- Barrel prices are continuing to move lower in broader markets as US crude oversupply takes hold.
- The global equities slide is seeing oil helped along the bearish path as investors flee riskier assets across the board.
Crude prices are bedding back down today after Thursday saw WTI peak at $67.60, and oil barrels are continuing their declining stance below a rapidly-declining 200-hour moving average.
US oversupply is back in the front-view for investors, helping to drive crude prices back down after barrels touched into multi-year highs recently on overstretched Iran fears. US crude stocks continue to climb, and according to market research firm Glenscape, Cushing crude stocks rose to 33 million barrels on Tuesday.
The recent rout in global equities has assisted in taking oil prices back down as well, with major indexes across the planet facing steep losses this week as investors begin to crack under US-China trade pressure, an overly-hawkish US Federal Reserve, Brexit negotiations that continue to spin their wheels in the dirt, and political unrest in Europe as Italy faces off with EU leaders over the Italian deficit-happy budget proposal.
WTI levels to watch
US crude oil has taken several extreme swings to the downside from early October’s peak of 77.00, and is testing back into late August’s bottoms of 64.50, with resistance building in from last week’s swing low into 68.50.
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