September Nymex WTI futures are trading in positive territory Tuesday after posting their lowest close in a week. September WTI futures ended Monday’s session sharply lower, settling at $88.14 a barrel, a huge drop of 4.2% on the day as more adverse eurozone
headlines sent risk assets into deep negative territory across the board. Concerns surrounding high Spanish bond yields along with the news that troika would pay a visit to Greece set a huge negative tone for the day and sent WTI prices reeling for much of the session. Prices have staged a moderate recovery in Asia this morning amid an improved showing from the release of the HSBC flash PMI for China, which showed manufacturing output index hit a nine-month high at 51.2, although the headline reading was still below 50. The PMI suggests China manufacturing contracting, but at the slowest pace since February and the reading was not as bad as some of the lower end market expectation levels. WTI opened in Asia just below unchanged, and held at lows of $87.76 before turning positive to trade to $88.94, now seen at $88.70.
EasyForexNews Research Team