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4 Jun 2015
WTI extends declines below $ 60
FXStreet (Mumbai) - WTI oil futures on the Nymex extended losses from the previous session and remain deep in red as traders remain nervous ahead of Friday’s OPEC meeting, shrugging off fifth straight weekly drop in crude stock piles.
Friday’s OPEC meeting eyed
Currently, WTI trades -0.65% lower at 59.23, hovering near fresh four day low above $ 59. Oil prices extend losses for the second straight session traders closely monitor comments from OPEC's key members crossing the wires before tomorrow’s key meeting.
Markets also ignored news that stockpiles in the US eased for the fifth straight week. Crude inventories in the US fell by 1.95 million barrels in the week to May 29, falling for the fifth week in a row, the Energy Information Administration said on Wednesday, but missing the 2.5 million barrel decline expected by the market.
Meanwhile, focus turns now to the OPEC meeting in Vienna, where the oil cartel is expected to keep its production target at 30 million bpd. However, comments from key members could influence the trading mood. OPEC's Secretariat will announce its production strategy on Friday.
Technical Levels
WTI oil has an immediate resistance which stands at 60 levels above which gains could be extended to 61.43 levels. Meanwhile, support is seen at 59 levels from here losses could be extended to 57.50 levels.
Friday’s OPEC meeting eyed
Currently, WTI trades -0.65% lower at 59.23, hovering near fresh four day low above $ 59. Oil prices extend losses for the second straight session traders closely monitor comments from OPEC's key members crossing the wires before tomorrow’s key meeting.
Markets also ignored news that stockpiles in the US eased for the fifth straight week. Crude inventories in the US fell by 1.95 million barrels in the week to May 29, falling for the fifth week in a row, the Energy Information Administration said on Wednesday, but missing the 2.5 million barrel decline expected by the market.
Meanwhile, focus turns now to the OPEC meeting in Vienna, where the oil cartel is expected to keep its production target at 30 million bpd. However, comments from key members could influence the trading mood. OPEC's Secretariat will announce its production strategy on Friday.
Technical Levels
WTI oil has an immediate resistance which stands at 60 levels above which gains could be extended to 61.43 levels. Meanwhile, support is seen at 59 levels from here losses could be extended to 57.50 levels.