Oil Flat as Good US Data Countered by Rising Dollar
Crude oil was flat today after positive macroeconomic report came out from the United States. The signs of economic recovery in the USA improved prospects for the commodity, but the dollar also gained on the good data, slashing prices.
The US trade balance deficit shrank to $42.9 billion in June from $48.0 billion in May, more than analysts predicted. Unemployment claims were down from 367,000 to 361,000 last week. That is instead of the expected increase. Traders still hope for quantitative easing from the Federal Reserve, even as data proves that the economy is on track to recovery, and such expectations should support oil in the future.
Crude oil demonstrated a nice rally that has started at the beginning of this month. A little pullback is likely, but the current upward trend will be preserved unless the prices would dip below the $87.40 per barrel level.
September futures for delivery of crude oil went up a little by $0.01 to $93.36 per barrel on NYMEX today. Brent grade of crude traded at $93.46 per barrel as of 21:09 GMT on ICE today, near the opening level of $93.65.
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