FXstreet.com (Barcelona) - Despite trading within a relatively tight range today, crude oil is consistently moving to the downside as the positive effect of lower inventories begins to let up. The front-month contract is easing off highs above $92.00 a barrel, trading currently at $91.31 in the initial hour of trading over New York.
Crude oil was supported higher in the last few days by the shutdown of an important Alaskan pipeline after discovery of a leak, coupled with the EIA reporting lower inventories over the last week. With overall market sentiment however turning into the negative, commodities in general are feeling the effect. The recent disappointing US jobless claims further exasperated a gloomy outlook, with commodity traders now looking to see where the equities market will go with no other fundamental to drive direction.
