By Srinivas Chowdary Sunkara // petrobazaar // 29th June 2020.
Brent oil futures for August delivery closed 3 cents down at $41.02 and WTI oil futures to be delivered in August settled 23 cents down to $38.49 a barrel on Saturday. In Shanghai, Crude oil main contract futures stood at 299 Yuan/barrel while MCX crude oil July contract futures sank Rs.41 to Rs.2906 a barrel last week. Brent premium over WTI widened to $2.53 a barrel during the session.
The world crude oil price indexes opened down today morning, extending previous session loss on fears of increasing corona virus cases in major U.S cities that could hurt fuel demand. Fundamentally, Oil prices are trading steady at the time of reporting supported by improving economic data from China and Europe that outweighed the increase in virus numbers that could cap the gains. Oil prices are under pressure from poor refining margins and high inventories. On the technical front, John Kemp said that Hedge funds increased their bullish positioning in oil last week, reversing a bearish move in the week before, but the minimal changes serve to confirm the market's lack of direction since the start of June. Portfolio managers increased their bullish positions in late March that remains significantly down. Position changes are consistent with expectations for a continued economic recovery after corona virus lock downs and production restrains by OPEC+ and U.S shale oil producers. Good day to all.
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