NYMEX Data Moderate Crude Oil Prices

Crude oil for most active February expiry at the NYMEX eked-out moderate gains in the international markets as prices took note of better weekly jobless claims data from the US though the overall movement still lagged any major support as traders continued to be in holiday mood between Christmas and New Year. By the end of trade, WTI Crude stood at $99.55 per barrel, higher by 0.3% though in the Indian markets at MCX, gains were somewhat better backed by depreciation in the Indian Rupee. Locally, we saw crude prices inching higher particularly in the evening session which closed up by 0.6% to Rs 6199 per barrel.

As also updated yesterday this week amidst Christmas Holiday the weekly inventory number has been shifted to today. As per Bloomberg survey, crude stockpiles in the country fell around 2 million barrels for the week ended 20th December. The product related stocks though were mixed with gasoline stocks gained 1.1 million barrels though distillate inventories fell 1 million. The private major, API though in its separate inventory report on Tuesday showed stocks rose by 716,000 barrels last week. We feel the inventory related cues might continue to support modest positivism into the commodity in today’s trade however it is unlikely to have any major impact on the directional front. Today being Friday and also the last weekend of this year, we could see participation continue to be on a muted note.

In other major cues, today morning most Asian equities are trading on a positive note with average gains seen in the range of 0.5% tracking the positive closing in the US equities. US markets rose higher on the back of positive jobless claims data which declined to 338,000 signaling improving labor markets. There are no major economic data today either from Europe and US. For the day, we feel overall movement might continue to be ranged amidst lack of major economic cues globally.

For Crude we have cautious view in the NYMEX ahead of the weekly inventory data today though would look for buying the commodity on dips at MCX backed by moderate depreciation in the Rupee. Also, traders should be ready for moderate volatility in the commodity led by the inventory data, in the evening session

Commodity Advisory Services Tips

SELL CRUDE OIL MCX JAN BELOW 6201 SL 6222 TGT 6185-6165

SELL GOLD MCX FEB BELOW 28560 SL 28605 TGT 28490

WEEKLY COMMODITY MARKET INVENTORY DATA: