WTI jumps to fresh multi-year highs above $75 on OPEC headlines

Oil prices surge higher on latest OPEC headlines.
OPEC+ reportedly looks to ease output cuts by around 2 million barrels per day until end of year.
Producers are expected to debate extension to output curbs until end of 2022.

Eren Sengezer FXStreet

Crude oil prices are surging higher on Thursday as investors react to the most recent OPEC+ headlines as the highly-anticipated meeting goes underway. As of writing, the barrel of West Texas Intermediate (WTI) was trading at its highest level since October 2018 at $75.60, rising nearly 3% on a daily basis.

Earlier in the day, Reuters reported that OPEC+ was looking to ease output cuts by around 400,000 barrels per day from August to December, bringing the total reduction to 2 million barrels per day by the end of the year. Russia and Saudi Arabia have reportedly reached a preliminary deal on the output strategy as well.

Moreover, OPEC+ sources told Reuters that producers will be debating an extension to oil output curbs until the end of 2022.

Technical levels to watch for

WTI

Overview
Today last price	75.07
Today Daily Change	1.95
Today Daily Change %	2.67
Today daily open	73.12

Trends
Daily SMA20	71.42
Daily SMA50	67.5
Daily SMA100	64.49
Daily SMA200	55.02

Levels
Previous Daily High	73.8
Previous Daily Low	72.48
Previous Weekly High	74.05
Previous Weekly Low	70.69
Previous Monthly High	74.17
Previous Monthly Low	66.78
Daily Fibonacci 38.2%	72.98
Daily Fibonacci 61.8%	73.3
Daily Pivot Point S1	72.46
Daily Pivot Point S2	71.81
Daily Pivot Point S3	71.14
Daily Pivot Point R1	73.79
Daily Pivot Point R2	74.46
Daily Pivot Point R3	75.11

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

AUD/USD keeps range near mid-0.7100s as USD bulls await US CPI

AUD/USD steadies near mid-0.7100s in the Asian session on Friday, stalling the previous day's sharp decline to an over one-week low. The August PPI report reaffirmed Fed rate-hike bets and boosted the US Dollar on Thursday, which weighed heavily on the pair. However, hawkish RBA expectations limited losses for the Aussie as USD bulls now await the release of the US consumer inflation figures before placing fresh bets.

USD/JPY holds lower ground toward 154.00; looks to US CPI

USD/JPY holds lower ground toward 154.00 in the Asian session on Friday after hot Japanese PPI data bolster a more hawkish BoJ repricing and provide fresh impetus to the Japanese Yen. However, the downside appears capped as the US Dollar preserves overnight gains ahead of the latest US consumer inflation data.

Gold: Gains remain capped by $4,400

Gold regains composure and trades with decent gains on Friday, managing to refocus attention on the $4,440 mark per ounce troy. Therefore, the precious metal reverses Thursday’s decline as the US Dollar alternates gains with losses at the end of the week.

Ripple Price Forecast: XRP extends decline as returning ETF inflows fail to lift outlook

Ripple (XRP) falls below $1.33 on Friday, marking the third consecutive day of declines. The token continues to track the broader cryptocurrency market downturn, with investors closely monitoring heightened macroeconomic uncertainty ahead of the United States (US) Consumer Price Index (CPI) release and next week’s Federal Reserve (Fed) monetary policy decision.

Weekly focus – The hawks set the tone

Risky assets came under pressure this week as energy prices kept creeping higher and the ECB surprised the markets with a hawkish tone. The price of Brent crude touched USD 110 per barrel on Thursday night, highest since mid-May, as news emerged that the Yemeni Houthis had reached control of key port cities and islands near the Bab el-Mandeb strait.

Venezuela’s 65-billion-barrel Oil deal could reshape America’s inflation fight

The United States (US) has secured unprecedented access to part of Venezuela’s vast Oil reserves. The timing is particularly significant as the war with Iran is disrupting Middle Eastern supplies, keeping energy prices elevated and reviving concerns about inflation.