August Nymex WTI prices are trading in negative territory Tuesday as markets continue to position themselves for the likelihood that
nothing concrete will emerge from this week’s EU summit to address the balance of risk in Europe. WTI prices ended Monday’s session down 55 cents at $79.21 a barrel, posting the lowest close seen since June 21. Prices have now fallen around 23% this quarter, the biggest drop since the final three months of 2008. WTI prices remain pressured by risk aversion with the threat of additional downside still lurking if global economies continue to deteriorate. Prices have been in a fairly tight range in Asia this morning, reaching intra-day highs of $79.44 near the front end of the session. Since then prices have steadily declined to session lows of $78.86 in tandem with a sour risk theme in Asia and a moderate drop in FX pair EUR/USD. August Nymex WTI is currently trading $78.91 a barrel, down 30 cents from the NY close.
EasyForexNews Research Team