WTI trims losses, back around $51.00 ahead of API

Pablo Piovano FXStreet

After bottoming out in the mid-$50.00s, the barrel of West Texas Intermediate has now regained the $51.00 neighbourhood ahead of the API’s weekly report.

WTI attention to API

The rally in crude oil prices stays well and sound during the first half of the week, prompting the barrel of the American reference for the sweet light crude oil to clinch its third week with gains and advance to 5-week peaks at the same time.

Prices for the black gold stay firm so far, always backed by increasing expectations of an extension of the ongoing OPEC/non-OPEC output cut deal, likely to be announced at the OPEC meeting on Thursday. According to OPEC delegates, the cartel’s Committee should study 6.9 and 12 month extensions.

In the data space, Markit’s advanced Manufacturing PMI for the current month is next on tap followed by New Home Sales and the speech by Minneapolis Fed N.Kashkari (voter, dovish). In addition, the API’s weekly report on US crude oil stockpiles is also due.

WTI levels to consider

At the moment the barrel of WTI is losing 0.02% at $51.12 and a break below $50.59 (low May 23) would aim for $49.94 (61.8% Fibo of the April-May drop) and finally $49.64 (200-day sma). On the flip side, the next hurdle lines up at $51.40 (76.4% Fibo of the April-May drop) seconded by $52.65 (high Apr.18) and then $53.76 (high Apr. 12).

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD onsolidates around mid-1.1800s as traders keenly await FOMC Minutes

The EUR/USD pair struggles to capitalize on the previous day's goodish rebound from the 1.1800 neighborhood, or a one-and-a-half-week low, and consolidates in a narrow band during the Asian session on Wednesday. Spot prices currently trade just below mid-1.1800s, nearly unchanged for the day.

GBP/USD seems vulnerable near mid-1.3500s; UK CPI/FOMC Minutes awaited

The GBP/USD pair struggles to capitalize on the previous day's late rebound from an over one-week low – levels below the 1.3500 psychological mark – and trades with a negative bias for the third consecutive day on Wednesday. The downside, however, remains cushioned as investors seem reluctant to place aggressive directional bets ahead of the release of the latest UK consumer inflation figures and FOMC Minutes.

Gold bounces back toward $4,900, looks to FOMC Minutes

Gold is attempting a bounce from the $4,850 level, having touched a one-week low on Tuesday. Signs of progress in US–Iran talks dented demand for the traditional safe-haven bullion, weighing on Gold in early trades. However, rising bets for more Fed rate cuts keep the US Dollar bulls on the defensive and act as a tailwind for the non-yielding yellow metal. Traders now seem reluctant ahead of the FOMC Minutes, which would offer cues about the Fed's rate-cut path and provide some meaningful impetus.

Top Crypto Gainers: Jito drops, Morpho holds steady, Convex Finance climbs

Decentralized Finance tokens, including Jito, Morpho, and Convex Finance, rank among the top-performing crypto assets over the last 24 hours. Jito dips on Wednesday after rallying 22% the previous day on the launch of a new mainnet node.

UK jobs market weakens, bolstering rate cut hopes

In the UK, the latest jobs report made for difficult reading. Nonetheless, this represents yet another reminder for the Bank of England that they need to act swiftly given the collapse in inflation expected over the coming months.

Ripple slides to $1.45 as downside risks surge

Ripple edges lower at the time of writing on Tuesday, from the daily open of $1.48, as headwinds persist across the crypto market. A short-term support is emerging at $1.45, but a buildup of bearish positions could further weaken the derivatives market and prolong the correction.