December NYMEX WTI prices are trading marginally lower Wednesday after posting some strong gains during the previous session. December WTI futures ended Tuesday’s session $3.06 higher at $88.71 a barrel, outperforming a strong Election Day jump in global equity markets, with many market participants surprised by the surge in oil prices. Some traders saw the rally as mainly technical driven after oil prices did not sustain levels below $85 a barrel during Monday’s session. In terms of supply, US crude inventories fell 27,000 barrels in the week ending November 2, according to the American Petroleum Institute’s weekly report released late on Tuesday, against expectations that crude stocks would be higher. Focus now turns to today’s Energy Information Administration (EIA) weekly oil data, due to be published today at 1530GMT. December WTI futures have advanced from session lows of $87.87 this morning, to trade an intra-day high of $88.60, with the market currently trading $88.48 a barrel, down 23 cents on the session.
EasyForexNews Research Team