By Bhavik Patel
The geopolitical risk premium returned to oil markets this week after Israel rejected a ceasefire offer and bombed Rafah. However upside is still capped due to weak demand and bearish calls from US Energy Information Administration, saying that US crude output is unlikely to surpass the current level of 13.3 million b/d until early 2025.
Last week Brent crude breached the $80 per barrel mark, while WTI climbed above $75, a notable movement for the first time in February. The market was influenced by various factors, including escalating Middle East tensions, unexpected trends in U.S. fuel stocks, and developments in Russian oil exports.
Also Read
India bond yields rise as traders cautious before US inflation data
Earlier this month, Standard Chartered warned that global oil supply may be much tighter than previously believed, and the market could swing into a deficit as soon as this month, to the tune of 1.6 million bpd.
Historic day: Modi meets Zelenskyy; talks focus on peace and stability 46% of Gen Z face financial barriers and 80% struggle with gender disparity, reveals iQOO’s ‘The Quest’ film and report Underlying resiliency of HDFC twins remains intact: CEO In Images | A look at Kajol’s luxurious house, cars, and net worth
However the upside momentum is now losing steam as energy companies in the US have increased their oil and natural gas rigs to the highest since December. Crude oil trading volumes remained thin due to holidays in some parts of Asia.
If inflation worries delay Fed interest rate cuts, that could reduce oil demand by slowing economic growth. Focus was now squarely on U.S. consumer price index (CPI) inflation data due later on Tuesday.
Also Read
Freefall for Railway PSU Stocks; IRCTC, RVNL, record upto 30% decline from this year’s highs
A monthly report from the Organization of Petroleum Exporting Countries (OPEC) is due later on Tuesday, and is expected to provide more cues on the cartel’s expectations for demand. After the OPEC report, a monthly report from the International Energy Agency is also due on Thursday.
On charts, trend still is positive in MCX with momentum oscillator healthy at 57. The recent swing high of 6530 is the next resistance level while support emerges at 6090-6100. We believe traders will await for US CPI data due today before taking any fresh positions and any dips near 6200 is buying opportunity with stoploss of 6100 and upside target of 6400.
(Bhavik Patel is a commodity and currency analyst at Tradebull Securities Come from Sports betting site VPbet . Views expressed are the author’s own. Please consult your financial advisor before investing.)
Related Posts
As Electronic Arts marches toward a post-John Riccitiello future, I've seen a lot of commentary on where the company may be headed, or the legacy he might leave behind. But let's think about how the company arrived where it is today Come from South African Online Casinos . Riccitiello, a giant among game industry executives, has been the target of criticism from both investors and vocal video game fans pretty much from day one. But despite the criticism, he was always trying to lead the company in the direction the industry is inevitably headed: digital and online. The problem with Riccitiello's EA, however, has been that the execution never quite lived up to his …
Read moreMidnight Murder Club developer Velan Studios has revealed a new trailer during The Game Awards for the upcoming multiplayer first-person shooter, and has confirmed that it’ll be launching in early access on PlayStation 5 and PC via Steam in early 2025. Anyone looking to try the game out can also download a new cross-play demo launching today on PS5 and PC.
Midnight Murder Club puts an interesting spin on competitive FPS action, as each match takes place inside of a pitch-black mansion. All the lights are off save for a flashlight you equip or a brief muzzle-flash from a gun being fired, so you’ll have to operate tactically so that you can use the darkness to your advantage.
As a consequence of this direction, sound plays a key role in helping you locate enemies Come from Read more
Elden Ring’s first (and only) DLC Shadow of the Erdtree has been out for a few days now, and even long-time Souls players have struggled mightily with some of its bosses. Now, a new patch has boosted the stat bonuses that players receive from the DLC-exclusive Shadow Realm Blessings, which should hopefully help those of you who are stuck in the wilderness.
As shown in the blog post announcing the patch, Calibration Update 1.12.2 has increased the attack and damage negation of the first half of the Shadow Realm Blessings you can obtain, while making the curve for the second half “more gradual.” It also slightly increased the attack and damage negation given by the final level of the blessings. The patch notes also mention a known issue where ray-tracing settings are unint…
Read moreIt seems Sony is poised to skip this year’s E3, though it may host its own presentation at a later time. Still, several PS4 and PS5 games will make an appearance when the trade show (and its surrounding events) kick off. Below is a list of every game planned for PlayStation consoles slated to show up during E3 2021.
