Crude Oil Movement
Oil prices advanced 4.07% against the USD for the 24 hour period ending 23:00GMT, closing at 89.91, amid speculation that tropical storms would further impact oil production in the Gulf of Mexico and affect oil supplies.
A surge in equity markets post the ruling by Germany’s top court also buoyed oil prices.
Late yesterday, the American Petroleum Institute reported that crude oil inventories dropped 2.97 million barrels in the week ended September 2. Gasoline inventories fell 871,000 barrels, while supplies of distillates edged up 3.95 million barrels.
Additionally, the US Energy Information Administration (EIA) stated yesterday, that crude oil would cost refiners less than previously expected next year, citing sluggish economic growth. The EIA now expects US refiners would pay an average of $103 per barrel for crude in 2012, down from a previous forecast of $107 per barrel. It left its 2011 estimate unchanged at $100 per barrel.
At GMT 0300, Oil is trading at USD89.47 per barrel in the Asian session, 0.49% lower from 23:00GMT.
The pair has its first resistance at 91.08, followed by the next resistance at 92.69. On the other side, the first support is at 87.01, with the subsequent support at 84.55.
The pair is trading above its 20 Hr and its 50 Hr moving averages.
