Profitbooking drags down Oil
20/04/2015 09:27
Crude oil futures ended lower in the domestic and overseas market on Friday as investors and speculators booked profits in the energy commodity after a stellar rally in previous sessions amid hopes that the US shale oil boom is leveling off and production may slow in the coming months, evident by a drilling slowdown, easing worries over a global supply glut.
US oil rig count fell for the nineteenth week on the trot, down by 26 to the lowest level since 2010 at 734 in the week ended April 17, 2015.
Investors cast aside robust US economic data which eased concerns over a slowdown in the world’s biggest economy, lifting the demand outlook for the fuel. Consumer confidence in the US soared to the second highest level since 2007 this month while a leading index climbed in March.
The gauge measuring US consumer sentiment rose to 95.9 in April from 93 in March. The US leading index climbed 0.2 per cent in March from the previous month, when it rose 0.1 per cent.
Oil futures may rebound today amid signs of a weaker US production in the coming months.
At the MCX, Crude oil futures, for the April 2015 contract, closed at Rs 3,494 per barrel, down by 1.83 per cent, after opening at Rs 3,536, against the previous close price of Rs 3,481. It touched an intraday low of Rs 3,481 till the closing.
20/04/2015 09:27
Crude oil futures ended lower in the domestic and overseas market on Friday as investors and speculators booked profits in the energy commodity after a stellar rally in previous sessions amid hopes that the US shale oil boom is leveling off and production may slow in the coming months, evident by a drilling slowdown, easing worries over a global supply glut.
US oil rig count fell for the nineteenth week on the trot, down by 26 to the lowest level since 2010 at 734 in the week ended April 17, 2015.
Investors cast aside robust US economic data which eased concerns over a slowdown in the world’s biggest economy, lifting the demand outlook for the fuel. Consumer confidence in the US soared to the second highest level since 2007 this month while a leading index climbed in March.
The gauge measuring US consumer sentiment rose to 95.9 in April from 93 in March. The US leading index climbed 0.2 per cent in March from the previous month, when it rose 0.1 per cent.
Oil futures may rebound today amid signs of a weaker US production in the coming months.
At the MCX, Crude oil futures, for the April 2015 contract, closed at Rs 3,494 per barrel, down by 1.83 per cent, after opening at Rs 3,536, against the previous close price of Rs 3,481. It touched an intraday low of Rs 3,481 till the closing.
