19 Feb 2015
WTI Crude tanks more than 4.5%
FXStreet (Mumbai) - Crude prices in the US fell sharply as concerns of excess supply resurfaced after the data released by the American Petroleum Institute (API) late Wednesday showed supply continues to surge in the US.
API reports surge in inventory, market awaits EIA data
The API data showed crude stocks in the US rose by 14.3 million barrels last week, blowing past analysts' expectations for an increase of 3.2 million barrels. The sharp rise in the inventories brought back the concerns of excess supply at the center stage, which pushed the crude prices lower. The market now awaits confirmation from the US Energy Information Administration, which will release its weekly petroleum supply figures at 1600 GMT.
At the time of writing, WTI Crude futures for April delivery traded 4.75% lower at USD 50.31/barrel, compared to the previous session’s close at USD 52.82/barrel. Prices hit a low of USD 50.11/barrel before recovering to trade at USD 50.31.
WTI Crude Technical Levels
The immediate resistance is seen at 51.41, above which gains could be extended to 52.28 (Jan. 15th high). On the flip side, a break below psychological support at 50.00 could push the pair down to 48.93 (Feb. 11 low).
API reports surge in inventory, market awaits EIA data
The API data showed crude stocks in the US rose by 14.3 million barrels last week, blowing past analysts' expectations for an increase of 3.2 million barrels. The sharp rise in the inventories brought back the concerns of excess supply at the center stage, which pushed the crude prices lower. The market now awaits confirmation from the US Energy Information Administration, which will release its weekly petroleum supply figures at 1600 GMT.
At the time of writing, WTI Crude futures for April delivery traded 4.75% lower at USD 50.31/barrel, compared to the previous session’s close at USD 52.82/barrel. Prices hit a low of USD 50.11/barrel before recovering to trade at USD 50.31.
WTI Crude Technical Levels
The immediate resistance is seen at 51.41, above which gains could be extended to 52.28 (Jan. 15th high). On the flip side, a break below psychological support at 50.00 could push the pair down to 48.93 (Feb. 11 low).