USD/CHF and EUR/CHF rose to tactical highs. What's next?
Oil prices sink in Asia as market mulls supply outlook
On Monday, crude prices gave up early revenues in Asia after a weekend gathering that saw some pledge for the extension of a coordinated output drop by OPEC as well as non-OPEC key producers.
A joint committee of ministers from OPEC and also non-OPEC oil producers has decided to review whether a global pact to restrict supplies should be extended by six months. Crude sector experts told that the lack of an immediate extension could drag on oil prices.
US West Texas Intermediate May delivery crude futures dropped 0.19%, hitting $47.88 in New York. Besides this, in London, Brent crude May delivery futures sagged 0.04%, trading at $50.78 a barrel.
In the week ahead, market participants will eye fresh weekly information on American stockpiles of crude as well as refined products in order to assess the strength of demand in the world’s number one crude consumer.
The previous week, crude futures settled higher on Friday, though posted a weekly loss of about 2% as the market weighed ascending shale output and record-high stockpiles in America against efforts by key producers to reduce output to tame a global glut.
Eurozone, France, and Germany will publish the flash services and manufacturing PMIs on February 19, from 10:15 to 11:00 MT time
Australia will publish the employment change and unemployment rate on February 18, at 02:30 MT time.
Great news for oil bulls! OPEC and its allied producers agreed to expand output cuts for the next month.
The USD skyrocketed after Fed Powell’s speech. OPEC and allied producers agreed to extend production cuts for another month. Oil surged.
The European Central Bank publishes its monetary policy statement that includes an announcement of the interest rate on March 11, at 14:45 MT time.