RTTN:Crude Edges Up Near $89 Ahead Of Official Inventories Data
(RTTNews) - The price of crude oil was extending gains Wednesday morning as traders await cues from the official inventories data.
Light Sweet Crude Oil (WTI) futures for December delivery, the most actively traded contract, edged up $0.42 to $88.95 a barrel. Yesterday, oil settled at a one-month high after German Chancellor Angela Merkel made remarks suggesting that her nation remains committed to keeping the euro zone intact.
Tuesday after the market hours, the API said U.S. crude oil inventories dipped by 3.10 million barrels and gasoline inventories eased by 1.60 million barrels in the week ended October 07. Analysts expect crude oil inventories pile up by 1.75 million barrels last week.
Meanwhile, the U.S. dollar was paring recent gains versus a basket of currencies ahead of inflation report.
In economic news from the euro zone, policy makers of the Bank of England unanimously decided to expand quantitative easing by GBP 75 billion to GBP 275 billion in October, minutes of the meeting released by the Bank of England showed.
Traders will look to the inflation data for the month of September due out at 8.30 a.m ET. Economists expect the headline index to rise by 0.3 percent and the core producer price index to show a 0.2 percent increase.
Simultaneously, the Commerce Department will release a report on housing starts and building permits. Economists estimate housing starts of 590,000 for September, while building permits are seen at 620,000.
Today during trading hours, the EIA will release its U.S. crude oil inventories report for the week ended October 07.
