Crude Oil News: Will Crude Oil break its key resistance?

Crude Oil News: Will Crude Oil break its key resistance?

In the latest crude oil news, crude rose more than 1 percent in quiet trade in the first week of a UK and US bank holiday after the outlook for US interest rates suggested a quiet week for inflation.

In addition, US personal consumption (PCE) inflation numbers will be updated later this week, a key read for investors anticipating a Fed rate cut. Markets expect Friday’s US PCE price index to remain at 2.8% in April.

Wednesday’s German inflation data and Friday’s Eurozone readings are also being followed by signs of a European interest rate hike that traders expected next week.

Apart from all the other crude oil news , all eyes are also be on the upcoming online meeting of the OPEC+ on June 2,2024. The Organization of the Petroleum Exporting Countries (OPEC) and its extended membership network, OPEC+, are broadly expected to maintain voluntary production caps that were initially adopted in 2023 to prop up global Crude Oil prices. With US production continuing to ramp up and outpace demand, OPEC+ is likely to keep production limits in place to try and sop up excess production. OPEC+’s meeting is slated for June 2.

The producers will discuss whether to extend voluntary output cuts of 2.2 million barrels per day into the second half of the year, with three sources from OPEC+ countries saying an extension was likely.

Meanwhile in other crude oil news, Goldman Sachs raised its global oil demand forecast for 2030 on Monday and expects consumption to peak by 2034 on a potential slowdown in electric vehicle (EV) adoption, keeping refineries running at higher-than-average rates till the end of this decade

Technical Outlook – Crude Oil News

The crude oil price rose by 1.17% yesterday. The crude oil price rose to 6,565 and settled at 6,547 from the previous day’s close of 6,471.00.

Since last week, the crude oil price has turned positive and recovered more than 2.20% from a low of 6345.00. Although the prices form a small shadow on the white candlestick.

In the near term, prices are expected to remain below the consolidation zone and possibly remain in the 6620-6350.00 range.

On the upside, immediate resistance is 6620 above 6750.00. on the downside, immediate support is at 6350 below 6280-6220.00

Happy Trading!

Commodity Samachar
Learn and Trade with Ease

Also Read:Economic Data: Japan Inflation & US Consumer confidence in focus today! Bulls taken initative nifty made all time high but closes in red what next?

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