Spot Crude Oil traded higher for the second consecutive day after better than expected consumer confidence numbers, though the gains in spot Crude Oil prices were held in check by a stronger Dollar. The rising prices are prior to the release of the weekly Crude Oil inventory reports.
Spot Crud Oil prices finished the day higher at $82.36 following an opening day price of 82.18. This follows the 3% price rise during Monday's trading.
Traders were being cautious after Monday's $1.70 jump in the price of spot Crude Oil, wondering if the price move was based only on technical movements or a shift in the fundamentals of the commodity. The price broke a short term resistance line of $81.50, though the $83 price level still holds for the long term resistance.
Today the market will be expecting the weekly Crude Oil inventories report from the U.S. Energy Information Agency and could either extend the gains in the commodity or drop the price towards its lower support levels. Economists are expecting Crude Oil inventories to rise 2.4M barrels following last week's 7.3M barrel increase. An output below the 2.4M estimate could be a positive for spot Crude Oil prices and may help extend the bullish rally to the $83 resistance level by the end of the trading day.