Fundamental Oil Report (2011-02-09)

By @ibtimes on

NewsThe EIA ReportPrevious2.6 Million BarrelsForecast2.2 Million BarrelsAnalysisCrude traded above $87 per barrel today as US supplies unexpectedly dropped last week, thereby suggesting a pickup in demand.

Crude today hovers around $87 per barrel recording its highest around $87.72 and lowest around $87.18, while it currently is trading around $87.60 per barrel.

The second largest energy consumer in the world showed a drop in inventories yesterday by 558 thousand barrels last week, although forecasts showed a rise of 2.4 MB; gasoline climbed 3.2 MB and distillates slipped 538 thousand barrels. Traders anxiously await the release of the EIA report later today and is forecasted to show a rise by 2.2 MB compared to last week’s 2.6 million.

Crude yesterday traded around $87 per barrel recording its highest around $88.09 and lowest around $85.87 per barrel, closing around $87.40 per barrel. Futures fell yesterday after China's rate hike that supressed demand expectations, alongside waned concerns over higher fuel costs due to the chaos in Egypt simmering down leaving investors less jittery regarding crude shipments through the Suez Canal.

As for NYMEX as of 04:31 EST; motor gasoline rose $0.38 recording $250.370 per gallon; heating is trading around $274.120 per gallon inclining $0.34; whereas natural gasoline shed $0.59 to record $4.016. In London, Brent futures gained $0.60 to record $100.520.

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