NewsCrude drops below $76 per barrel ahead of US earningsPreviousForecastAnalysisCrude today fell below $76 per barrel as investors indulged into profit taking following last week’s rally on eased fears over the outlook for the global economy. Traders are focusing on the second quarter earnings as optimistic expectations will reflect the US economic stability and ease fears over the recovery and especially crude consumption.
Crude today traded around $76.25 per barrel recording its highest around $76.35 and lowest around $75.50, while it currently is trading around $75.55 per barrel.
Last week, crude contracts gained 5.5% as investors’ fears eased that over prospects for major economies to enter a double dip recession. This week on the other hand investors are focusing on earnings to further detail the outlook for the economy starting with Alcoa Inc, Intel Corp, Google Inc, JPMorgan Chase & Co. and Bank of America Corp.
Crude on Friday opened around $75.85 per barrel recording its highest around $76.45 and lowest around $75.00 per barrel, closing around $76.25 per barrel. It managed to record a rise by 5.5% due to the rally over the week and lower US inventories, including the drop in jobless claims spurring optimistic expectations regarding a sustained recovery in the US.
On the other hand, Asian indices declined today which did not to support crude today in its attempts to ascend, especially as the dollar gained grounds.
As for NYMEX as of 02:42 EST; motor gasoline fell $205.850 per gallon by $2.250; heating is trading around $201.850 per gallon dropping by $0.720; whereas natural gasoline climbed $0.0003 per 1000 cubic feet by $4.405. In London, Brent futures fell by $0.470 to record $74.950.