Cenovus Energy Inc T.CVE

Canadian $ continues to Rocket up...How does this affect CVE

[RagingBull3]

if anything???? 

All just my opinion/view/thinking/wondering.

[Margin321]

The January 28,2021 guidance gives the sensitivity to the exchange rate.  The $C to $US  was 0.78 on that date. They stated that a 1 penny change increase resulted in $100 million a year decrease.  A one penny decrease resulted in a $100 a year increase. With the rate at .82 right now that would mean a $400 million loss since the results are reported in $C. It is a little

[RagingBull3]

Thank you Margin321.....  Valuable info...  Good to know and understand.   I'm sure it will help many here.    I assume That's the main purpose of these boards, to help each other understand and hopefully make money and not lose money. All just my opinion/view/thinking/understanding.

[RagingBull3]

Ya, I'm confused also.   If Canadian $ goes up 1 cent, what happens?   Increase or Decrease? Margin321, I assume the $100 is in Canadian $..... At the very top of the Guidance they say C$.... but you're saying a 1 cent increase in C$ means a loss of $100M, correct?    Again, thanks, hope this helps everyone. All just my opinion/view/thinking.

[RagingBull3]

I'll give it a stab in understanding..... US$/C$ = 0.78     if the rate INCREASE one cent to 0.79.....lets figure it out. 1 US$ / 1.2812C $ = 0.78 1 US$ / 1.265 C$ = 0.79 So rate increases when the C$ decreases.   But the Canadian $ been increasing which would make the Rate go smaller/decrease.    Based on the column under "Decrease"  that

[RagingBull3]

I think you are correct.....I think there's an error in the Guidance.   I think you are correct and that it should be $C/$US.    Just guessing. All just my opinion/view/thinking/guessing

[RagingBull3]

Note 4 says this.... "U.S. manufacturing capital and operating costs are reported in C$, but incurred in US$ and as such will be impacted by FX."   So if I understand expenses goes "down" when C$ goes up??? I don't know.....  I probably just confused both of us even more..LOL All just my opinion/view/thinking/trying.