(RTTNews) - The price of crude oil edged down Friday morning amid news that China will increase reserve ratio requirements for its banks.
The People's Bank of China today said the reserve ratio would go up by a further 50 basis points on November 29, in an effort to control its spiraling inflation that had hit a two-year high of 4.4% last week.
Light Sweet Crude Oil (WTI) futures for December delivery, which will expire today, were down $0.21 to $81.64. Yesterday, oil settled higher amid a recovery in global equities. Also a reading on manufacturing activity in the Philadelphia area that came much stronger than expected helped lift trader sentiment.
Meanwhile, the U.S. dollar was dropping toward its recent 10-month low versus the euro, while stabilizing against the yen and sterling.
With a light economic calendar today, traders will look to movements in the equity and currency markets to get clues.
