Oil Dips As Robust Dollar Offsets Stock Drawdown



Reuters

NEW YORK, July 30 (Reuters) - Crude futures settled down on Thursday, pressured by a rally in the dollar which countered bullish sentiment from a drawdown in U.S. stockpiles that was much steeper than expected.

Position squaring ahead of the expiry of the front-month contracts in gasoline and diesel also diverted some investor attention from crude, brokers said.

Oil has slid more than $10 a barrel over the past month. Global benchmark Brent neared a six-month trough earlier this week and U.S. futures neared four-month lows, pressured by a global glut, a resurgent dollar and China's tumbling stock market.

Oil prices got support on Wednesday after U.S. government data showed an unexpectedly large weekly draw of more than 4 million barrels of crude, or at least 20 times what analysts expected.

The market rose the positive wave from the data higher again early on Thursday, advancing by up to 1 percent before gains unraveled in afternoon trade.

Brent settled down 7 cents, or 0.1 percent, at $53.31 a barrel.

U.S. crude closed lower by 27 cents, or 0.6 percent, at $48.52.


123

View Full Article

WHAT DO YOU THINK?


Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.