USD/CAD rises as oil prices spike on Gulf of Oman ship fires

Oil prices surged following reports of three ships on fire in the Gulf of Oman near the strategic Strait of Hormuz, with Brent crude jumping from $73.70 to $74.60, representing a 1.2% gain. This geopolitical incident has heightened supply concerns as approximately 21% of global petroleum passes through the Strait of Hormuz. The oil price spike is providing support to commodity currencies, particularly CAD, though USD/CAD remains elevated due to broader dollar strength. NOK and RUB are also benefiting from the energy price movement. Technical indicators show Brent testing resistance at $75.00, with momentum building for a potential breakout. Traders should monitor developments in the region as any escalation could drive oil prices significantly higher, strengthening commodity currencies against majors. The incident adds another layer of complexity to forex markets already navigating central bank policy divergences.