Free MCX Tips | Crude oil futures ended lower in the Asian market on Wednesday as investors and speculators exited positions in the energy commodity as US crude oil stockpiles climbed for the ninth week on the trot, raising fears over a worsening global supply glut.
The EIA reported that US crude supplies climbed by 961,000 barrels to 488.2 million barrels in the week ended November 20, 2015. Total storage is at the highest level unseen for this time of the year in atleast the past eight decades. Oil inventories at Cushing, Oklahoma, the biggest US oil storage hub, climbed by 1.74 million barrels last week.
However, the losses in oil were trimmed by upbeat US rig count data which showed that the number of oil rigs in the US fell by 9 to 555 this week, signaling lower production ahead, easing fears of oversupplies.
Fears that heightened geopolitical tensions after Turkey shifted down a Russian jet fighter may curb supplies from the oil-rich Middle East region also supported crude.
Further, US durable goods orders climbed in October, sales of new homes rebounded last month, consumer spending climbed in Oct, consumer confidence rose this month, private sector output accelerated in November and jobless claims fell last week, signaling a pickup in the world’s biggest economy, bolstering the demand outlook for the fuel, curbing losses in oil.
US durable goods orders surged 3 per cent in October, consumer spending climbed 0.1 per cent last month while sales of new homes rose 10.7 per cent to a 495,000 annual pace.
US jobless claims fell to the lowest level in a month, down by 12,000 to 260,000 in the week ended November 21, the gauge measuring US consumer confidence rose to 91.3 in November from 90 in October, while a combined index measuring US manufacturing & services surged to the highest level since April at 56.1 this month from 55 in October, with a reading above 50 signaling expansion.
Oil may rebound today as a smaller than expected rise in US oil storage levels last week and a drop in US rig count eases concerns over a supply surplus.
The EIA reported that US crude supplies climbed by 961,000 barrels to 488.2 million barrels in the week ended November 20, 2015. Total storage is at the highest level unseen for this time of the year in atleast the past eight decades. Oil inventories at Cushing, Oklahoma, the biggest US oil storage hub, climbed by 1.74 million barrels last week.
However, the losses in oil were trimmed by upbeat US rig count data which showed that the number of oil rigs in the US fell by 9 to 555 this week, signaling lower production ahead, easing fears of oversupplies.
Fears that heightened geopolitical tensions after Turkey shifted down a Russian jet fighter may curb supplies from the oil-rich Middle East region also supported crude.
Further, US durable goods orders climbed in October, sales of new homes rebounded last month, consumer spending climbed in Oct, consumer confidence rose this month, private sector output accelerated in November and jobless claims fell last week, signaling a pickup in the world’s biggest economy, bolstering the demand outlook for the fuel, curbing losses in oil.
US durable goods orders surged 3 per cent in October, consumer spending climbed 0.1 per cent last month while sales of new homes rose 10.7 per cent to a 495,000 annual pace.
US jobless claims fell to the lowest level in a month, down by 12,000 to 260,000 in the week ended November 21, the gauge measuring US consumer confidence rose to 91.3 in November from 90 in October, while a combined index measuring US manufacturing & services surged to the highest level since April at 56.1 this month from 55 in October, with a reading above 50 signaling expansion.
Oil may rebound today as a smaller than expected rise in US oil storage levels last week and a drop in US rig count eases concerns over a supply surplus.
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