WTI weaker, parked around $68.50 post-EIA
- Crude oil prices remain on the defensive in the mid-$68.00s.
- WTI retreats for the second session in a row.
- US crude oil supplies increased by around 3. mbpd last week.
Prices of the barrel of the American reference for the sweet light crude oil are grinding lower today, revisiting the mid-$68.00s in the wake of the EIA’s weekly report.
WTI in multi-day lows post-EIA
Prices of the barrel of the West Texas Intermediate are trading on a soft note today after the EIA reported US crude oil inventories went up by 3.803 mbpd during the week ended on July 27, more than initial forecasts suggested.
Furthermore, Weekly Distillate Stocks rose by 2.983 mbpd and Gasoline inventories dropped by 2.536 mbpd, coming in above prior surveys.
In addition, inventories at Cushing shrunk by 1.338 mbpd, adding to last week’s 1.127 mbpd drop.
In the meantime, crude oil prices are prolonging the weekly leg lower and trade in fresh multi-day lows after the OPEC announced it increased its production during last month.
Somewhat limiting the down move, traders keep looking to the potential US sanctions on Iran’s oil exports.
Later in the week, Baker Hughes will publish its weekly report on the US drilling activity.
WTI significant levels
At the moment the barrel of WTI is losing 0.04% at $69.25 facing the next down barrier at $68.33 (low Aug.1) followed by $68.12 (100-day sma) and then $67.08 (low Jul.18). On the other hand, a breakout of $69.86 (10-day sma) could aim for $71.39 (high Jul.30) and finally $71.69 (high Jul.13).