OIL Market Update
17 Jun 2026 • 00:45 GMT
Oil prices have surged past $97 per barrel, reaching the highest levels in over three and a half years. The recent rise is mainly driven by disruptions in Middle East oil production and shipping, especially concerns over the Strait of Hormuz, a vital route for global supplies. Tensions in the region have intensified with ongoing conflicts, raising fears that supply could remain constrained.
This increase in oil prices supports stronger currencies for key oil-exporting nations like Canada’s CAD and Russia’s RUB. For instance, the CAD is near 14-day highs against the USD, though it remains slightly below its recent 3-month average. Meanwhile, currencies of countries heavily reliant on oil imports could be affected by the rising energy costs.
The volatile environment and supply concerns mean oil could continue climbing, possibly reaching $120 per barrel if disruptions persist. This tension adds to inflation pressures worldwide, impacting currency stability. Traders should stay alert to geopolitical news and changes in oil supply, as these factors can quickly influence currency movements in the coming days.