Oil getting slaughtered, down 7%

WTI crude is now down $4 to $53.17 in an absolute rout. This is starting to look like the bottom collapsing.

The risk is that producers haven't yet started hedging and will now beginning selling in a panic move to preserve profitability.

Oil isn't alone. Natural gas is down 8.4%, nickel is down 1.6%, copper is down 1.3% and gold is down slightly despite the poor tone in markets.

USD/CAD continues to climb to new highs as the pain spreads. If there's any good news for Canada, it's that the Western Canada Select spread has narrowed $2.75 today.