Crude Oil prices experienced another day of appreciation as the oft-traded commodity rose above $71 a barrel during yesterday's trading session. Crude Oil prices rose yesterday as traders took their cue from the weak US Dollar, hit by a report that Gulf States considered dropping the greenback for oil transactions.
Oil and other commodities denominated in dollars for global trading tend to rise when the U.S. currency falls as they become cheaper for holders of other currencies. A move away from Dollar-based pricing of the world's leading commodity could further weaken the greenback.
As for today, traders should pay attention to the U.S Crude Oil Inventories report scheduled, as it tends to have a large impact on Crude Oil's prices, especially in the short-term.