U. S. crude futures were steady under $50 a barrel, after finishing up the previous day as a fall in the dollar and stock market gains boosted oil prices.

Natural Gas with almost more than double built as compared to last week’s data and hit lower freeze on MCX and price remain under pressure.

The sharp drop in European gasoline exports to the United States is likely to last all summer, choking off a profitable market for refiners and depressing tanker rates, as U. S. producers meet softening domestic demand. In March, European gasoline shipments to the United States collapsed to about 15 percent of the peak volume last year as recession cut demand and knocked prices to unattractive levels for European traders.

The steep drop in oil prices hammered ConocoPhillips and Occidental Petroleum Corp earnings down 80 percent, but they still managed to outshine Wall Street's dreary expectations.

OPEC seaborne oil exports, excluding Angola and Ecuador, will fall 130,000 barrels per day (bpd) in the four weeks to May 9, an analyst who tracks future shipments said on Thursday. Exports from the group will average 22.27 million bpd, down from 22.40 million bpd in the four weeks to April 11, UK consultancy Oil Movements said in its latest weekly estimate.

U. S. natural gas storage levels showed significant built yesterday also rising by 46bcf. This resulted in sharp selloff in this commodity.

Crude oil futures we recommend to buy at dips and prices may not move below Rs. 2375 per barrel. Natural Gas may trade down during the day.

Crude: Crude prices touched the 2500 levels, but failed to maintain above 2500, thus selling can still persist in crude, but 2375-90 levels can be used as buying opportunity. As a prices can move positive above 2500 in near term.

Natural gas: Natural gas prices are in a downtrend. Natural gas yesterday breached the support of 183 levels. Thus prices may now face resistance at 183 levels, new selling can be done below 183 target 170-72.