Crude oil traded marginally higher on global exchanges on Tuesday morning despite losing more than 1.3 per cent in the previous session.

At 9.53 am on Tuesday, July Brent oil futures were at $79.40, up by 0.11 per cent, and June crude oil futures on WTI were at $75.78, up by 0.16 per cent.

May crude oil futures were trading at ₹6210 on Multi Commodity Exchange (MCX) during initial trading against the previous close of ₹6152, up by 0.94 per cent, and June futures were trading at ₹6225 against the previous close of ₹6169, up by 0.91 per cent.

China’s economy

Factors such as the weak economic data from China and the fears of another interest rate hike by the US Federal Reserve during this week impacted the price of crude oil in the previous session.

China’s manufacturing purchasing managers’ index (PMI) came down to 49.2 in April from 51.9 in March. This is below the 50-point mark, which indicated a contraction in activity in April. China had shown signs of recovery in the previous month after relaxing Covid-related restrictions. China’s April PMI data led to apprehensions over the economic growth in one of world’s major crude oil consumers.

The market is waiting for the outcome of the US Federal Reserve meeting during this week. The market is also expecting an interest rate hike of around 25 basis points.

Crude oil prices got some support as the OPEC (Organization of the Petroleum Exporting Countries) is expected to reduce oil output from this month to provide stability to the market.

Jeera, turmeric flare up

May menthaoil futures were trading at ₹968 on MCX against the previous close of ₹973.70, down by 0.59 per cent.

On the National Commodities and Derivatives Exchange (NCDEX), May jeera contracts were trading at ₹45,705 against the previous close of ₹43,735, up by 4.50 per cent.

May turmeric (farmer polished) futures were trading at ₹6,880 on NCDEX in the initial trading hour of Tuesday morning against the previous close of ₹6.728, up by 2.26 per cent.

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