Crude slid off records high yesterday to end the session down nearly 3% closing below the psychological $100 after setting the high of $103.33 and setting as low as $98.87 oil closed at $99.52 per barrel down $2.93. Profit taking took place as crude indulged into a correctional wave after its record high of Monday of $103.95 per barrel, though the fall was slightly supported fundamentally yet the downside wave is not expected to be long lived.
Later on today, OPEC is expected to end its regular meeting where all signs hint that they will be rolling over production quotas, after frantic behavior led to strong flows of funds into the market as expectations were for production to be cut due to seasonal weather change; that a long side a plummeting dollar helped crude hit its records. The serenity came after comments from the Saudi Oil Minister the organizations most prominent member, saying market fundamentals were steady as he sees no need to alter output levels while the blame on current oil prices is due to tremendous speculation.
Meanwhile, oil prices were little changed in the Asian session opening at $99.88 setting the low at $99.55 per barrel; it seems to acquire a slight bullish advance after it set the high at $100.19 per barrel now as of 8 GMT and with Europe into the market it's trading near $99.70s and up about 15 cents.
Expectations of further rise in US stockpile later today to be revealed by the weekly EIA report will have its weight in markets, which is expected to become the consecutive eight-week buildups. Crude inventories are projected to have risen 2.4 million barrels last week, and another 0.9 million rise in motor gasoline which are already at a 14-year high; it remains now of concern as refineries usually at the end of February and early March begin to adjust their output and shift to less heating oil and more gasoline as the summer driving season will be on the door step.
Nevertheless, still the weak dollar provide strong bull