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Canada Struggling as Oil Prices Grind Lower

Wells Fargo Economics Group Special Commentary

8 January 2016

There was a period this autumn when oil prices were beginning to stabilize at a less-depressed level. For the three-month period of September through November, the price of a barrel of WTI oil averaged $44.95. On that basis, prospects for the Canadian economy were brighter than they are today, with oil prices this week trading in the low $30s—prices last seen in 2004.

Not all the news in Canada is negative. This week also brought news that the trade deficit narrowed more than expected. Increasing demand from the United States should continue to underpin Canadian exports in the months and quarters ahead.

Read the complete commentary here:  canada-struggling-20160108

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