WTI ticks higher amid geopolitical risks, China demand concerns cap the upside

Source Fxstreet
  • WTI attracts some buyers on Tuesday amid fears about supply disruptions in the Middle East.
  • Demand concerns in China could act as a headwind for the commodity ahead of the FOMC.
  • Traders now look to the API report on US stockpiles for short-term opportunities on Tuesday.

West Texas Intermediate (WTI) US Crude Oil prices tick higher during the Asian session on Tuesday and for now, seem to have stalled the previous day's rejection slide from the 100-day Simple Moving Average (SMA) or a nearly two-month peak.

A further escalation of geopolitical tensions in the Middle East continues to fuel supply concerns and turns out to be a key factor acting as a tailwind for the black liquid. A deadly drone attack on a US base in Jordan by Iran-backed militants killed three American soldiers, marking the first death of US service personnel in the region since the Hamas-Israel war broke out on October 7. Reports suggest that President Joe Biden will authorise US military action, which would begin in the next couple of days and come in waves against a range of targets.

A direct US confrontation with Iran, which exported around 1.2-1.6 million barrels per day or 1-1.5% of Crude Oil through most of 2023, will adversely impact global supply. Adding to this,  an attack on an oil tanker in the Red Sea over the weekend has raised the risks of supply disruptions in the region and might continue to lend some support to Crude Oil prices. That said, the lack of follow-through buying suggests that bulls seem reluctant to place aggressive bets in the wake of demand concerns in China – the world's top Oil importer.

Market participants might also prefer to wait on the sidelines ahead of the highly-anticipated two-day FOMC monetary policy meeting starting this Tuesday. Investors will look for cues about the timing of when the Federal Reserve (Fed) will start cutting interest rates. This, in turn, will influence the US Dollar (USD) price dynamics and drive demand for the USD-denominated commodities. In the meantime, the American Petroleum Institute (API) industry group will publish US stockpile data on Tuesday and provide some impetus to Crude Oil prices.

Technical levels to watch

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Bitcoin lost its 200-day average — but the exit started three sessions before the CPIBitcoin fell 2.5% to about $73,400 on 11 November, an 11-week low, breaking its 200-day moving average near $73,100. The 24-hour liquidation tally reached $632 to $705 million, roughly 82% of it longs. But spot ETF outflows began three sessions earlier and USDT's market cap has shrunk $6.6 billion in 60 days — the leveraged length left before the inflation print did. A double top at 81,890 and 81,080 leaves a measured target of 69,366.
Author  Suzie
14 hours ago
Bitcoin fell 2.5% to about $73,400 on 11 November, an 11-week low, breaking its 200-day moving average near $73,100. The 24-hour liquidation tally reached $632 to $705 million, roughly 82% of it longs. But spot ETF outflows began three sessions earlier and USDT's market cap has shrunk $6.6 billion in 60 days — the leveraged length left before the inflation print did. A double top at 81,890 and 81,080 leaves a measured target of 69,366.
placeholder
Core CPI stuck at 0.3% for a third straight month — and BLS couldn't publish the number that would explain itOctober headline CPI rose 0.4% m/m against a 0.3% consensus, and core rose 0.3% for a third consecutive month against 0.2% expected. BLS published no year-on-year figures because October 2025 collection was lost to the government shutdown. Energy cooled to 0.7% from 5.2% — shelter, food and transport services did the rest. The 2-year yield jumped 18 to 21 basis points, the 10-year added 12, and the dollar closed at 102.25.
Author  Irene Q.
15 hours ago
October headline CPI rose 0.4% m/m against a 0.3% consensus, and core rose 0.3% for a third consecutive month against 0.2% expected. BLS published no year-on-year figures because October 2025 collection was lost to the government shutdown. Energy cooled to 0.7% from 5.2% — shelter, food and transport services did the rest. The 2-year yield jumped 18 to 21 basis points, the 10-year added 12, and the dollar closed at 102.25.
placeholder
Gold Tumbles Toward $4,000 as Hotter-Than-Expected CPI Boosts Fed Rate-Hike Bets, Bulls Eye $3,975 SupportAs of the Asian session on Wednesday (November 11), gold prices (XAUUSD) rebounded slightly after a sharp decline in the previous session, last trading near $4,040, up about 0.3% on the d
Author  TradingKey
15 hours ago
As of the Asian session on Wednesday (November 11), gold prices (XAUUSD) rebounded slightly after a sharp decline in the previous session, last trading near $4,040, up about 0.3% on the d
placeholder
Gold Price Analysis Today | Forex Gold Analysis | XAU/USD Analysis - November 11, 2026Get the latest gold price analysis, forex gold insights, and XAU/USD analysis for November 11, 2026. Read on for the details.
Author  Mitrade
15 hours ago
Get the latest gold price analysis, forex gold insights, and XAU/USD analysis for November 11, 2026. Read on for the details.
placeholder
TradingKey Daily Market Briefing: US Stocks Retreat as CPI Tops Estimates; Nvidia Falls Over 5%, AMD and Broadcom Buck the Trend On November 10, the three major U.S. stock indices edged lower. U.S. October inflation data exceeded market expectations, driving Treasury yields rapidly higher and
Author  TradingKey
16 hours ago
On November 10, the three major U.S. stock indices edged lower. U.S. October inflation data exceeded market expectations, driving Treasury yields rapidly higher and
goTop
quote