Yesterday, price action in the crude complex was muted as geopolitical headlines were calm. There has been a shift in middle-east rhetoric towards cooperation and ceasefire. Throughout the conflict, the trade has been to fade ceasefire talks, but it’s important to recognize they are happening. Overnight, price action has been stronger. WTI Crude Oil futures rallied 1.27 to 68.43 (+1.82%) after reports surfaced that OPEC+ could delay oil output hikes again. This makes sense as the Saudis have shown a preponderance to balance the market and willingness to do so. While still an unconfirmed report, it’s a headline worth paying attention to. Provided via Bloomberg. Estimates for today’s EIA report are as follows [thousand bbls]: Crude Oil: +1,805. Gasoline: +600. Distillates: -973. Last night, the API report showed the following [thousand bbls]: Crude Oil: -600. Gasoline: -300. Distillates: -1,500. If today’s EIA report shows draws in all three categories like last night’s API report did, expect a moderately bullish price reaction.
WTI Crude Oil futures have made a significant attempt to break through key resistance levels. This rally is attributed to potential delays in OPEC+ output and anticipated inventory expectations.
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WTI Crude Oil prices are rallying due to potential delays in OPEC+ output and expectations surrounding inventory levels. It is important to note that trading advice provided reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder, and past performance is not necessarily indicative of future results.
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WTI Crude Oil experienced a rally due to potential delays in OPEC+ output and anticipated inventory levels.
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