MCX Crude oil futures are trading with slight losses today after a slightly sluggish outing yesterday. The global prices edged higher in the early Asian trades as a torrent of strong economic releases and concerns about falling US crude and distillate inventories are auguring as supportive for the commodity. However, a weak undertone in the equities and worries triggered by the recent Chinese rate hike kept the gains in check for the commodity. Asian markets edged lower in nervous trades today as the China rate hike took another toll on an active session as most of the major global indices were at work for the first time in nearly one week. Chinese markets fell further today and investors looked at the probable slowdown in the world's fastest growing economy as a pretext to sell ahead of the year-end even as the Eurozone PIIGS worries stayed off the course. The central People's Bank of China hiked its one-year lending and deposit rates by 25 basis points each as it struggles to curb borrowing, rein in property prices and tame inflation. Markets are worried that a tighter monetary policy by Beijing will restrict growth, which could have a knock-on effect for many other countries. The oil prices rebounded after moderate losses in the last session but were not able to gain much. The commodity dropped yesterday in New York floor trades after failing to break above $92 per barrel in the electronic moves. A muted session on a wall street also kept the advances in check during the floor trades and the light, sweet crude for January delivery dropped 51 cents or 0.60% to settle at exactly $91 per barrel. Prices had tested highs of $91.88 per barrel earlier, the highest since 7 October 2008. The commodity trades at $91.34, up 34 cents on the day. MCX Crude oil futures for January 2011 failed to approach the positive territory and were locked in a thin range of Rs 4140-4128 per barrel.

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