FXstreet.com (Barcelona) - As concern wanes over the possibility of tropical storm Alex disrupting oil supply, oil prices continue to edge lower helped by a slightly strengthened US dollar. At the time of writing the crude contract for August trades in at $77.95, down by nearly 1.20% since the opening price.
Crude rallied late last week as news of the storm led oil companies to pull out personal from platforms in the Gulf of Mexico and plan for disruption in production and exportation. However today has brought altered forecasts, with the path expected to break further into mainland Mexico as opposed to continue north into the waters where many of the oil companies operate.
What's more, recent macroeconomic data concerning US personal income and consumer spending failed to invoke a positive reaction from the marketplace as risk appetite remains high and the US dollar strengthens against the euro. Instead, investors are favoring the safety of US debt and gold as confidence in the economic recovery remains low.
