Crude oil prices are starting the U.S. trading session in positive territory after giving up some ground yesterday. Since the announcement of the potential production freezing deal oil prices are starting to stabilize with the week to date level just slightly below last week’s closing level as of this writing.
It's the day after oil ministers from Saudi Arabia, Russia, Venezuela and Qatar agreed to freeze production, and--assuming they could get other countries to agree--it is now onto Iran to try and seal the deal.
Whether we like it or not, it appears as though crude oil is driving almost everything at the moment. It has been correlating positively with the equity markets, which makes sense because of oil’s obvious impact on the energy stocks. In forex, the likes of the CAD, NOK and RUB have all suffered big falls, which also make sense because of the fact Canada, Norway and Russia are among the oil exporting countries.