Crude oil futures traded lower on Monday morning as the market awaited for important economic data from China to assess the demand for the commodity in the global market.
At 9.56 am on Monday, April Brent oil futures were down by 0.39 per cent at $82.50 and April crude oil futures on WTI were down by 0.31 per cent at $76.08.
March crude oil futures were trading at ₹6,327 on Multi Commodity Exchange (MCX) during initial trading against the previous close of ₹6,342, down by 0.24 per cent, and April futures were trading at ₹6,368 as against the previous close of ₹6384, down by 0.25 per cent.
Post removal of Covid curbs
China’s PMI (Purchasing Managers’ Index) data for February is due for release on Wednesday. With a PMI of 52.9, the January data shown signs of recovery in China.
China, which had imposed strict Covid control measures, had relaxed most of them early this year. The strict Covid control measures had impacted the economy of that nation. This had affected the demand for crude oil in the global market. China is a major consumer of crude oil in the world market.
However, there were also reports of Russia planning to reduce the export of crude oil in March. Market reports noted that Russia was planning to reduce oil exports from its western ports by up to 25 per cent in March.
This cut was in addition to the already announced production cut of 5,00,000 barrels a day in March. Russia is a major producer of crude oil in the global market.
Jeera gains, cottonseed oil cake slips
March natural gas futures were trading at ₹214.50 on MCX in the initial trading hour of Monday morning against the previous close of ₹211.80, up by 1.27 per cent.
On the National Commodities and Derivatives Exchange (NCDEX), March jeera contracts were trading at ₹32,250 during initial trading against the previous close of ₹31,600, up by 2.06 per cent.
March cottonseed oilcake futures were trading at ₹2,592 on NCDEX in the initial trading hour of Monday morning against the previous close of ₹2,628, down by 1.37 per cent.