US Crude Edged Lower In Range Bound Trade
NEW YORK, May 9 (Reuters) - U.S. crude futures fell modestly in range-bound trade on Friday as the market balanced support from a drawdown in domestic crude stockpiles against technical sell points that have kept oil from rallying, while Brent was lower as traders awaited developments in the Ukraine crisis.
U.S. crude oil settled 27 cents down at $99.99 per barrel, and edged 0.24 percent higher over last week after U.S. government data on Wednesday showed crude supplies fell last week for the first time since late March, though overall supplies are still at record highs.
U.S. crude prices have been contained in a tight $2-trading range throughout the week, struggling to rise much above the 200-day moving average at $100.48 and finding a floor at the 100-day moving average of $99.44.
"Oil at just below $100 is pretty fair given that commercial supplies are at near record highs," said Phil Flynn, "There's a lot of support around $99.50. We're closing near the lower low of the range but the next new resistance will probably be $101.50. That will be the channel we're in barring a major risk breakout."
Oil speculators cut net long U.S. crude positions in the week to May 6, according to data from the U.S. Commodity Futures Trading Commission.
Brent futures fell 15 cents to settle $107.89 per barrel, and was on track to shed about half a percent over last week.
A stronger U.S. dollar, which traded at a one-week high against a basket of its major trading partners' currencies, , added pressure on crude as oil and other commodities priced in the greenback are more expensive when the dollar rises in value.
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