WSJ:Nymex Oil Futures Up, Brent Tad Down Despite Positive China Data
By Mari Iwata
Crude oil futures were mixed in Asia Tuesday; Nymex rose slightly as China's inflation data met expectations while ICE Brent remained negative.
On the New York Mercantile Exchange, light, sweet crude futures for delivery in August traded at $103.27 a barrel at 0540 GMT, up $0.13 in the Globex electronic session. August Brent crude on London's ICE Futures exchange fell $0.06 to $107.37 a barrel.
Both benchmarks started in negative territory on light profit-taking. After China said its June CPI rose 2.7% from a year earlier, which was quicker than a 2.1% on-year rise in May and the median 2.5% gain forecast by 18 economists in a Dow Jones survey, Nymex crude moved into positive territory.
In regards to the lukewarm response, Market Strategy Institute analyst Koichiro Kamei said "the market couldn't figure out how good the news is." "It is not surprisingly different from expectations," he added.
As a next focus, traders will watch out for Wednesday's monthly trade data from China as a gauge of how the country's economic growth is, analysts said.
Besides, unrest in Egypt will keep supporting crude oil prices by raising fears of supply disruptions, said Nihon Unicom analyst Hiroyuki Kikukawa. The country is home to a key oil transport point, the Suez Canal.
Nymex reformulated gasoline blendstock for August--the benchmark gasoline contract--fell 12 points to $2.8825 a gallon, while August heating oil traded at $2.9804, 3 points higher.
ICE gasoil for July changed hands at $912.00 a metric ton, down $1.25 from Monday's settlement.
