I said it is the biggest behind the Arab countries so they produce less than the Arab countries. However CAD has to do less work to get their oil so it costs less for them to produce which is goo for them.
Looks like USD/CAD finally has a pulse…
Any ideas on the key resistance points? Looks like 1.0680-1.7?
Where do you get this idea? I don’t work in the oil industry but from what i have read the saudi pay about 1.50-2 usd to extract a barrel in canada every source i’m aware of is over 20usd. and back to my earlier comment that they have the largest reserves but it’s not that simple… most of canadas oil lies in tar sands which is extremely expensive to extract and some of which would not be profitable even at oil at these levels.
Middle east oil costs around $10 a barrel. Canada sand oil is more in the 40-50’s. Venezula oil is 20ish… I have an international business text book (even though my college days are well behind me!) at the office that I can list out each country’s price of oil. I’ll do that later today…
Looks like I got off the hook on USD/CAD. Sold 4/9ths of my position at 1.0696.
hey bogusrogus,
perhaps you could also clear up another dubious comment
I would have thought this would have been Russia not Canada?
My stay of execution has come through on USD/CAD… That took about a year off my life… Selling in scales on the way up through 1.0680-1.0740…
When I return to office on Monday I’ll post up the chart on oil drilling rpices per barrel per country. I’ve been a bit of a beach bum lately…
Canada is the most to the US. Russia is just the most overall.
looking forward to the post bogusrogus
Kevin,
I’m not too sure if it would matter if canadas oil ends up in the US or France. both would have an impact on usdcad. and it also seems that most petrodollars these days are being kept out of the domestic economies and in US denominated assets. Although if it costs 40usd a barrel to produce i’m sure that amount would have to move back