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Crude Oil Rally Stopped Dead?
February 3rd, 2010
Crude oil’s rally was stopped dead today on the recent stockpile news. The rallied which sent crude to a 2-week high at 77.41 after the US reported strong rise in pending home sales – has now lost some steam. Energy prices are now pulling back as they naturally would onon profit-taking. Moreover, API’s report showing higher-than-expected stock-builds damped sentiment.
API reported crude oil inventory rose +4.7 mmb in the week ended January 29 after dropping -1.8 mmb in the previous week. Gasoline and distillate stockpiles drew as refiners reduced production.
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