Global macro overview for 10/08/2015:
Another multi-month low of crude oil prices might has been observed last Friday when oil prices slumped to the level of 43.70 to eventually close at the level of 43.80. Baker Hughes’ report provided last week indicates that the number of US oil rigs rose by six this week and drillers have added a 32 oil rigs over the past three weeks. The bearish sentiment has increased even more after the Commodity Futures Trading Commission (CFTC) report was published last Friary pointing out that money managers did not cut their bearish exposure in crude oil. Please note that crude futures could be pressured in coming weeks by seasonal refinery maintenance operations.
Oil is currently testing the Friday close at the level of 43.80, but the bearish trend continuation is expected. The next important support comes at the level of 41.98, but a breakout lower is very likely.
The material has been provided by InstaForex Company – www.instaforex.com