Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

U.S. oil futures turn lower ahead of API supply report

Published 07/22/2014, 10:43 AM
Updated 07/22/2014, 10:43 AM
U.S. oil turns lower ahead of API supply data

U.S. oil turns lower ahead of API supply data

Investing.com - U.S. oil futures turned lower on Tuesday, as market players awaited key weekly supply data to gauge the strength of oil demand from the world’s largest consumer.

On the New York Mercantile Exchange, crude oil for delivery in September rose to a session high of $103.38 a barrel, the most since July 9, before erasing gains to last trade at $102.58 during U.S. morning hours, down 0.27%, or 28 cents.

U.S. oil futures tacked on 0.89%, or 91 cents, on Monday to settle at $102.86. New York-traded oil futures were likely to find support at $101.48 a barrel, the low from July 21 and resistance at $103.62 a barrel, the high from July 9.

The American Petroleum Institute will release its inventories report later in the day, while Wednesday’s government report could show crude stockpiles fell by 2.8 million barrels in the week ended July 18.

Data released earlier showed that U.S. existing home sales rose more than expected in June to hit an eight-month high, easing concerns over the health of the housing market.

The National Association of Realtors said that existing home sales increased 2.6% to a seasonally adjusted 5.04 million units last month from 4.91 million in May. Analysts had expected existing home sales to rise 2% to 4.97 million units in June.

Also Tuesday, official data showed that the annual rate of U.S. inflation was at 1.2% in June, unchanged from the previous month and in line with forecasts.

On a month-over-month basis, U.S. consumer prices were up 0.3% after a 0.4% increase in May.

Core inflation, which excludes food and energy costs, rose by just 0.1% month-on-month, or 1.9% from the same month last year.

Elsewhere, on the ICE Futures Exchange in London, Brent oil for September delivery inched up 0.15%, or 17 cents, to trade at $107.85 a barrel.

Sentiment recovered after pro-Russian rebel leader Aleksander Borodai handed over the black boxes of the downed Malaysian passenger plane to Malaysian experts earlier Tuesday.

The United Nations Security Council voted unanimously on Monday to approve a resolution calling for an international probe into the incident and unimpeded access to the crash site.

The U.S. initially blamed pro-Russian separatists for the act, while Russia and Ukraine accuse each other of being behind the downed passenger plane.

European Union foreign ministers are to meet later Tuesday to discuss another round of sanctions against Russia, as the country continues to violate Ukraine's sovereignty and back separatists.

Russia is one of the world's top producers and exporters of oil and gas.

Meanwhile, the United States stepped up efforts to secure a ceasefire in the Gaza strip, as fighting between Israeli security forces and Hamas militants continued. U.S. Secretary of State John Kerry and United Nations chief Ban Ki Moon arrived in Cairo for talks aimed at stopping the bloodshed.

Market participants are worried that a flare up in the conflict could draw in neighboring countries and affect oil supplies.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.