Crude & Brent Oil Fundamental Analysis – August 28, 2015 – Forecast

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Updated: Aug 27, 2015, 14:11 UTC

Analysis and Recommendations: Crude Oil gained $1.39 to trade at 39.99 holding close to the $40 level but unable to remain above while Brent Oil added

Crude & Brent Oil Fundamental Analysis – August 28, 2015 - Forecast

Analysis and Recommendations:

Crude Oil gained $1.39 to trade at 39.99 holding close to the $40 level but unable to remain above while Brent Oil added $1.59 to 44.74. Oil prices climbed early on Thursday on an unexpected fall in U.S. crude inventory last week, but a stronger dollar dragged.

Oil prices jumped more than 4.5 percent on Thursday after a rally in equity markets and an unexpected fall in U.S. crude inventories, but worries over the Chinese economy and a global oil glut kept the outlook uncertain.

World stock markets rose as Chinese shares recovered on hopes that government measures to stimulate the economy would pay off, while the dollar strengthened as risk aversion eased.

Oil markets moved up from six-and-a-half-year lows reached earlier this week, but investors are still worried about huge fuel oversupply, which is depressing oil for immediate delivery and filling stockpiles worldwide.

Oil prices were supported by data on Wednesday showing U.S. crude inventories fell 5.5 million barrels in the week to Aug. 21, the biggest one-week decline since early June. Analysts had expected an increase of 1 million barrels.

But some analysts said the inventory fall may be connected to lower import figures for last week and may not mark the start of a trend. Many are bracing for a rise in stocks over the coming months as refiners shut for seasonal work.

FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports.

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Today’s economic releases:

Cur.	Event	Actual	Forecast	Previous
AUD	Private New Capital Expenditure	-4.0%	-2.5%	-4.7%
GBP	Nationwide HPI (MoM) (Aug)	0.3%	0.4%	0.4%
GBP	Nationwide HPI (YoY) (Aug)	3.2%	3.1%	3.5%
EUR	Spanish GDP (QoQ) (Q2)	1.0%	1.0%	1.0%
RUB	Central Bank reserves (USD)			362.9B

Upcoming Economic Events that you should be monitoring:

Friday, August 28 2015

Cur.	Event	Actual	Forecast	Previous
JPY	Household Spending (YoY) (Jul)		1.3%	-2.0%
JPY	Household Spending (MoM) (Jul)		2.2%	-3.0%
JPY	National Core CPI (YoY) (Jul)		-0.2%	0.1%
JPY	Tokyo Core CPI (YoY) (Aug)		-0.2%	-0.1%
JPY	Retail Sales (YoY) (Jul)		1.1%	0.9%
CHF	GDP (YoY) (Q2)		0.9%	1.1%
CHF	GDP (QoQ) (Q2)		-0.1%	-0.2%
EUR	Spanish CPI (YoY) (Aug)		-0.1%	0.1%
EUR	Spanish HICP (YoY) (Aug)		-0.2%	0.0%
GBP	Business Investment (QoQ)		1.7%	2.0%
GBP	GDP (QoQ) (Q2)		0.7%	0.7%
EUR	German CPI (MoM) (Aug)		-0.1%	0.2%
USD	Core PCE Price Index (MoM) (Jul)		0.1%	0.1%
USD	Goods Trade Balance (Jul)			-62.26B
USD	Personal Spending (MoM) (Jul)		0.4%	0.2%
CAD	RMPI (MoM) (Jul)		-4.0%	0.0%
USD	Michigan Consumer Expectations			83.8