22 Dec 2014
WTI Crude falls below USD 56.00/barrel
FXStreet (Mumbai) - Crude prices at both the sides of the Atlantic have erased their entire gains to trade more than 1% lower after the Saudi Oil Minister stated readiness in increasing output if required.
WTI Crude for February delivery currently trades 2.00% lower at USD 55.99/barrel, while the Brent Crude for February delivery trades 1.185 lower at USD 60.62/barrel. Crude prices came under pressure as Saudi Oil Minister’s comments erased any hopes of a possible cut in the oil production by the OPEC’s largest producer. Moreover, the kingdom's oil minister Ali al-Naimi said in an interview with the Middle East Economic Survey, “Whether it goes down to USD 20, 40, 50, 60, it is irrelevant," he said, further adding that the world "may not" see oil back at USD 100/barrel.
Furthermore, Monday's edition of the Saudi-owned al-Hayat newspaper quoted the oil minister Naimi as saying Saudi Arabia is prepared to increase output and gain market share by meeting the demands of any new customers.
WTI Crude Technical Levels
The immediate support is seen at 55.42, under which losses could be extended to 54.60. Meanwhile, resistance is seen at 56.00 and 56.76 levels.
WTI Crude for February delivery currently trades 2.00% lower at USD 55.99/barrel, while the Brent Crude for February delivery trades 1.185 lower at USD 60.62/barrel. Crude prices came under pressure as Saudi Oil Minister’s comments erased any hopes of a possible cut in the oil production by the OPEC’s largest producer. Moreover, the kingdom's oil minister Ali al-Naimi said in an interview with the Middle East Economic Survey, “Whether it goes down to USD 20, 40, 50, 60, it is irrelevant," he said, further adding that the world "may not" see oil back at USD 100/barrel.
Furthermore, Monday's edition of the Saudi-owned al-Hayat newspaper quoted the oil minister Naimi as saying Saudi Arabia is prepared to increase output and gain market share by meeting the demands of any new customers.
WTI Crude Technical Levels
The immediate support is seen at 55.42, under which losses could be extended to 54.60. Meanwhile, resistance is seen at 56.00 and 56.76 levels.