Oil rises 1.15% to $58.64 on Russia peace talks, impacting commodity FX

Crude oil advanced 1.15% ($0.68) to settle at $58.64, with the session ranging between $58.28 and $59.67. The rally was primarily driven by optimism surrounding potential U.S.-brokered peace negotiations involving Russia, with reports indicating Envoy Witkopf and Jared Kushner's involvement in diplomatic efforts. This development has significant implications for commodity-linked currencies, particularly CAD/USD and USD/RUB, as oil price movements directly influence their valuations. The Canadian dollar typically strengthens against the USD when oil prices rise, given Canada's substantial energy exports. Similarly, the Russian ruble could see support if geopolitical tensions ease. Traders should monitor the 60.00 psychological resistance level for crude, as a break above could trigger further commodity currency strength. The peace talks' progress will likely create volatility in energy markets and related forex pairs throughout the week.