WTI tumbles to fresh lows, breaches $68.00 on EIA
- Crude oil prices dropped below $68.00/bbl post-EIA.
- WTI clinches fresh 4-day lows.
- US crude oil supplies dropped by around 1.35 mbpd last week.
Prices of the barrel of the American reference for the sweet light crude oil are falling further today, breaking below the $68.00 mark per barrel.
WTI in multi-day lows post-DoE report
Prices of the barrel of the West Texas Intermediate are trading on a weaker footing today after the EIA reported US crude oil inventories decreased less than initially estimated by 1.351 mbpd during the week ended on August 3.
Further out, Weekly Distillate Stocks rose by 1.230 mbpd and Gasoline inventories unexpectedly increased by 2.900 mbpd.
Additionally, inventories at Cushing shrunk by 0.590 mbpd, adding to last week’s 1.338 mbpd drop.
After two consecutive daily advances, WTI has now eroded those gains and retreated to the area of multi-day lows at shouting distance from the $68.00 mark per barrel.
Concerns over recent figures from Chinese crude oil exports have been weighing on traders’ sentiment, although the descent should be somewhat tempered by rising speculations of further US sanctions against Iran.
Later on Friday, Baker Hughes will publish its weekly report on the US oil rig count.
WTI significant levels
At the moment the barrel of WTI is losing 2.48% at $67.90 facing the next down barrier at $67.08 (low Jul.18) seconded by $64.34 (200-day SMA) and finally $63.59 (low Jun.18). On the other hand, a breakout of $69.60 (10-day sma) could aim for $70.56 (high Aug.6) and then $71.39 (high Jul.30).