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Wednesday, December 10, 2008

UPDATES ON DEC 10 2008

DEC 10 WEDNESDAY

SHORT TERM TREND : BEARISH

LONG TERM TREND : BEARISH

S1 RS 2110 , S2 RS 2060 , S3 RS 2000

R1 RS 2180 , R2 RS 2240 , R3 RS2280

STAY SHORT AT RESISTENCE.

Crude oil falls on demand concern as world oil

demand shrunk in 2008.

Crude oil rose as traders bought contracts to close out bets that

prices will fall and on signs that OPEC will cut production

twice in as many months.

Crude oil futures for January delivery rose as much as $1.33,

or 3.2 percent, to $43.40 a barrel in after-hours electronic

trading on the New York Mercantile Exchange. It was at

$43.25 a barrel at 12 p.m. Singapore time. Yesterday,

futures fell $1.64, or 3.8 percent, to $42.07 a barrel,

capping a 23 percent drop since Nov. 26.

The Organization of Petroleum Exporting Countries cut its

forecast for next year by 530,000 barrels a day, or 0.6

percent, to 86.68 million barrels a day, in its monthly oil

market report on Nov. 17.

Traders are betting that oil for January delivery may fall below

$42 a barrel, according to data on put options contract volume

from the New York Mercantile Exchange.

Brent crude oil for January settlement rose as much as $1.05, or

2.5 percent, to $42.58 a barrel on London’s ICE Futures

Europe exchange at 12 p.m. Singapore time. The contract

yesterday declined $1.89, or 4.4 percent, to settle at

$41.53 a barrel.

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