| News | |
| Previous | |
| Forecast | |
| Analysis | Crude oil lowered pared its earlier losses on Wednesday trading after the release better-than-expected EIA report and U.S. reports which offset the negativity stemming from worries stemming from the escalating European debt crisis. Oil for November delivery is currently trading around $78.55 a barrel after recording a high of $78.76 and a low of $76.93. As of 14:30 GMT, the EIA report showed that U.S commercial crude oil inventories decreased by 4.7 million barrels from the previous week. At 336.3 million barrels, U.S. crude oil inventories are above the upper limit of the average range for this time of year. Total motor gasoline inventories decreased by 1.1 million barrels last week and are above the upper limit of the average range. By extension, finished gasoline inventories increased and blending components inventories decreased last week. Distillate fuel inventories decreased by 0.7 million barrels last week and are in the upper limit of the average range for this time of year. Moreover, Data from the U.S. showed improvement as jobs report showed that U.S. companies added 91,000 jobs in September compared with both revised and expectations of 89,000 and 75,000, where expectations are showing that the awaited non-farm payrolls due tomorrow will witness an improvement in September. ISM non-manufacturing composite, on the other hand, showed a widening expansion to 53.0 in September compared with 53.3 recorded in August. In general, the jittery sentiment affected by the European debt crisis is still predominant and directing investor's behavior, thus oil may still face some downside pressure. Today, Moody’s rating agency downgraded the Italian government bonds’ rating by three notches to A2 from Aa2 with negative outlook due to rising risks for euro-area sovereigns. In the FOREX market, the dollar showed some advance as the worries in markets gave support to the dollar as a safe haven. The dollar index, which tracks the dollar movements versus a basket of major currencies, is currently moving near the day's opening level at 79.05 after touching a high 79.59 of and a low of 78.82. |
To ensure you receive such e-mails in the future, please add ecPulse.com to your list of approved senders.
No comments:
Post a Comment