MNI: PBOC Net Injects CNY460 Bln via OMO Tuesday

MNI: PBOC Sets Yuan Parity Lower At 7.0510 Tues; +3.39% Y/Y

CHINA PBOC CONDUCTS CNY460 BLN VIA 14-DAY REVERSE REPOS TUES

CHINA SETS YUAN CENTRAL PARITY AT 7.0510 TUES VS 7.0531

PBOC TO INTRODUCE NEW POLICY TOOLS TO SUPPORT EQUITY MARKET

PBOC CUTS 7-DAY REPO 20BP

PBOC CUTS RRR BY 25BP, MORE EXPECTED

EZ/UK Bond Supply Calendar: Spain Syndi; UK, DE Due Tuesday

RBA Data Watch

CANADA: Politics Week: Parliament Opens With Early Election Threats

AUSTRALIA: Albanese Lines Up Budget for May Election

AUSTRALIA: Albanese Lines Up Budget for May Election

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

OIL: Crude Rises Further On Fed Cut Expectations, Supply Issues & Geopolitics

OIL
EM BulletCommoditiesEnergy BulletsBulletMarketsFixed Income BulletsForeign Exchange Bullets

Oil prices rose further on Tuesday supported by Fed rate cut expectations and reduced supply from the US, Libya and Kazakhstan. Hezbollah blaming Israel for exploding pagers in Lebanon added to geopolitical tensions in the Middle East which also boosted crude. The USD index is up 0.2%.

  • WTI rose 1.5% to $71.13/bbl to be down 3.3% in September but up 9% since the low on September 10. It reached a high of $71.92 on Tuesday before easing. The benchmark is currently around $71.17, maintaining the break above initial resistance at $70.97 opening up $73.61. Initial support is at $65.27, September 10 low.
  • Brent increased 1.3% to $73.70/bbl to still be down 4.1%. It reached a high of $74.28, just above initial resistance of $74.15 but it wasn’t held. Next resistance is at $76.96, 50-day EMA. Futures remain in a downtrend and the latest rally is corrective. The bear trigger is at $68.68.
  • Bloomberg reported that US crude inventories rose 1.96mn barrels last week, according to people familiar with the API data. Gasoline and distillate rose 2.3mn barrels each. The official EIA data is out later today.
  • Reuters is reporting that the US government will look to buy 6mn barrels of crude for the SPR to be delivered in the first few months of 2025.
210 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

Oil prices rose further on Tuesday supported by Fed rate cut expectations and reduced supply from the US, Libya and Kazakhstan. Hezbollah blaming Israel for exploding pagers in Lebanon added to geopolitical tensions in the Middle East which also boosted crude. The USD index is up 0.2%.

  • WTI rose 1.5% to $71.13/bbl to be down 3.3% in September but up 9% since the low on September 10. It reached a high of $71.92 on Tuesday before easing. The benchmark is currently around $71.17, maintaining the break above initial resistance at $70.97 opening up $73.61. Initial support is at $65.27, September 10 low.
  • Brent increased 1.3% to $73.70/bbl to still be down 4.1%. It reached a high of $74.28, just above initial resistance of $74.15 but it wasn’t held. Next resistance is at $76.96, 50-day EMA. Futures remain in a downtrend and the latest rally is corrective. The bear trigger is at $68.68.
  • Bloomberg reported that US crude inventories rose 1.96mn barrels last week, according to people familiar with the API data. Gasoline and distillate rose 2.3mn barrels each. The official EIA data is out later today.
  • Reuters is reporting that the US government will look to buy 6mn barrels of crude for the SPR to be delivered in the first few months of 2025.