Commodity Trading Tips for Crude palm oil by KediaCommodity

Ajay Kumar Kedia 27 January 2014

Crude Oil Crudeoil pared all of its gains on reports of a slowing economy in China and a downward slide in U. S. equities. Refiners in Asia, Europe and Russia are shipping around half a million tonnes of heating oil and diesel to the United States this month, with at least a dozen tankers booked so far in January to ship gasoil and diesel to the U. S. East Coast. U. S. distillate stocks fell 3.21 million barrels in the week ended Jan. 17, the Energy Information Administration (EIA) said,. Distillate demand over the past four weeks rose 5.2 percent from a year earlier to 3.46 million barrels, the EIA said. Expectations that the U. S. Federal Reserve will taper its stimulus package next week limited the upside. Distillate stocks plunged three-and-a-half times more than expected, driving U. S. ultra low-sulfur diesel futures to their higher this year and helping the U. S. crude benchmark towards its best week in seven. In addition to the weekly EIA data, a monthly report from industry group American Petroleum Institute also showed a rise in U. S. petroleum product demand, reflecting a continued improvement in domestic manufacturing and the broader economy. Demand in December rose 5.8 percent year-on-year to 19.2 million barrels per day (bpd), the API said. Demand for gasoline rose 4.5 percent to 8.8 million barrels while production of the fuel rose to a record for that month at 9.4 million bpd and was just 66,000 bpd below an all-time high, it said. Now Crudeoil is getting support at 6065 and below same could see a test of 6024 level, And resistance is now likely to be seen at 6141, a move above could see prices testing 6176.