October Nymex WTI prices are trading marginally higher Wednesday after trading up to a three-month high during the previous session. October WTI futures ended Tuesday’s session 58 cents higher at $96.84 a barrel after printing as high as $97.85 shortly after the US equity markets opened. Continued Middle East tensions are keeping supply disruption concerns present in the market along with hopes that the ECB will take the necessary steps to rein in borrowing costs for Spain and Italy. In terms of supply, US crude stocks fell by more than expected last week, led by a sharp drop in West Coast crude inventories as imports dipped, according to data released by the API. Crude inventories fell by 6mln barrels in the week to Aug 17, compared with analysts’ expectations for a 400,000 barrel drawdown. October WTI slipped to session lows of $96.60 in Asia this morning before prices turned higher to trade an intra-day high of $97.01 a barrel, with the market now currently seen trading $96.79 a barrel, down 5 cents on the session.
EasyForexNews Research Team