WTI oil prices spiked on Monday and were trading at $60.50 a barrel, up by 10.37 percent after an attack on Saudi Arabian oil facilities over the weekend which halved the kingdom’s production. President Donald Trump said that the US was “locked and loaded” for a potential response to the attack. Trump also authorized the use of the US emergency oil stockpile to ensure stable supplies after the attack, which stifled 5 percent of the world’s production.
The Canadian dollar has strengthened, trading at 1.3240 against the greenback at time of writing. These recent gains were was mainly driven by the overnight jump in oil prices; the attack on Saudi Arabia’s key oil facilities has significantly raised tension in the Middle East.
US Secretary of State, Mike Pompeo, has accused Iran of being responsible for attacks on Saudi oil plants. Iran denies responsibility for the attacks and dismissed the US allegations as unacceptable and baseless.