June Nymex WTI crude oil prices have slipped lower during Asian trading hours Friday, after OPEC members pumped above the group’s target for the month of April. Prices were already heading lower before the Asian opening moving in tandem with a general risk move lower following the JP Morgan announcement on the NY close that the bank had taken a
substantial $2bln loss on a synthetic derivative position. WTI hit $96.13 a barrel before prices recovered to around $96.42. The market then slipped to a session low of around $95.78 a barrel with June WTI now trading $96.21 down 87 cents on the session. The negative bias in oil remains after OPEC said that it was pumping enough oil to keep world markets more than satisfied, and added that oil prices had been high largely due to geopolitical risk. The group said its own production had risen in April to 31.62mln barrels per day (bpd) as Iraq ramped up and Libya’s oil industry recovered. WTI prices still look vulnerable Friday as political slowburn and the JP Morgan news looks to keep risk assets on edge.
EasyForexNews Research Team