NOV 12 WEDNESDAY
SHORT TERM TREND : BEARISH
LONG TERM TREND : BEARISH
S1 RS 2842 , S2 RS 2800
R1 RS 2910 , R2 RS 2960
SELL AT RESISTENCE.
Oil Falls to Near 20-Month Low on Outlook for
Slower Demand .
Crude oil fell for a second day in New York, trading near a
20-month low, on speculation the International Energy
Agency will cut its 2009 oil-demand forecast because of
slowing economic growth.
Crude oil for December delivery declined as much as 78 cents,
or 1.3 percent, to $58.55 a barrel in after-hours electronic
trading on the New York Mercantile Exchange. It was at
$59.21 a barrel at 12:49 p.m. Singapore time.
Yesterday, oil lost $3.08, or 4.9 percent, to $59.33 a
barrel, the lowest settlement since March 20, 2007,
after earlier dropping as low as $58.32. Prices have
tumbled 60 percent since from a record $147.27
reached on July 11.
The price for oil futures for later delivery has risen against
those closer to immediate delivery, a situation known as
contango. The December 2013 contract has a $24.42
a barrel premium over the 2008 future. A month ago
it was $8.57 a barrel.
Goldman Sachs Group Inc. said that the credit crunch is
causing crude oil futures to be more expensive for long-
term than immediate delivery.
U.S. crude-oil supplies probably rose for a seventh week
as imports rebounded, a Bloomberg News survey of
analysts showed. Stockpiles probably increased
750,000 barrels in the week ended Nov. 7 from
311.9 million the week before, according to the
median of 12 analyst estimates before an Energy
Department report.
Brent crude oil for December settlement fell as much as'
36 cents, or 0.7 percent, to $55.35 a barrel on London's
ICE Futures Europe exchange and traded at $55.70 at
12:37 p.m. Singapore time. The contract yesterday
dropped $3.37, or 5.7 percent, to close at $55.71 a
barrel, the lowest settlement since Jan. 29, 2007.
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