RECENT DATA UPDATES
Oct 9 • Aug in-situ bitumen production by operator (AER data) ➜
Oct 9 • Aug total in-situ bitumen production (AER data) ➜
Oct 8 • Aug Cdn energy trade balance (imports/exports in $CAD) ➜
Oct 8 • Jul Cdn crude production by type (StatsCan data) ➜
Oct 8 • Jul Cdn crude oil trade balance (StatsCan data) ➜
MARKET INSIGHTS

US CRUDE SUPPLY AND ITS IMPACT ON OIL PRICES
The US shale boom tipped world oil markets into oversupply, causing prices to crash in 2015. OPEC output cuts have kept WTI above US$50, above breakeven for most shale producers, keeping oil prices lower for longer. As supply continues to outstrip demand, the implications are enormous for countries like Canada, who still have billions of barrels in the ground.


CRUDE DIFFERENTIALS EXPLAINED
Although oil prices largely rise and fall together, there can be significant differences between the benchmarks. Differentials are a function of crude oil quality, supply and demand fundamentals (marketability) and transportation costs to the final customer.


OIL PRICES EXPLAINED
Crude oil and petroleum products are globally traded commodities, whose prices are largely governed by supply and demand fundamentals. But global currencies, availability of money flow and market sentiment also play an important role.