Forex Marketz Daily Forex News – Fully Markets Update
Crude oil futures contracts slipped lower during the early Asian trade session on Tuesday. Oil traders are worried about a spike in Covid-19 cases around the world which could, once again, hurt demand.
However, renewed production cuts from the Organization of the Petroleum Exporting Countries (OPEC) and non-member allies, led by Russia (OPEC +) capped losses.
On Monday, cases of Covid-19, around the world, rose to over eight million. Infections surged in Latin America and the United States and China are also dealing with fresh outbreaks.
As of 12:25 am GMT, the international Brent crude oil futures contract gave up 14 cents to trade at $39.58 a barrel. The Bren contract gained 2.4 percent on Monday.
The U.S. West Texas Intermediate (WTI) Crude oil futures contract lost 24 cents to trade at $36.88 a barrel. The WTI contract added 2.4 percent on Monday.
Crude Oil Traders React to OPEC News
Oil gained on Monday after the OPEC + cartel, through the United Arab Emirates’ energy minister, expressed confidence that OPEC + nations are in full compliance with production cuts. OPEC also says that the demand for the black gold is also on the rise.
The OPEC + oil cartel, which includes Russia, are reducing production by of 9.7 million barrels per day through July.
Traders Wait on U.S. Retail Sales Data
Today, the United States will release both their core and headline monthly retail sales data. The world’s largest economy also has the NAHB housing index on the schedule as well as monthly industrial production and business inventory data.
The U.S. will also publish their monthly capacity utilization rate. The United Kingdom has key labor data on the schedule which will also affect the British pound. The U.K. will release their claimant count change, unemployment rate and 3 month average hourly earnings.
