WTI: On the back foot above $23.00, ignores OPEC+, US Pres. Trump
|- WTI nears one-week low, fails to cheer upbeat catalysts.
- OPEC+ agreement, optimistic comments from US President Trump and Baker Hughes Rig Counts couldn’t convince buyers.
- G20, China CPI in the spotlight, but Good Friday will limit the moves.
WTI pays a little heed to an agreement over the global production cuts, coupled with US President Donald Trump’s comments, while declining to $23.10 amid the Asian session on Friday.
The Organization of the Petroleum Exporting Countries (OPEC) and its allies including Russia, mostly known as OPEC+, recently signaled a 10 million per day cuts to global oil productions. A delegate from the cartel mentioned that the OPEC will follow 60% of the proposed cut while allies will offer 40% of the promised figures.
Following that, US President Trump also cited a good conversation with Saudi Arabia and Russia while suggesting big news during the long weekend.
Also on the positive lines were the Baker Hughes Weekly Oil Rig Counts that marked the fourth straight weekly drop to 504 from 562.
The concern for oil traders could be tamed by the coronavirus (COVID-19) crisis as well as a lack of clarity as well as rising inventories in the US.
Market players now await China’s March month inflation data for fresh impulse whereas the Good Friday holiday could keep the liquidity in check.
Technical analysis
Another failure to cross 21-day EMA, currently around $27.00, seems to drag the black gold towards $20.00 psychological magnet.
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