Higher On China Property Support Reports

Brent crude is modestly higher in Asia trade, last in the $78.10/15/bbl region. This is 0.55% higher for the session so far but only unwinds part of Monday's 1% fall. Brent has tracked recent ranges, with moves sub $78/bbl drawing support so far today. We are below recent highs above the $78.50/bbl level, which remains a near term resistance point. WTI was last near $73.50/bbl, +0.64% higher versus NY closing levels from Monday.

• Much of the macro focus today has been on prospects for further China policy support, particularly for the property segment of the economy. This includes extending loan/credit support to the troubled property developer segment into 2024 and a potential relaxation of property market restrictions (see this MNI policy team piece for more information).
• Other China sensitive commodities, like iron ore, are also higher.
• For oil bulls, the 100-day EMA is nearby at ~$78.40/bbl, a clean break above this level would open up a move to $80/bbl, while the 200-day EMA sits in the $82.30/35 region.