• EUR/CAD remains silent as light volumes persist in the holiday-shortened week ahead of Christmas.
• ECB’s Lagarde said policy is in a good place, with rates to remain steady for an extended period.
• The commodity-linked CAD gains as Oil prices rise over potential supply disruptions.

EUR/CAD moves little after registering little gains in the previous session, hovering around 1.6160 during the early European hours on Monday. Volumes are expected to remain light as trading enters a holiday-shortened week ahead of Christmas.

The European Central Bank (ECB) kept its key policy rate on hold at 2.0% since June, and its latest pause last week also came with upgrades to growth and inflation forecasts. ECB President Christine Lagarde said that monetary policy is in a "good place" and rates will remain steady for a prolonged period.

The currency cross may come under pressure as the commodity-linked Canadian Dollar (CAD) draws support from rising Oil prices, given Canada’s status as the largest Oil exporter to the United States (US).

West Texas Intermediate (WTI) Oil trades near $57.00 per barrel at the time of writing. Crude Oil prices advance amid concerns over potential supply disruptions. Tensions between the US and Venezuela have escalated after the US reportedly pursued another vessel near Venezuelan waters following the seizure of two Oil tankers this month.

Meanwhile, traders remain focused on Eastern Europe, where Ukraine struck a Russian tanker in the Mediterranean Sea for the first time, after earlier attacks on Lukoil facilities in the Caspian Sea. On Sunday, US and Ukrainian officials said talks in Miami were “productive and constructive,” though no breakthrough was announced.