Crude Oil Prices Hold Firm At $88/bbl On Decline In US Dollar, Prices Have Surged 3% In April
let’s keep equities aside let’s focus on
the commodity space Manisha Gupta joins
us to fill us in with what’s going on
there Manisha thank you for that Nigel
I’m looking at the crude oil prices
because we’ve seen very volatile moves
come into this one we are holding back
above $88 a barrel remember last week
was a 3% decline but this week we’ve
more or less tried to play that range
between 87 to 91 on the higher side well
the strength comes in on the back of
decline in US dollar Index which is
still holding below 106 and that has led
to buying in many of these dollar
denominated commodities so when you look
at the crude oil prices for the month of
April we have seen 3% of gains onto this
one it clearly is off the high of $915 a
barrel which was not just the high in
April but the high for this year as well
since then this has continued to base as
a resistance in case of the crude oil
prices there we also are looking at a
very big gap when you look at the US
crude and the Bren crude prices so 83
and 88 tells you that there’s a $5 off a
gap between both the crude prices here
as well markets also have reacted to the
eia data which is showing 6.4 million
barrels of a draw in the US inventories
while the street was anticipating 1.6
million barrels of a buildup so this has
been a surprise and is the reason that
you are looking at that half a percent
off a gain for the crude oil prices
there well it also is about the US GDP
numbers and the PC index data that comes
in from us in today and tomorrow and
that would give you further Direction
markets also have seen some buying ahead
of these numbers well this will tell you
on inflation and the rate cut cues going
forward but most of the tangible
Commodities actually have come into
buying ahead of this important data and
then there’s lot of contradicting
fundamentals also continuing in case of
crude oil prices is the reason that you
have seen $91 hold as a resistance the
one is that oil tankers which have been
idling at Red Sea have made now progress
in deliveries which is reaching its
destination so that concern about
delayed and uh disruption in supplies
also seems to be getting taken care of
the other thing is about uh lower uh
expectation when you look at military
escalation in the Middle East that is
taken some premium of the prices as well
analyst would tell you that nearly $5
to8 of a geopolitical premium buildup
that we are seeing in crude is something
that the crude prices will more or less
continue to maintain but if we see more
deescalation then the crude prices can
decline to 85 and levels of below as
well well us is looking to reinstate
sanctions on Venezuela which is already
happened and Iran companies oil
companies as well could come under that
radar that would be an added you know
positive sense in case of the crude oil
prices there interesting report from ANZ
which says that the global oil demand
for the month of April stands at a 101
million barrels per day which is still
on the higher side and we have seen
demand continue on the stronger side
from us China physical markets continue
to buy as well and Europe while has
enough gas but the crude imports there
have been on the stronger side so couple
of supportive factors coming in from
there okay thanks a lot for that let’s
[Music]
Crude oil prices hold firm at $88/bbl, aided by the declining Dollar. Prices have surged 3% in April. Manisha Gupta tells us all about crude on Commodity Corner today.
#crudeoil #crudeoilprices #crudeoilprice #commodityprice #commodities #commoditymarket #cnbctv18 #businessnews #businessnewstoday #businessnewsinenglish #sharemarkettoday
🔴CNBC TV18 LIVE TV: https://youtube.com/live/P857H4ej-MQ
SUBSCRIBE to our Channel: https://bit.ly/3nvEcxf
———————————————————————————————————————
👑 Check Out Top CNBC TV18 Playlist Videos:
🔹CNBC TV18 Budget 2024: https://www.youtube.com/playlist?list=PLjq9mRS1PfGAh4mRbMxpMJTx7EXzii-Uf
🔹CNBC TV18 Digital Podcast: https://www.youtube.com/playlist?list=PLjq9mRS1PfGCUcGVQvYyDQ6VVHoo3ZDKJ
🔹Sounding Board: https://www.youtube.com/playlist?list=PLjq9mRS1PfGBbB2dV2tyHdzx_k9EqvVEm
🔹International Videos: https://www.youtube.com/playlist?list=PLjq9mRS1PfGDZ-Dkz-VpCDqqmWThJ3YJw
🔹CNBC TV18 Market Cafe: https://www.youtube.com/playlist?list=PLjq9mRS1PfGDANftdnJchuL-WPpSv5rmH
🔹CNBC TV18 Digital: https://www.youtube.com/playlist?list=PLjq9mRS1PfGDLhtM8FzErPcjmJRQ4I5cZ
🔹CNBC TV18 Weekend Special: https://www.youtube.com/playlist?list=PLjq9mRS1PfGBHEa5NnoKuUsX5GwxEGuri
🔹CNBC TV18 Next-Gen: https://www.youtube.com/playlist?list=PLjq9mRS1PfGA6roe9q3J9fq_gBIDjX2w7
🔹Overdrive Show: https://www.youtube.com/playlist?list=PLjq9mRS1PfGCnSVjfbWfNCJLrv-CqfGmH
🔹Young Turks: https://www.youtube.com/playlist?list=PLjq9mRS1PfGBZaN1e38X2ZmevnU1e1NJs
🔹Startup Streets: https://www.youtube.com/playlist?list=PLjq9mRS1PfGD3CzrtMr_VJRbIly6sfyFI
————————————————————————————
You can also connect with CNBC-TV18 News Online
Catch the latest news: https://bit.ly/2YbpXBM
Follow CNBC-TV18 round the clock: https://www.cnbctv18.com/live-tv/
Stay updated with all the market action in real time: https://www.cnbctv18.com/market-live/
You can also stay updated with all the latest news on-the-go with CNBC-TV18 Minis: https://www.cnbctv18.com/minis/
Like us on Facebook: https://www.facebook.com/cnbctv18india/
Follow us on Twitter: https://twitter.com/CNBCTV18News
Follow us on Instagram: https://www.instagram.com/cnbctv18india/
Catch us on: Linkedin: https://in.linkedin.com/company/cnbc-tv18
n18oc_business
About CNBC-TV18: India’s leading business news channel, CNBC-TV18 offers the most comprehensive coverage of businesses, the economy and the financial markets. Catch all your favourite shows, exclusive videos, big-ticket interviews and more here.