WTI slumps near $59.00

FXStreet (Edinburgh) – The barrel of the American benchmark for the light crude oil has quickly dropped to the vicinity of the $59.00 mark, giving away the initial run to the $61.40 area.

WTI lower despite inventories fell

Prices for the WTI are dipping into the negative territory on Wednesday in spite of another drop in crude oil inventories in the week ended on June 12. According to the EIA, crude oil inventories decreased by 2.7 million barrels and the domestic production dropped to 9.59 million barrels, down 21K barrels from the previous week.

However, and according to experts, the sudden increase in gasoline inventories and the build up of stockpiles at the delivery hub in Cushing might be a sign that the downtrend in inventories could be nearly over.

WTI key levels

The barrel of WTI is losing 1.43% at $59.11 and a breakdown of $58.23 (low Jun.9) would aim for $57.83 (low Jun.4) and finally $57.72 (low May 29). On the upside, the initial barrier lines up at $61.82 (high Jun.10) followed by $62.27 (high May 12) and then $62.40 (high May 7).

The barrel of the American benchmark for the light crude oil has quickly dropped to the vicinity of the $59.00 mark, giving away the initial run to the $61.40 area…

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