October crude oil traded lower during the initial morning hours, hampered by modest easing in Chinese inflation and Industrial Production, uncertainty surrounding more US quantitative easing and a stronger US dollar. Some traders suggested that the market might be disappointed in the result of last night's address from President Obama and the new jobs plan. While Brent crude oil also came under a level of pressure this morning, it attracted support from concerns of tightening North Sea supplies. Meanwhile, October crude oil rallied in the wake of yesterday's EIA data that showed a larger than expected draw. EIA crude stocks fell 3.963 million barrels last week. The large decline in crude stocks widened the deficit compared to last year to 6.766 million barrels. Crude oil imports slumped considerably on the week, down 11.1% to 8.537 million barrels per day. The refinery operating rate came in at 89.0%, down 0.2% from last week.
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