impact of the lower
Canadian dollar on the
prices of imported goods.
High loonie due to petrodollar effect = > loss of profit margin due to decline in final US selling
price wrt
Canadian dollar costs = > layoffs = > Dutch Disease.
Global economic forces — the sharp movement of commodity
prices; the Great Recession and the lacklustre global economy in its aftermath; and, for much of the past decade, a strong
Canadian dollar — battered many of our export industries and splintered their supply chains.
Peter Kent: Carbon
pricing in any form is a carbon tax, because to be a realistic
dollar figure, it would get
Canadians at the gas pump for example, and right across the economy, but at the gas pump, it would get us to where Europeans are.
While most survey respondents cited elevated imported raw material costs, some firms commented on successful
price negotiations following the recent strengthening of the
Canadian dollar.
Briefing highlights
* Politics and Hydro One
* Bombardier sells Downsview
* Global markets mixed so far
* New York futures up
* Canadian dollar about 78 cents
* Toronto home prices slip
* What to watch for today
Roughly since [1906], Ontario has been embroiled in politics with the electricity sector — ...
And that's the point, really: that increased demand for the
Canadian dollar affects other industries precisely because it makes the REAL
price of
Canadian goods higher relative to the same goods produced in other countries, not just nominal
price.
On the other side of the ledger, the decline in the
Canadian dollar has raised the
price of a wide range of imports.
The coincident strength of commodity
prices and the
Canadian dollar in recent years has been treated by some as prima facie evidence of Dutch Disease in Canada.
The former because it allows for a case in which a modest increase in demand leads to a large increase in
price, and the latter because it would lead investors to hedge by moving themselves into
Canadian dollars (more than they would otherwise) to protect against high oil
prices.
Contrary to popular belief, commodity
prices are not the best predictor of the future exchange rate for the
Canadian dollar, according to new research from the C.D. Howe Institute.
The Star's Ellen Roseman reported Wednesday that some
Canadian mobile phone users have come home to unexpected bills amounting to hundreds of
dollars due to complex
pricing and lack of information.
This means that Western
Canadian Select, currently trading at 37.27, is already below that much - hyped $ 40 mark, and while Brent oil
prices fell nearly 50 cents on Thursday, Qatar's Marine blend was up by a
dollar.
This was driven by a spike in international visitors thanks to lower fuel
prices, the lower
Canadian dollar, and more direct flights to Vancouver International Airport.
Signs of global economic turmoil are being seen from falling stock market and crude oil
prices to the weakest
Canadian dollar since 2004.
The international demand for
Canadian dollars appears to have broken from its traditional link to oil and other commodity
prices, the central bank said.
Last week the Governor of the Bank of Canada, Stephen Poloz, warned
Canadians that they should get used to a low
dollar, since this was a normal and, indeed, the necessary response to a global reduction in oil and commodity
prices.