West TX Oil Near $104 Before Supply Data

West Texas Intermediate traded near the highest price in three weeks before stockpile data that may signal the strength of fuel demand in the U.S., the world’s biggest oil consumer. Brent was steady in London.

Futures were little changed in New York after rising 1.4 percent yesterday. Crude inventories probably shrank by 2.8 million barrels last week, according to a Bloomberg News survey before a report from the Energy Information Administration tomorrow. The United Nations Security Council voted unanimously to approve a resolution calling for an international probe into the downing of the Malaysian Air passenger jet in Ukraine.

“We’re now deep into drive time and all the numbers look like it’s been a reasonable season, but there’s been adequate supply to cover it,” David Lennox, a resource analyst at Fat Prophets in Sydney, said of the summer, the peak U.S. driving period. “That’s probably stopping the oil price rushing up to $110. There’s also the potential that we may see further sanctions on Russia and that could include energy sanctions.”

Bloomberg

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.