|

WTI climbs further beyond $81.00/barrel mark, hits fresh YTD peak amid supply concerns

  • WTI prolongs its upward trajectory on Monday and climbs to a fresh YTD peak.
  • Concerns about tightening global supply continue to benefit the commodity.
  • Hawkish Fed expectations might keep a lid on any further appreciating move.

West Texas Intermediate (WTI) US Crude Oil prices build on last week's strong gains of nearly 4% and gain some follow-through positive traction on Monday. The momentum lifts the black liquid to the $81.45-$81.50 area, or the highest level since November 2023 during the early part of the European session and is sponsored by worries about tightening supply.

Against the backdrop of disruptions caused by Houthi attacks in the Red Sea, Ukraine stepped up drone strikes on Russian oil refineries over the last week. Moreover, Israeli Prime Minister Benjamin Netanyahu confirmed on Sunday he will proceed with plans to push into Gaza's Rafah enclave. This comes after OPEC+ members decided to extend the production cuts of 2.2 million barrels per day through the second quarter and fueled concerns about a tight global supply, which, in turn, is seen acting as a tailwind for Crude Oil prices.

It, however, remains to be seen if bulls can maintain their dominant position or opt to take some profits off the table amid expectations that the Federal Reserve (Fed) will keep interest rates higher for longer, which might hamper economic activity and dent fuel demand. Nevertheless, the aforementioned fundamental backdrop favours bullish traders and suggests that the path of least resistance for Crude Oil prices remains to the upside. Hence, any meaningful corrective pullback might be seen as a buying opportunity and remain limited.

WTI US OIL

Overview
Today last price81.47
Today Daily Change0.90
Today Daily Change %1.12
Today daily open80.57
 
Trends
Daily SMA2078.28
Daily SMA5076.13
Daily SMA10075.54
Daily SMA20078.12
 
Levels
Previous Daily High80.88
Previous Daily Low80.01
Previous Weekly High81.05
Previous Weekly Low76.5
Previous Monthly High79.27
Previous Monthly Low71.46
Daily Fibonacci 38.2%80.55
Daily Fibonacci 61.8%80.34
Daily Pivot Point S180.09
Daily Pivot Point S279.61
Daily Pivot Point S379.21
Daily Pivot Point R180.97
Daily Pivot Point R281.36
Daily Pivot Point R381.84

Author

Haresh Menghani

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

More from Haresh Menghani
Share:

Editor's Picks

AUD/USD consolidates above 0.7000; remains close to monthly top

AUD/USD holds steady above 0.7000 during the Asian session on Friday, trading just below the previous day's monthly low amid diverging forces. A hawkish RBA continues to support the Aussie, while the recent decline in US bond yields keeps the US Dollar depressed near a three-week low. However, oil-driven inflation fears reinforce Fed hike bets, which, along with geopolitical risks, could benefit the safe-haven buck and cap the currency pair.

USD/JPY bounces off one-month low; climbs to 157.00 amid reviving USD demand

USD/JPY rebounds from the 156.00 neighborhood, or a one-month low touched during Friday’s Asian session, with bulls looking to extend momentum beyond 157.00 amid the emergence of some US Dollar buying. Meanwhile, Japan's National CPI rose to a nine-month peak and reaffirmed BoJ rate-hike bets, which could support the Japanese Yen and cap gains for the currency pair.

Gold treads water around $4,000

Gold prices maintain its offered stance in place at the end of the week, hovering around the key $4,000 threshold per troy ounce. The persistent selling bias in the precious metal comes amid decent gains in the US Dollar and an acceptable rebound in US Treasury yields across the curve, all alongside further upside traction in crude oil prices.

Crypto Today: Bitcoin holds the 50-day EMA as Ethereum and XRP face structural resistance

Bitcoin gradually ticks up on Friday, trading above $81,000. The Crypto King has recently defended structural support near $80,000, reinforcing the prevailing bullish outlook. Ethereum similarly edges higher above $2,400, while Ripple trades above $1.32 after testing support around $1.30.

The French bond panic is overdone. Here's what the market is misreading 

France's 10-year government bond yield has climbed above 5%, reigniting fears of a sovereign debt crisis in the Eurozone. With public debt exceeding €3.5 trillion, persistent budget deficits and a fragmented political landscape, investors are increasingly questioning the French government's ability to stabilize its finances.

What November 3 means for the Fed's rate path and the US Dollar

The USD faces a decisive period ahead of the November 3 midterm elections. While markets anticipate another interest rate increase from the Fed in December, the battle for control of Congress could reshape fiscal policy expectations and, indirectly, the path of US monetary policy in 2027.