July crude oil prices traded sharply higher Sunday evening, supported by a bailout for Spanish banks and Chinese economic data was not quite as bad as some feared. These developments lifted risk-sentiment as well as most risk assets, while the US dollar has come under downside pressure. Some traders also pointed to a breakdown in talks between the IAEA and Iran, over Iran's nuclear program, as a force that could stoke supply disruption concerns. This could become of greater importance as energy markets brace for this week's OPEC meeting. Meanwhile, economic data out of China presented modest encouragement to the crude oil market, with May crude oil imports climbing to a new record. The Commitments of Traders Futures and Options report as of June 5th showed non-commercial traders were net long 210,709 contracts, a decrease of 22,700. Non-commercial and nonreportable traders combined held a net long position of 222,882 contracts, for a decrease of 18,389 in their net long position.
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