7 Jul 2015
Oil dips on strong USD
FXStreet (Mumbai) - Oil prices erased early gains to trade in the red as the USD strengthened on account of risk aversion due to Grexit fears and rout in Chinese stock markets.
Triple whammy
The commodities are suffering due to the triple whammy of Grexit fears, China stock market crash and the resulting strong USD.
WTI Crude is currently down 1.27% at USD 52.33/barrel, while Brent Crude is down 0.40% at USD 56.94/barrel. Oil prices came under pressure as the USD index strengthened 0.82% to trade above 97.00 levels. A stronger USD makes oil costly in non-dollar terms.
Meanwhile, investors keep a close eye on talks in Vienna over Tehran's nuclear program that could lead to increased exports of Iranian crude at a time of global oversupply.
Triple whammy
The commodities are suffering due to the triple whammy of Grexit fears, China stock market crash and the resulting strong USD.
WTI Crude is currently down 1.27% at USD 52.33/barrel, while Brent Crude is down 0.40% at USD 56.94/barrel. Oil prices came under pressure as the USD index strengthened 0.82% to trade above 97.00 levels. A stronger USD makes oil costly in non-dollar terms.
Meanwhile, investors keep a close eye on talks in Vienna over Tehran's nuclear program that could lead to increased exports of Iranian crude at a time of global oversupply.