Crude Oil Movement
On Friday, Oil prices declined 0.20% against the USD for the 24 hour period ending 23:00GMT, closing at 93.36.
The International Energy Agency (IEA), in its monthly Oil Market Report nudged down its 2013 oil demand growth forecast by 0.40 million barrels per day (mbd) to 90.50 mbd from the earlier 90.90 mbd, citing sluggish economic growth.
Over the weekend, Iraq’s energy official stated that Iraq’s oil output now stands at 3.2 million barrels per day, outpacing neighboring Iran to become the second-biggest producer in Organisation of Petroleum Exporting Countries (OPEC).
In the Asian session, at GMT0300, Crude Oil is trading at 93.60, 0.26% higher from Friday’s close, on renewed fears of supply disruption as Israel’s latest comments on stopping Iran from proceeding with a disputed nuclear programme stoked tension in the region.
Israel’s Prime Minister, Benjamin Netanyahu said on Sunday that most threats to Israel’s security were “dwarfed” by the prospect of Iran obtaining nuclear weaponry.
Crude oil is expected to find support at 92.29, and a fall through could take it to the next support level of 90.99. Crude oil is expected to find its first resistance at 94.32, and a rise through could take it to the next resistance level of 95.05.
Crude oil is trading just above its 20 Hr and 50 Hr moving averages.
