West Texas Intermediate fell by the most in three days, dropping from a one-week high reached yesterday after U.S. crude inventories shrank for the first time since March. Brent declined in London amid signs that tension in Ukraine may recede.
Futures fell as much as 0.6 percent in New York after rising 1.3 percent yesterday. Crude stockpiles fell by 1.78 million barrels last week as supplies at Cushing, Oklahoma, the delivery point for WTI, dropped to the lowest level since December 2008, the U.S. Energy Information Administration reported. Russian President Vladimir Putin called on separatists in Ukraine to postpone a vote for autonomy and said he pulled troops from the country’s border after weeks of tension.
“There was a big surprise yesterday with the drop in crude oil inventories that prompted support for prices, so today it looks as though there is a bit of profit-taking,” Myrto Sokou, senior research analyst at Sucden Financial Ltd. in London, said by phone.
WTI for June delivery fell 52 cents to $100.25 a barrel on the New York Mercantile Exchange, at 1:33 p.m. London time. The contract gained $1.27 to $100.77 yesterday, the highest close since April 29. The volume of all futures traded was about 17 percent below the 100-day average for the time of day. Prices have advanced 1.8 percent this year.
via Bloomberg
Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.
Alfonso Esparza
trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Latest posts by Alfonso Esparza (see all)
- Market Rally Still Going Low Holiday Volumes Awaiting Start of 2020 - 27 December 2019
- Market Awaits China Retaliation on Trade - 29 November 2019
- Alibaba to Close Order Book Ahead of Huge IPO - 18 November 2019