- Crude oil prices eased from tops above $60.00.
- Prices of the WTI remain volatile below the $60 mark.
- US crude oil supplies rose more than estimated last week.
Prices of the WTI keep the daily range today below the $60.00 mark per barrel after the EIA reported a larger-than-expected build in US oil stockpiles on the week ended on March 22.
WTI struggles below $60.00/bbl
Prices of the barrel of West Texas Intermediate are looking for direction after US crude oil supplies unexpectedly went up by 2.8M barrels during last week.
In addition, Weekly Distillate Stocks shrunk by 2.075M barrels and Gasoline supplies dropped by 2.883M barrels, bettering forecasts.
Further out, inventories at Cushing increased by 0.541M barrels, reversing last week’s 0.468M barrels drop.
In the meantime, crude oil keeps looking to supply side conditions for extra support although rising concerns over a global slowdown and its impact on crude oil demand carry the potential to sap the sentiment among oil bulls.wti
Moving forward, driller Baker Hughes will publish its weekly report on the US oil rig count on Friday.
What to look for around WTI
Crude oil has managed to advance further north of the critical $60.00 mark per barrel earlier in the week, clinching at the same time fresh yearly highs in levels last seen in November 2018. Following the up move, the underlying bullish view in crude oil remains well in place on the back of the so-called ‘Saudi put’, tight conditions in the US markets (amidst US net imports in historic low levels and the rising activity in refiners ahead of the summer session), the current OPEC+ agreement to cut oil output and ongoing US sanctions against Iranian and Venezuelan crude oil exports. In addition, speculative longs continue to flow into the markets, reversing the downside that prevailed in late 2018. Further out, the OPEC+ could announce an extension of the current agreement to curb oil production at the cartel’s meeting in June.
WTI significant levels
At the moment the barrel of WTI is down 0.30% at $59.56 and a breakout of $60.11 (2019 high Mar.26) would open the door for $61.71 (200-day SMA) and then $63.74 (61.8% Fibo of the October-December drop). On the other hand, the next down barrier aligns at $57.91 (low Mar.25) seconded by $57.74 (21-day SMA) and finally $54.37 (low Mar.8).
Share
