8 Jul 2015
WTI challenges lows near $51.00
FXStreet (Edinburgh) - Crude oil prices are extending the downtrend on Wednesday, testing session lows in the vicinity of $51.00 ahead of the FOMC minutes.
WTI lower on China
The demand for West Texas Intermediate remains subdued today, as concerns regarding a potential slowdown in the Chinese economy keep hovering over markets.
The softer tone in the US dollar, renewed hopes of an agreement in the Greek front and an extension of the deadline in the Iran-Western powers nuclear talks failed to spark some buying interest around the black gold. In addition, the EIA has reported that crude oil inventories increased by 400,000 barrels during last week, although WTI just bypassed the data.
WTI levels to watch
At the moment WTI is retreating 2.24% at 51.16 with the next support at $50.58 (low Jul.7) followed by $49.47 (low Apr.6) and finally $48.11 (low Apr.2). On the other hand, a break above $56.78 (high Jul.3) would aim for $57.95 (high Jul.2) and then $58.98 (high Jul.1).
WTI lower on China
The demand for West Texas Intermediate remains subdued today, as concerns regarding a potential slowdown in the Chinese economy keep hovering over markets.
The softer tone in the US dollar, renewed hopes of an agreement in the Greek front and an extension of the deadline in the Iran-Western powers nuclear talks failed to spark some buying interest around the black gold. In addition, the EIA has reported that crude oil inventories increased by 400,000 barrels during last week, although WTI just bypassed the data.
WTI levels to watch
At the moment WTI is retreating 2.24% at 51.16 with the next support at $50.58 (low Jul.7) followed by $49.47 (low Apr.6) and finally $48.11 (low Apr.2). On the other hand, a break above $56.78 (high Jul.3) would aim for $57.95 (high Jul.2) and then $58.98 (high Jul.1).