Crude Oil Updates - Evening Round Up

Currently, oil prices are trading slightly higher at around 83.48 but at MCX futures oil is trading flat at 3689. There is a slight deviation between two exchange's oil future prices due to domestic currency Indian rupee appreciation. Moreover, the gains have been slightly eroded from its day's high. This is because of profit booking situation in European equity markets. This is also important to look at that, in the morning oil prices were trading higher mostly taking cues from negative API inventory figure. Now the prices are trading with a marginal change and waiting for DOE inventory data. Any substantial change in inventory figures may have an impact on prices. Though, we are not betting on inventory figures. US equity market traded firm on yesterday and some profit booking can be observed on today’s trading session however, losses are likely to be limited and this may support oil to move higher. Meanwhile, the important supporting factor is US dollar. The dollar index is trading lower and likely to correct further expecting weaker economic data. Overall, oil prices may primarily trade lower in U.S market and later on likely to recover.

Posted in: Crude Oil Tips,MCX Crude Oil