Crude oil futures trade marginally higher despite bearish US data

Crude oil futures traded marginally higher on Wednesday morning despite the industry data showing increase in crude oil inventories in the US.

At 9.57 am on Wednesday, June Brent oil futures were at $89.43, up by 0.01 per cent, and May crude oil futures on WTI (West Texas Intermediate) were at $85.26, up by 0.04 per cent.

• Also Read: Bad news on crude price front

April crude oil futures were trading at ₹7,095 on Multi Commodity Exchange (MCX) during initial trading on Wednesday morning against the previous close of ₹7,102, down by 0.10 per cent, and May futures were trading at ₹7,060 against the previous close of ₹7,049, up by 0.16 per cent.

Hamas to study Israel proposal

According to the industry body American Petroleum Institute (API), crude oil inventories in the US increased by 3.03 million barrels for the week ending April 5. API had forecast the inventories to go up by 2.41 million barrels for the week ending April 5.

Official crude oil inventory data from the US EIA (Energy Information Administration) is expected later in the day. It will give an idea about the inventory situation in the US.

• Also Read: Crude oil gains as Israel-Hamas talks fail

On Tuesday, Hamas said that it would study the Israel’s proposal on ceasefire in Gaza. Response on it will be delivered to the mediators, it said. This statement raised some hopes of averting a major conflict in the region.

The market is expecting the US consumer price index inflation data later in the day. This data assumes significance as the US Federal Reserve takes this data into account while deciding its interest rates. A continued high interest rate scenario impacts the demand for commodities such as crude oil.

Turmeric, castorseed slip

April natural gas futures were trading at ₹158.30 on MCX during the initial hour of trading on Wednesday morning against the previous close of ₹155.10, up by 2.06 per cent.

• Also Read: Crude oil down on resumption of Israel-Hamas peace talks

On the National Commodities and Derivatives Exchange (NCDEX), June turmeric (farmer polished) contracts were trading at ₹16,930 in the initial hour of trading on Wednesday morning against the previous close of ₹17,062, down by 0.77 per cent.

April castorseed futures were trading at ₹5,928 on NCDEX in the initial hour of trading on Wednesday morning against the previous close of ₹5,943, down by 0.25 per cent.

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