Crude oil futures recovered from the lows traded in green above $73 on short covering and positive equity indices despite disappointing durable goods orders data.
Crude oil fell below $71 after department of energy showed a surprise build in crude oil and gasoline stockpiles.
The growing supplies and the end of summer driving season is the major reason for the lower oil prices.
The US Department of Energy showed in a report yesterday that crude oil inventories rose by 4.10 mb against prior drop of 0.81 mb while gasoline stockpiles rose by 2.27 mb against forecast of decline of 0.45 mb.
Natural gas futures traded down below $3.90 on normal temperatures across Atlantic basin and higher inventories at spot market.
The recent Hurricane formation in Gulf of Mexico has generated Hurricane Danielle and Hurricane Earl but they are not expected to affect oil and gas producing regions.
The EIA may show tonight a climb of 38 Bcf in natural gas inventories against previous build of 27 Bcf.
Technical View
The strong resistance for crude oil lies at $75 with support at 71, MCX Crude oil (Sept) resistance lies near 3510 with support at 3380.
