Investing.com - Crude oil futures were lower on Thursday after the U.S. Congress passed a bill to reopen the government and avoid a U.S debt default as concerns over the economic impact of the shutdown weighed.
On the New York Mercantile Exchange, light sweet crude futures for delivery in November traded at USD101.73 a barrel during European morning trade, down 0.59%.
New York-traded oil futures held in a range between USD101.65 a barrel, the daily low and a session high USD102.31 a barrel. The November contract ended 0.49% lower at USD101.13 a barrel on Wednesday.
Oil futures were likely to find support at USD100.78 a barrel, Wednesday’s low and resistance at USD102.58 a barrel, the high from October 14.
Oil investors were waiting for upcoming U.S. economic data releases, which had been delayed due to the shutdown, to determine the impact of the debt crisis on the demand outlook and on the Federal Reserve's stimulus program.
The deal will fund the government until January 15 and raise the government borrowing limit until February 7, but the possibility of another debt crisis down the road weighed on sentiment, as the temporary solution does not resolve the underlying budgetary issues dividing Republicans and Democrats.
Oil prices also remained under pressure after a report by the American Petroleum Institute on Wednesday showed that U.S. crude stockpiles rose by 5.9 million barrels in the week to October 11, more than double forecasts for a build of 2.25 million barrels.
Elsewhere, oil traders continued to monitor talks over Iran’s nuclear program between Western diplomats and Tehran, amid speculation that sanctions on Iranian oil exports may be eased.
Western-led sanctions on Tehran have cut Iranian oil exports by more than 1 million barrels per day.
On the ICE Futures Exchange, Brent oil futures for December delivery were down 0.40% to trade at USD110.13 a barrel, with the spread between the Brent and crude contracts standing at USD8.40 a barrel.
