FXStreet (Edinburgh) – The barrel of the West Texas Intermediate is posting modest losses at the end of the week, meandering around the mid-$52.00s so far.
WTI still in 3-month lows
Crude oil prices are retreating for the fourth consecutive week so far. Despite WTI has managed to leave recent lows in the mid-$50.00s, it still remains in multi-month lows. Amongst the main drivers affecting the demand for crude oil remain the persistent supply glut, that could be aggravated in case of a potential positive outcome from the Iran-West nuclear talks; fears of a slowdown in the Chinese economy and unease on the Greek situation, in spite of renewed hopes of an imminent deal.
Data wise this week, the EIA has reported a decrease in crude oil inventories during last week, while driller Baker Hughes informed that US oil rigs in use has increased for the second week in a row, this time up 5 to 645.
WTI levels to watch
At the moment WTI is losing 0.44% at 52.55 with the next support at $50.58 (low Jul.7) followed by $49.47 (low Apr.6) and finally $48.11 (low Apr.2). On the other hand, a breakout of $56.78 (high Jul.3) would aim for $57.95 (high Jul.2) and then $58.98 (high Jul.1).
(Market News Provided by FXstreet)