IV:Crude oil futures little changed, eyes on U.S. trade data
Investing.com - Crude oil futures were little changed during early European trading hours on Tuesday, as markets were eyeing the release of U.S. trade balance data later in the day, after a strong service sector report on Monday lent some support to the dollar.
On the New York Mercantile Exchange, West Texas Intermediate crude oil for delivery in July traded at $99.47 a barrel during European morning trade, down 0.02%.
Prices slid 0.31%, or 31 cents, on Monday to settle at $98.73.
Futures were likely to find support at $98.75 a barrel, the low from May 1 and resistance at $100.59 a barrel, the high from April 30.
The U.S. dollar found some support after the Institute of Supply Management on Monday said its non-manufacturing purchasing managers' index rose to a five-month high of 55.2 in April, from a reading of 53.1 in March, compared to expectations for a rise to 54.1.
Oil prices had strengthened after clashes between Ukraine's army and pro-Russian forces broke out in six cities in eastern Ukraine over the weekend, sparking fears that the crisis will develop and drag the U.S. deeper into the standoff.
U.S. Secretary of State John Kerry threatened Russia with further sanctions on Sunday, unless the country stopped backing separatists in eastern Ukraine.
Russia produced 10.4 million barrels of oil per day in 2012 and exported 7.4 million, making it the world’s second largest oil exporter after Saudi Arabia.
Elsewhere, on the ICE Futures Exchange, Brent oil for June delivery dropped 0.84% to trade at $107.68 a barrel, with the spread between the Brent and crude contracts standing at $8.21 a barrel.
