WTI find support near $85, geopolitical tensions keep Oil demand intact

Source Fxstreet
Apr 10, 2024 10:01
  • The Oil price consolidates near $85.00 ahead of the US Inflation data for March.
  • US inflation data will provide cues about when the Fed could start reducing interest rates.
  • Iran’s direct involvement in the war in Gaza and more Ukraine attacks on Russian oil refineries could tighten the oil supply further.

West Texas Intermediate (WTI), futures on NYMEX, remain supported near $85.00 ahead of the United States Consumer Price Index (CPI) data, which will be published at 12:30 GMT. The inflation data for march will influence market expectations for the Federal Reserve (Fed) pivoting to rate cuts in the June meeting.

The inflation data is expected to remain stubborn due to higher oil prices, rentals, and insurance costs and portfolio management fees.

The Oil price corrects after printing a fresh five-month high at $87.50. However, escalating tensions in the Middle East region keep the Oil demand intact. Israel’s proposal of ceasefire doesn’t meet various Hamas demands, but the latter has commented that it would study further and revert to mediators. Hamas wants Israel to withdraw its forces and allow Palestinians to return home, who were displaced due to war in Gaza.

Fears of Iran’s direct intervention in the Israel-Palestine war deepen as the Israeli army has announced that they are ready to invade Rafah, the last resort for Palestinians who have been displaced.

Iran’s entry from the front to war at Gaza will significantly disrupt the oil supply chain. Iran is the third largest oil producer of the OPEC, and its direct involvement in war will tighten the Oil market significantly, which will have a positive impact on the Oil price.

In the eastern region of Europe, Ukraine’s drone attacks on Russia’s oil infrastructure have also kept fears of oil supply shocks unabated.

WTI US OIL

Overview
Today last price 84.96
Today Daily Change 0.18
Today Daily Change % 0.21
Today daily open 84.78
 
Trends
Daily SMA20 82.49
Daily SMA50 79.14
Daily SMA100 76.32
Daily SMA200 79.18
 
Levels
Previous Daily High 86.32
Previous Daily Low 84.51
Previous Weekly High 87.12
Previous Weekly Low 82.26
Previous Monthly High 83.05
Previous Monthly Low 76.5
Daily Fibonacci 38.2% 85.2
Daily Fibonacci 61.8% 85.63
Daily Pivot Point S1 84.08
Daily Pivot Point S2 83.39
Daily Pivot Point S3 82.27
Daily Pivot Point R1 85.9
Daily Pivot Point R2 87.01
Daily Pivot Point R3 87.71

 

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
India Gold price today: Gold falls, according to MCX dataGold prices fell in India on Thursday, according to data from India's Multi Commodity Exchange (MCX).
Source  Fxstreet
Gold prices fell in India on Thursday, according to data from India's Multi Commodity Exchange (MCX).
placeholder
Gold rises to all-time high on safe-haven demand, shifting Fed expectationsGold price (XAU/USD) rallies to record highs in the $2,440s on Monday due to its safe-haven qualities as the geopolitical risk barometer rises a notch due to increased tensions in the Middle East.
Source  Fxstreet
Gold price (XAU/USD) rallies to record highs in the $2,440s on Monday due to its safe-haven qualities as the geopolitical risk barometer rises a notch due to increased tensions in the Middle East.
placeholder
Gold price dips as US Treasury yields recoverGold prices fell in the mid-North American session on Thursday, below $2,390, as US Treasury yields recovered and underpinned the Greenback.
Source  Fxstreet
Gold prices fell in the mid-North American session on Thursday, below $2,390, as US Treasury yields recovered and underpinned the Greenback.
goTop
quote