Crude oil traded near a three-day high and settled up by 1.43% at 4419 after reports showed U.S. retail sales fell less than expected and crude supplies slipped a second week, stoking speculation fuel demand in the world’s biggest crude consumer will increase.
Futures were little changed after climbing the most in almost four weeks yesterday. Sales by U.S. retailers dropped 0.2% in May, less than the median forecast for a 0.5% decline. The industry-funded API said crude stockpiles fell 3.01mlbs last week.
U.S. crude stockpiles dropped to 363 mbls, the lowest in seven weeks, according to the API report. Gasoline stockpiles climbed 1.13mls to 213.5 mls, the API said.
Oil-supply totals from the API and the Energy Department have moved in the same direction 72% of the time over the past year. The institute collects stockpile information on a voluntary basis from operators of refineries, bulk terminals and pipelines.
The government requires that reports be filed with the Energy Department for its weekly survey. Now technically market is trading in the range as RSI for 18days is currently indicating 42.7, where as 50DMA is at 4656.78 and crude is trading below the same and getting support at 4353 and below could see a test of 4286 level, And resistance is now likely to be seen at 4459, a move above could see prices testing 4498.
