The Canadian dollar strengthened Thursday as crude prices rallied more than 10% after a global equities surge and a slump in US oil inventories.

Oil prices settled at $42.56 a barrel. Also, the Energy Information Agency reported crude oil inventories slid by 5.5 million barrels in the week to August 21.

The loonie ended at 75.65 US cents from Wednesday’s 75.10 US cents.

Precisely, a lot of volatility, confusion, and uncertainty. It all began with China, “that’s kind of the elephant in the room,” said Rahim Madhavji, President at KnightsbridgeFX.com.

Investors have been turning to safety on apprehensions about sluggish growth in China.

The material has been provided by InstaForex Company – www.instaforex.com