IV:Crude oil futures edge higher ahead of U.S. supply data
Investing.com - Crude oil futures edged higher on Tuesday, as investors looked ahead to the release of key U.S. weekly supply data to gauge the strength of oil demand from the world’s largest consumer.
Gains were limited as markets continued to monitor negotiations over a U.S. budget impasse that has kept the federal government shut down since October 1.
On the New York Mercantile Exchange, light sweet crude futures for delivery in November traded at USD103.36 a barrel during European morning trade, up 0.3%.
New York-traded oil futures held in a range between USD102.87 a barrel, the daily low and a session high USD103.40 a barrel. The November contract settled 0.78% lower at USD103.03 a barrel on Monday.
Oil futures were likely to find support at USD101.43 a barrel, the low from October 2 and resistance at USD104.37 a barrel, the high from October 3.
Oil traders looked ahead to the release of fresh weekly information on U.S. stockpiles of crude and refined products to gauge the strength of oil demand in the world’s largest oil consumer.
The American Petroleum Institute will release its inventories report later in the day, while Wednesday’s government report could show crude stockpiles rose by 1.8 million barrels.
Meanwhile, President Barack Obama repeated Monday that he is willing to negotiate with congressional Republicans on a range of topics, including healthcare and energy policy, but only after the government is reopened.
Mr. Obama also called on Congress to raise the government borrowing limit ahead of the October 17 deadline, the date which the Treasury Department has estimated the U.S. could risk a default.
Republican House Speaker John Boehner said Sunday the House will not support bills to fully reopen the government or increase the U.S. debt ceiling unless Democrats agree to talks about spending cuts.
Elsewhere, on the ICE Futures Exchange, Brent oil futures for November delivery inched up 0.05% to trade at USD108.74 a barrel, with the spread between the Brent and crude contracts standing at USD6.38 a barrel.
