Crude oil prices have accelerated the daily upside today, lifting the West Texas Intermediate to the area of $51.90 per barrel, fresh YTD tops.
WTI higher after EIA’s report
Prices for the WTI are testing sub-$52.00 levels after the EIA reported an unexpected decrease in crude oil inventories by more than 5.2 million barrels on the week to October 14. It is worth noting that market expectations were pointing to a build up of nearly 2.5 million barrels. Further data saw crude oil production rising to nearly 8.5 million barrels per day.
Inventories at Cushing dropped by more than 1.6 million barrels, while Gasoline inventories increased by nearly 2.5 million barrels.
WTI is thus extending its upbeat momentum for the second consecutive session, navigating fresh yearly peaks just below the $52.00 mark in responses to a softer buck and decreases in stockpiles reported by the API and the EIA.
WTI levels to consider
At the moment the barrel of WTI is advancing 2.90% at $51.75 facing the next resistance at $53.89 (high Jul.10 2015) followed by $62.58 (high May 6 2015). On the other hand, a drop below $49.15 (low Oct.10) would expose $48.86 (20-day sma) and finally $46.54 (55-day sma).