By Masayuki Kitano
SINGAPORE (Reuters) – The dollar held steady versus a basket of major currencies on Wednesday, while the Canadian currency traded near a three-week peak, drawing support after oil prices climbed to 2-1/2 year highs.
The , which measures the greenback against a basket of six major rivals, was little changed at 93.300. ()
The Canadian dollar
Oil prices surged to 2-1/2 year highs on Tuesday, boosted by news of an explosion on a Libyan crude pipeline as well as voluntary OPEC-led supply cuts. [O/R]
Commodity-linked currencies such as the Canadian dollar are likely to gain support on the crude rally, although it remains unclear whether there will be a sustained rise in oil prices, said Stephen Innes, head of trading in Asia-Pacific for Oanda in Singapore.
“I think it’s going to lend support…to the oil-related currencies,” he said.
With many market participants on holiday ahead of the year-end, currency moves could be exaggerated by thin trading conditions, Innes added.
Moves among major currencies were modest with the U.S. dollar edging up 0.1 percent to 113.31 yen
edged up 0.9 percent to about $15,900 () on the Luxembourg-based Bitstamp exchange. That came after bitcoin bounced on Tuesday after sliding 25 percent last week, its biggest weekly drop since 2013.
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Published at Wed, 27 Dec 2017 01:50:33 +0000