This week started with the talk of the United States banning Russian oil exports, so XBR/USD saw $130 a barrel. Then the ban became reality. What does it really mean for the market?
Oil slides as ongoing glut outperforms strong start to US summer driving
On Tuesday, a run by American crude prices toward $50 a barrel lost steam because everlasting worries of oversupply supplanted signs of a powerful start to the US summer driving season.
American West Texas Intermediate crude futures grew above $50 per barrel during early trade, although rebounded to $49.77, losing 3 cents.
Market experts told that the early price boost emerged from indicators that American summer driving faced a strong kick-off.
American demand for transport fuels, including gasoline for vehicles, diesel for buses as well as jet fuel for aircraft tends to inch up considerably as families visit friends as well as relatives or go on summer vacation. The summer driving season officially burst out on the Memorial Day holiday at the beginning of this week.
Market participants stressed that everlasting worries of oversupply were applying pressure on crude prices.
US Energy Information Administration will reveal Crude oil inventories on February 9, 17:30 GMT+2.
On Wednesday, February 2, during the day, members of the Organization of Petroleum Exporting Countries (OPEC) and Joint Ministerial Monitoring Committee (JMMC) will discuss a range of issues regarding energy markets and, most importantly, agree on how much oil they will produce.
The US Census Bureau will announce Core Retail Sales and Retail Sales on Tuesday, May 17 at 15:30 MT.
The US PPI will come out on Thursday, May 12, at 15:30 MT time.
The US CPI will come out on Wednesday, May 11, at 15:30 MT time (GMT+3).