FXstreet.com (Barcelona) - Supported higher by a fierce rally on Wall Street Friday, crude futures continue strong over the Asian and European sessions to begin the week. The crude contract for November delivery, the most active future, so far quotes near daily highs at $76.63 a barrel where it posts a slight increase since open.
With little movement on few macroeconomic releases today, the crude market continues to be influenced by last week’s optimism regarding the US recovery. In particular, the Commerce Department announced a 2.0% increase in new orders signaling strength in the private sector as companies added more capital equipment. Further data this week, including the Case-Shiller index and GDP numbers, will either confirm or dispel confidence as we begin the third quarter.
What’s more, dollar-denominated commodities like crude were supported last week by weakness in the greenback against other major rivals. Today however, the dollar is recovering slightly making imports more expensive for non-dollar nations and weighing on any momentum to the upside for crude.
