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Weekly Price Performance
On a weekly basis, Nymex crude oil prices gained 2.23 percent. On the domestic bourses, prices increased 4.19 percent and closed at Rs. 4,913/bbl on Friday. Prices gained taking cues from firmness in the international prices along with depreciation in the Indian rupee.
US Energy Department Facts and Figures
As per the US Energy Department (EIA) report last night, US crude oil inventories declined as expected by 964,000 barrels to 371.60 million barrels for the week ending on 14th December 2012. Gasoline stocks rose by 2.21 million barrels to 219.30 million barrels and whereas distillate stockpiles slipped by 1.09 million barrels to 117.0 million barrels for the last week.
Factors that influenced crude oil prices
Expectations of rise in the demand in the final 3 months of 2012 to average of 90.5 million barrels per day, 0.5 percent higher than earlier forecast by the IEA. Favorable data from the US and Chinese economy raised hopes that the demand might improve from the key consuming nations in the coming months. Weakness in the DX in the early part of the week Decline in the US Crude oil inventories. However, no resolution to the US fiscal cliff issue as negotiations stalled capped sharp gains.
Outlook
Crude oil prices are expected to gain strength due to favorable data from the US and China. Concerns of fiscal cliff issue in the US is expected to however, cap sharp gains in the prices. In Indian markets depreciation in the Rupee will act as a supportive factor for the crude prices on MCX.
Weekly Technical Levels
Nymex Crude Oil: Support: $87.50/85.20 Resistance $91.30/93.60 (CMP:86.42)
Buy MCX Crude Oil Jan between 4850-4860, SL - 4770, Target – 4980 (CMP:4893)
On a weekly basis, Nymex crude oil prices gained 2.23 percent. On the domestic bourses, prices increased 4.19 percent and closed at Rs. 4,913/bbl on Friday. Prices gained taking cues from firmness in the international prices along with depreciation in the Indian rupee.
US Energy Department Facts and Figures
As per the US Energy Department (EIA) report last night, US crude oil inventories declined as expected by 964,000 barrels to 371.60 million barrels for the week ending on 14th December 2012. Gasoline stocks rose by 2.21 million barrels to 219.30 million barrels and whereas distillate stockpiles slipped by 1.09 million barrels to 117.0 million barrels for the last week.
Factors that influenced crude oil prices
Expectations of rise in the demand in the final 3 months of 2012 to average of 90.5 million barrels per day, 0.5 percent higher than earlier forecast by the IEA. Favorable data from the US and Chinese economy raised hopes that the demand might improve from the key consuming nations in the coming months. Weakness in the DX in the early part of the week Decline in the US Crude oil inventories. However, no resolution to the US fiscal cliff issue as negotiations stalled capped sharp gains.
Outlook
Crude oil prices are expected to gain strength due to favorable data from the US and China. Concerns of fiscal cliff issue in the US is expected to however, cap sharp gains in the prices. In Indian markets depreciation in the Rupee will act as a supportive factor for the crude prices on MCX.
Weekly Technical Levels
Nymex Crude Oil: Support: $87.50/85.20 Resistance $91.30/93.60 (CMP:86.42)
Buy MCX Crude Oil Jan between 4850-4860, SL - 4770, Target – 4980 (CMP:4893)