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26 Feb 2015
WTI Crude futures trade below USD 50/barrel
FXStreet (Mumbai) - The Crude prices fell below USD 50/barrel due to a broad based strength in the US dollar and concerns of supply glut.
WTI Crude: Strong US dollar weighs
The April futures fell below USD 50, tracking a sharp rise in the US dollar post the release of a mixed economic data in the US earlier today. The USD index now trades 0.96% higher at 95.13 levels. Meanwhile, the concerns of supply glut also weigh over prices. The US government's latest supply report released on Wednesday said crude inventories in the US rose last week to 434.1 million barrels, hitting a seasonal record high for the seventh week.
WTI futures currently trade at USD 49.83/barrel; down 2.18% for the day. Meanwhile, Brent futures are up 0.35% at USD 61.85/barrel. Brent prices are being supported by hopeful comments on the demand outlook by a growing number of OPEC officials. This week, Saudi oil minister Ali al-Naimi said demand was growing, while a Gulf OPEC delegate said it would rise more strongly in the second half of 2015.
WTI Crude Technical Levels
The immediate resistance is seen at 49.96 (hourly 100-MA), above which prices could rise to 51.12 (hourly 200-MA). On the other hand, support is seen at 49.39, under which losses could be extended to 48.88 levels.
WTI Crude: Strong US dollar weighs
The April futures fell below USD 50, tracking a sharp rise in the US dollar post the release of a mixed economic data in the US earlier today. The USD index now trades 0.96% higher at 95.13 levels. Meanwhile, the concerns of supply glut also weigh over prices. The US government's latest supply report released on Wednesday said crude inventories in the US rose last week to 434.1 million barrels, hitting a seasonal record high for the seventh week.
WTI futures currently trade at USD 49.83/barrel; down 2.18% for the day. Meanwhile, Brent futures are up 0.35% at USD 61.85/barrel. Brent prices are being supported by hopeful comments on the demand outlook by a growing number of OPEC officials. This week, Saudi oil minister Ali al-Naimi said demand was growing, while a Gulf OPEC delegate said it would rise more strongly in the second half of 2015.
WTI Crude Technical Levels
The immediate resistance is seen at 49.96 (hourly 100-MA), above which prices could rise to 51.12 (hourly 200-MA). On the other hand, support is seen at 49.39, under which losses could be extended to 48.88 levels.