Crude rallied sharply yesterday gaining over 4%, crossing and holding above the short term moving averages. Following a relative calm in overnight session, the upward move was possibly triggered by the feel good factor once gold broke above the $1000.00 mark for the first time since February which came as a blunt reminder that inflation remains a danger. Support throughout the session was undoubtedly offered by a tumbling US dollar which posted the lowest level of 2009 against the euro and higher equity market. Today all eyes in the energy complex will be on OPEC's meeting with the talks expected to emphasize compliance rather than any cuts in output.

width=580 width=600

width=600

Crude Oil

COMMODITY

LEVEL

CHANGE

ICE BRENT CRUDE - OCT 09

69.42

(+2.63)

ICE WII - OCT 09

71.10

(+2.99)

GASOIL - OCT 09

575.00

(+22.50)

width=600