Nymex March WTI crude prices headed lower yesterday as traders focussed on the weekly inventory data from the EIA. The report showed an above analysts build of 4.18 mmbls of crude against expectations of around 2.5-3 mmbls, the rise seen on the back of cheaper Canadian imports and a fall in refinery utilizations. The result was a turn around from highs of $99.49 to $98.10 before bouncing back towards $99.00. The earlier slump then later gathered pace as traders digested the EIA data and concentrated on the more global excess supply, with a further fall to $97.11 before a recovery into the session close at $97.61. Asian markets this morning have been relatively quiet, with the contract trading through a $97.29-69 range ahead of the European open. Today’s support is seen at $96.55 and $95.49 with resistance at $98.10 and $98.67.
EasyForexNews Research Team