The oil market is focused on the Energy Information Administration's weekly status report, due at 1030 am EST, looking for confirmation of Tuesday's American Petroleum Institute's survey showing a large 5.7mln-barrel build in nationwide crude stocks.
The crude build was well over the 2.5mln-to-3mln bbls range analysts had guessed it would be. API's report showed a drop of just under 800,000 bbls at the Cushing, Okla., delivery/storage hub (slower than recent weeks), and a 4.5mln bbls draw in gasoline stocks.
There will also be interest in the big CeraWeek annual industry gathering in Houston, which kicks off its third day with US energy secretary Rick Perry, who likely will be asked to address impact of possible trade war on the US oil sector; perhaps also the latest on potentially tightening US sanctions on Venezuela.
Later in the day, Perry is joined on a panel by his Canadian and Mexican counterparts, likely to address the rising tension in the trading relationship between the Nafta partners. The Japanese trade minister also turns up for a panel discussion.
Royal Dutch Shell chief Ben van Beurden will speak mid-morning in a day that also will consider developments in the global gas markets, including discussions with the heads of OMV, a mid-sized European major (that is controlled by Abu Dhabi's government) and Cheniere, the Louisiana-based company that has pioneered US seaborne gas exports.
Later in the day GM chief Mary Barra speaks, likely talking on the development of EVs
Crude futures have been tracking broader markets down on worries of a looming trade war. Also helping to ease oil prices is a slightly firmer dollar, with the DXY bouncing from 89.40 area but still more than 130 basis points down on late last week levels at 89.55.
WTI (APR) - $62.28/BBL; DOWN 32 CENTS; SESSION RANGE - $62.39 - $61.80
BRENT (MAY) - $65.52; DOWN 41 CENTS; SESSION RANGE - $65.61 - $64.87
WTI TECHNICALS
WTI Technicals
At $61.96, the resistances are aligned at $62.87 (4-day tops), $63 (round numbers) and $63.83 (classic R2/ Fib R3). On the flipside, the supports are located at $61.86/80 (5-DMA/ daily low), $61.50 (psychological levels) and $60.57 (100-DMA). (courtesy D. Mehta)
(First Oil reports are produced by MT Newswires' global team of oil reporters. This story is also disseminated in real time to energy industry professionals via the First Oil Chat service on the ICE Instant Message application.)
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
