The continuing decline in the price of oil is bringing the value of the Canadian dollar down with it, as a barrel of oil plummeted to below $60 last week. The price of oil has not been this low since 2009, while the loonie has not reached this price in 5 and a half years.
The Canadian dollar fell to 86.72 cents on the US dollar, following the steep drop-off in oil prices since OPEC’s decision two weeks ago to maintain production levels at 30 million barrels per day.
West Texas intermediate crude fell one dollar to close at $59.95 a barrel after crumbling by $2 the day before. Brent crude is not far behind, selling for $63.59, a loss of 37 percent in the past three months.