WTI plummets below $58.00, OPEC eyed

FXStreet (Edinburgh) - The barrel of the West Texas Intermediate is extending its downtrend on Thursday, testing daily lows in sub-$58.00 levels.

WTI attention to the OPEC meeting

Crude oil prices remain on the back footing during the second half of the week, as cautiousness prevails amongst market participants ahead of the key OPEC meeting due tomorrow in Vienna. According to prior surveys, concerns about a global supply glut would be far from over, as the cartel is expected to leave unchanged its current output around 30 million barrels per day.

In another direction, IMF Chief C.Largarde suggested the Fed to start its hiking cycle early next year, although crude oil prices practically ignored the comments, which could have been positive in a different scenario.

WTI key levels

The barrel of WTI is retreating 2.40% at $58.17 with the initial support at $57.83 (low Jun.4) ahead of $57.72 (low May 29) and then $56.51 (low May 28). On the upside, a break above $61.71 (high May 18) would expose $61.80 (high May 14) and finally $62.27 (high May 12).

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