Crude Markets Resume Downward Trend

Crude futures and spreads are reversing direction to resume the decline from the last month after the slight rebound earlier this week ahead of the EIA oil inventory data later today.

• The market is weighing concern for future global demand growth in US, China and Europe against the slightly better than expected China activity data today and the upward revisions to demand by OPEC and IEA earlier this week. The forecast of stronger global supplies is also adding to the downside market pressure.
• Brent Jan24 contract technicals show the bearish theme remains intact with key support is at a Fibonacci retracement point at 78.89$/bbl while key resistance is up at the Nov 3 high of 87.80$/bbl.
  • Brent JAN 24 down -0.6% at 81.94$/bbl
  • WTI DEC 23 down -0.7% at 77.71$/bbl
  • WTI-Brent unchanged at -4.29$/bbl
  • Brent JAN 24-FEB 24 down -0.06$/bbl at 0.2$/bbl
  • Brent JUN 24-DEC 24 down -0.1$/bbl at 1.97$/bbl
  • WTI DEC 23-JAN 24 down -0.03$/bbl at 0.06$/bbl
  • WTI JAN 24-FEB 24 down -0.03$/bbl at 0.16$/bbl
  • WTI DEC 23-DEC 24 down -0.34$/bbl at 3.39$/bbl