December crude oil experienced a volatile overnight and early morning trade, first making a higher high Sunday night then trading lower. Headwinds continued to trickle in from Europe, with the latest being contagion fears as Italian bonds soared above 6.50%. Some traders indicated that the situation in Italy carried more weight because they are the 3rd biggest economy in the Eurozone and their debt is 120% of GDP. The Commitments of Traders Futures and Options report as of November 1st showed non-commercial traders were net long 223,627 contracts, a decrease of 1,849. Non-commercial and nonreportable traders combined held a net long position of 227,689 contracts, an increase of 6,875 on the week. Meanwhile, money managers reduced their net long position for the first time in a month.
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