FXStreet (Edinburgh) – The barrel of West Texas Intermediate is trading in the red territory at the beginning of the week, currently off lows in the $47.50 area.
WTI lower on Chinese woes
Demand for crude oil remains subdued on Monday reflecting investors’ concerns over the potential slowdown in the Chinese economy in light of the recent sell-offs in its stock markets.
Another source of weakness in crude oil prices continues to be the global supply glut, recently aggravated by last week’s climb in US oil rigs in use according to driller Baker Hughes and the unexpected rise in stockpiles reported by EIA.
WTI levels to watch
At the moment WTI is down 1.27% at $47.53 and a break below $47.05 (low Apr.1) would aim for $45.33 (low Mar.23) and finally 444.03 (low Mar.18). On the other hand, the immediate up barrier lies at $52.54 (high Jul.16) followed by $53.94 (high Jul.15) and then $54.35 (high Jul.10).
(Market News Provided by FXstreet)