USD index rises as America considers banning Russian oil import

Today's expected range for the Canadian Dollar against the major currencies:

US Dollar             1.2675-1.2775

Euro                     1.3775-1.3925

Sterling                1.6700-1.6850

USD.RUB (opening level) 121.03-(Ruble weakened off to a new all time low of 125.03 at one point overnight)

WTI (opening level) $123.25- (WTI Oil reached an overnight high of $127.53 on the news that the US is considering a ban on Russian oil imports)

The US Dollar index is again stronger this morning as safe haven flows continue to support the US Dollar. This morning it was the news that the US is considering a ban on Russian oil imports that has driven the price of oil higher and punished the Euro which is almost 1% lower to start the day. Stock markets around the world are considerably lower overnight and it looks like it will be another day of further weakness on North American markets which will drive further flows into the US Dollar.

The Canadian Dollar has not really showed any signs of strength from the high oil price but that being said it outperforming some of the other currencies. The Loonie remains flat against the US Dollar at the 1.2700 (0.7874) level but has picked up strength against the other currencies and in particular the Euro which is very weak.

Nothing of note on the economic calendar today, markets for the most part ignored the strong US February employment report that was released on Friday, the only items of concern to the markets now are the oil price, inflation and the war in Ukraine. We should be in for another volatile week.