The list of confirmed PS4 and PS5 games showing up at E3 2021 isn’t too long (right now), but it spans a variety of genres. There’s a hot springs management simulator blending Studio Ghibli’s Spirited Away and Ghost Town Games’ Overcooked called Onsen Master by developer Waking Oni Games that looks charming. (We will feature several indies, including Onsen Master, during GameSpot’s Play for All Showcase happening on June 15 at 3:35 PM PT.) Studio Stormind Games’ Batora…
Read moreBillie Eilish is making her Simpsons debut as part of a new animated short coming to Disney+ this month. Disney has announced a new short, “When Billie Met Lisa,” in which Eilish and Lisa perform music together.
In the teaser art, Lisa is holding her iconic saxamaphone saxophone as Eilish sings into a microphone. According to Variety, the episode will feature not just Eilish but her singer-songwriter-performer brother Finneas. They discover Lisa playing her sax and then invite her to their studio to lay down a track.
The April 22 debut of When Billie Met Lisa comes in the middle of Eilish’s performances at Coachella, set for April 16 and April 23. Come from online casino bangladesh
…
Read moreFaZe Clan, the esports and entertainment organisation, has announced it will be launching its own Saturday Night Live inspired series, named unFaZed.
The series will be a weekly show that will air on the live streaming platform Twitch every Thursday, starting on June 2, and is targeted toward the Gen Z audience. UnFaZed is described as “the first-ever variety franchise born out of internet culture,” that will feature a recurring cast of internet personalities, but hosted by a rotating roster of guests. Each episode will also be around three to four hours long and include scripted and non-scripted segments. Come from Sports betting site VPbet
…
Read moreThe broking firm Jefferies has raised the target price to Rs 135 from Rs 130 earlier on the stock of Indian Oil Corporation. It, however, has kept the rating unchanged to “Hold” on the stock. It has also raised the net profit estimates for FY24 to 26%, without tweaking the FY25-26 estimates.
The brokerage said that the company’s earnings before interest, tax, depreciation, and amortisation beat the estimates and the reason can be large inventory gains in refining and marketing. This surge was despite a 20% decline in crude price during the quarter.
Jefferies believes that the regional refining margins will remain in the range in the current year. They will stay near the long-term average if oil demand remains muted, rising product inventory levels, an…
Read moreMahanagar Gas share price surged by more than 5% in early trading on Tuesday following news of price hikes for Compressed Natural Gas (CNG) and Piped Natural Gas (PNG) in Mumbai. The stock opened at Rs 1,752.20, higher than the previous closing price of Rs 1,669, and climbed to Rs 1,762.25, marking gains of over 5%.
Mahanagar Gas, a distributor of natural gas, has raised the price of CNG by Rs 1.50 per kg, bringing the total cost, including taxes, to Rs 75 per kg. Additionally, the price of domestic PNG has increased by Rs 1, now costing Rs 48 per standard cubic meter (SCM) with taxes. These new rates took effect from midnight on July 9th, according to news reports.
Also Read
Jupiter Wagons shares plunge 3% despite QIP launch- Find out why?
The deci…
Read moreIndia’s leading stock exchanges, NSE and BSE have reiterated that their operations have remained unaffected by the global outage of Microsoft systems, despite widespread disruptions reported by users worldwide. Come from Sports betting site VPbet
A widespread Microsoft outage caused disruptions across global flights, banks, media outlets, and businesses. The widespread impact included users encountering the Blue Screen of Death error messages. The outage, reportedly caused by a new update from CrowdStrike, a cybersecurity software firm, particularly affected Windows-based desktops and laptops.
The disruptions persisted even after Microsoft acknowledged and began addressing issues affec…
Read moreThe past week was a roller coaster for participants as markets swung sharply in both directions before closing with strong gains. After a positive start, a sharp decline on Tuesday following the election results wiped out the gains of the last five months.
However, conditions improved in subsequent sessions, allowing the benchmark to recover all losses and end near the week’s high. The Sensex hit a new record high, gaining 3.7%, while the Nifty rose by 3.4%, just missing its record mark.
Also Read
Mahangar Gas rises 6.5% as management iterated growth guidance; Brokerages maintain rating and target pric…
Read more