FXEMPIRE
All
Ad
Corona Virus
Stay Safe, FollowGuidance
World
99,782,634Confirmed
2,139,214Deaths
71,777,753Recovered
Fetching Location Data…
Advertisement
Advertisement
Adesina Olumide
WTI and Brent Crude Oil

Crude oil prices were relatively higher at the last trading session of this week after losing more than 1% in value in the previous two trading sessions.

Oil bulls are nursing their wounds still, after the bears had increased their selling pressure at unprecedented levels, on the basis that COVID-19 recent attacks on key emerged markets has brought about a freeze on the energy demand/supply rebalancing wheel, taking oil prices far below $40/ Barrel.

Advertisement
Know where WTI Crude Oil is headed? Take advantage now with 

75% of retail CFD investors lose money

In the case of Brent crude futures it trades below its critical support level of $38.50/barrel at the time of writing this report.

However, Oil bulls are presently riding on macros, showing the world’s largest economy and consumer of energy printed a far impressive economic data than anticipated by many Wall Street analysts.

Data seen from the U.S Commerce Department’s released yesterday revealed the world’s leading producer of oil, recorded a GDP growth of 7.4% from the prior period, a quarterly surge that equals an annualized growth of 33.1%.

That said, the recent price action shows the bulls present resolve is slowing down on the bias that, North Africa’s leading producer is bringing oil supplies to an supposedly fragile energy market coupled with bearish sentiments on the second wave of Covid-19 prevailing in the Northern hemisphere, saw oil bulls suffering from exhaustion as it tried to break above $38.50/Barrel.

Adding pressure on oil prices in the mid-term are macros showing leading oil and gas companies have reduced their operating costs by 35%, on the sentiments that COVID-19 resurgence will soften energy demand in the global economy growth by at least 3 months.

That said the oil cartel group is expected to intervene strongly with all ammunitions at its disposal as it monitors the deteriorating demand prevailing around the global economy closely as well as rising crude oil supplies from Libya.

Oil traders, remain upbeat that it’s almost impossible for oil prices to go negative as seen in April, but remain highly worried on the COVID-19 attacks still making major headlines. Nevertheless traders are now focusing their attention on the likely winner of the tightly contested U.S election coming up in few days’ time.

For a look at all of today’s economic events, check out our economic calendar.

 

Advertisement
Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Trade With A Regulated Broker

  • Your capital is at risk
IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US