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Crude oil futures traded higher on Friday morning as gross domestic product (GDP) in the US, which was released on Thursday, showed growth in the third quarter.
At 9.53 a.m. on Friday, December Brent oil futures were at $89.08, up by 1.31 per cent, and December crude oil futures on WTI (West Texas Intermediate) were at $84.32, up by 1.33 per cent.
November crude oil futures were trading at ₹7,026 on the Multi Commodity Exchange (MCX), against the previous close of ₹6,945, up by 1.17 per cent, and December futures were trading at ₹6,986, against the previous close of ₹6,909, up by 1.11 per cent.
Major consumer
US GDP data showed 4.9 per cent growth in the third quarter, as against market expectations in the range of 4.3 per cent.
Market sentiments got a boost as the US is a major crude oil consumer. An improvement in its economy would boost demand for the commodity.
Sriram Iyer, Senior Research Analyst at Reliance Securities, said international and domestic crude oil futures fell on Thursday as US inventories and gasoline stocks rose last week, raising demand concerns, even as geopolitical tensions escalated in West Asia.
The US Energy Information Administration reported a rise in crude and gasoline inventories this week, reflecting weak demand.
He said Thursday’s slump in oil came despite US GDP growth beating forecasts, and boosted the belief of a soft landing for the economy.
“From an intra-day perspective, international crude oil prices started higher on Friday morning in Asian trading. Easing geopolitical tensions and rising oil inventories could cap the upside. Oil rig data today will have an impact on prices. The range for the NYMEX WTI December is $82.30 to $85.30, while that for MCX November crude futures is ₹6,845 to ₹7,085,” he said.
Jeera, turmeric plunge
November natural gas futures were trading at ₹295.50 on MCX, against the previous close of ₹29,1.50, up by 1.37 per cent.
On the National Commodities and Derivatives Exchange (NCDEX), November jeera contracts were trading at ₹46,185, against the previous close of ₹46,915, down by 1.56 per cent.
December turmeric (farmer polished) futures were trading at ₹12,950 on NCDEX in the initial trading hour of Friday morning, against the previous close of ₹13,092, down by 1.08 per cent.
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