# Why the loonie's bond with oil remains strong | Wealth Professional

> Manulife strategist Philip Petursson forecasts the loonie reaching US$0.77, with upside to US$0.79 over six to twelve months. He expects oil prices to rise and the US dollar index, which has fallen as much as 10% since March, to keep weakening.

- Date: 2020-08-24 · published 2020-08-24T12:00:00.000Z
- Category: macro · region Global · magnitude low
- Page: https://feedsoft.ai/events/51860-why-the-loonie-s-bond-with-oil-remains-strong-wealth-professional
- Commodities: [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md)

## Why it matters

The forecast points to a weaker US dollar and higher oil prices, which together support dollar-denominated commodity prices and raise energy-linked input costs for feed. It is an analyst view rather than a new supply or demand event.

## Read by commodity

- DXY: bearish ▼
- WTI: bullish ▲
- USDCAD: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| WTI | 2017-05-15 | [Why the loonie’s lows are behind us - The Globe and Mail](https://feedsoft.ai/events/71236-why-the-loonie-s-lows-are-behind-us-the-globe-and-mail.md) | +5.2% | -3.6% |
| WTI | 2018-01-02 | [Loonie starts the year on a tear, cracking 80 cents with a big boost from oil \| Financial Post](https://feedsoft.ai/events/67204-loonie-starts-the-year-on-a-tear-cracking-80-cents-with-a-big-boost-from-oil.md) | +2.1% | +6.9% |
| WTI | 2026-10-01 | [Rand weakens to three month low as stronger dollar and oil price weigh on South Africa](https://feedsoft.ai/events/17339-rand-weakens-to-three-month-low-as-stronger-dollar-and-oil-price-weigh-on-south.md) | -2.3% | +12.3% |
| WTI | 2017-11-15 | [The loonie is refusing to take its cue from oil - The Globe and Mail](https://feedsoft.ai/events/68197-the-loonie-is-refusing-to-take-its-cue-from-oil-the-globe-and-mail.md) | +2.1% | +1.6% |
| WTI | 2026-04-28 | [What’s happening with the rand?](https://feedsoft.ai/events/20005-what-s-happening-with-the-rand.md) | +10.1% | -2.4% |
| DXY | 2019-06-20 | [Why investors should prepare for a stronger loonie - The Globe and Mail](https://feedsoft.ai/events/58835-why-investors-should-prepare-for-a-stronger-loonie-the-globe-and-mail.md) | -1.1% | -0.8% |
| DXY | 2017-07-21 | [BOT:Stronger Thai baht is in line with regional currencies](https://feedsoft.ai/events/70246-bot-stronger-thai-baht-is-in-line-with-regional-currencies.md) | -0.0% | -0.1% |
| DXY | 2017-09-17 | [Strong outlook with low inflation spurs risk-taking](https://feedsoft.ai/events/69158-strong-outlook-with-low-inflation-spurs-risk-taking.md) | +0.4% | +2.1% |

## Sources

- wealthprofessional.ca: https://www.wealthprofessional.ca/news/industry-news/why-the-loonies-bond-with-oil-remains-strong/332620

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.