WTI Surrenders Gains Post-EIA, Still above $48.00
The barrel of West Texas Intermediate is giving away part of its initial gains and returning to the $48.40/30 band following the EIA’s report.
WTI sidelined above $48.00 ahead of FOMC
WTI is now advancing marginally after crude oil inventories unexpectedly increased by more than 1.3 million barrels during last week, according to the EIA’s weekly report.
More from the EIA showed inventories at Cushing up by nearly 0.5 million barrels and gasoline inventories dropping by almost 2.5 million barrels.
In the meantime, WTI keeps the consolidative pattern near 2016 highs today, ignoring the buying interest around the greenback and ahead of the FOMC minutes (due later in the NA session).
WTI levels to consider
At the moment the barrel of WTI is gaining 0.35% at $48.48 with the initial hurdle at $49.33 (high Aug.31 2015) followed by $50.92 (high Oct.9 2015) and finally $54.42 (high Feb.15 2015). On the other hand, a breach of $45.20 (20-day sma) would expose $42.50 (low Apr.26) and then $41.04 (55-day sma).