WTI chalks in a seventh straight gain on Tuesday as geopolitical headlines remain.
A bumper US CPI inflation print keeps barrel prices capped.
US API Weekly Crude Stocks surged once again.
West Texas Intermediate (WTI) US Crude Oil climbed for a seventh consecutive day on Tuesday, testing the $78.00 per barrel price handle before settling near $77.40. Geopolitical tensions continue to keep Crude Oil bolstered, but an overhang in US crude supplies is weighing down energy markets, alongside a hotter-than-expected US Consumer Price Index (CPI) inflation print restraining investor sentiment.
US CPI inflation declines to 3.1% in January vs. 2.9% forecast
US CPI inflation came in higher and hotter than markets were hoping for, driving down money market expectations of a Federal Reserve (Fed) rate cut. The CME’s FedWatch Tool shows rate markets are now pricing in a first Fed rate trim in June, helping to keep oi barrel bids under pressure.
Geopolitics continue to be the main driver of Crude Oil upside momentum as a ceasefire in the Gaza conflict appears to be elusive, and the Russia-Ukraine conflict continues to slow burn on Eastern European markets as sanctions weigh on Russian Crude Oil markets.
The US’ American Petroleum Institute’s (API) weekly barrel counts showed a surprise buildup of 8.52 million barrels in the US Crude Oil supply stream, a much higher buildup than the forecast 2.6 million barrels. It is the largest buildup of US Crude Oil since the API’s mid-November barrel counts print
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
Hot
No comment on record. Start new comment.