NewsThe EIA Report
Previous1.0 Million Barrels
Forecast1.3 Million Barrels
AnalysisCrude receded this morning to trade below $82 per barrel on expectations for rising inventories in the United States, which is considered to be the largest oil consumer in the world.

The API yesterday reported a rise in crude inventories by 7.51 million barrels throughout last week to record 331.5 million barrels; whereas the EIA report, which is expected to be released today as of 10:30 EST, is expected to show a rise in inventories by 1.3 million barrels in the past week, compared to the previous incline in inventories by 1.0 million barrels.

Crude in the U.S. continues its gains for the eighth week in a row, which point to weakening demand and consumption levels; therefore, preventing oil prices to currently rise above $85 per barrel.

The dollar versus the euro ascended in the past few days as the EU summit nears, where expectations are conflicting around providing a recovery plan for Greece, which is facing the highest budget deficit in EU, since some seem to be supporting the plan, like Trichet and the European Commission president. Meanwhile, some anti-supports of the plan include Germany which now seemingly convinced France to join its side.

The S&P GSCI index closed yesterday at 522.87 rising by 0.09; whereas the RJ/CRB commodity index recorded a drop by 0.57 to close at 271.71.

In NYMEX as of 03:37 EST; heating oil futures declined to $208.660 per gallon by $1.520; motor gasoline is trading around $224.050 per gallon after plunging by $2.230; whereas natural gas also fell by $0.025 to record $4.105 per 1000 cubic feet. In London, Brent receded by $0.700 to record $80.000.

Crude opened today around $81.42 per barrel and recorded its highest of $81.45 and lowest of $81.05 per barrel, where it is currently trading around $81.20 per barrel.