Forex Marketz Daily Forex News – Fully Markets Update
Crude oil futures contracts plummeted overnight during the North American trade session.
The headline contracts extended steep losses seen over the last two days thanks to weaker than expected trade data out of China and traders who are not fully convinced about a trade deal between the United States and China.
The headline international Brent crude oil futures contract, overnight, shed 1.5 percent to trade at $58.67 per barrel.
The U.S. West Texas Intermediate (WTI) crude futures contract, for front month delivery, also fell lower overnight. This contract was down 78 cents to trade at $52.81.
Both futures contracts are slightly higher by the afternoon trade session during the Asian market hours.
Crude Oil Traders Monitor Trade Numbers and Trade War Commentary
On Tuesday, China’s National Bureau of Statistics (NBS) released data, for September that showed that their factory gate prices declined at the fastest pace in more than three years.
China also released customs data, for September, that showed imports contracted for the fifth month in a row.
Traders are also concerned about the lack of details with the Phase One trade deal between the United States and China. President Donald Trump, last Friday, said that the two countries has reached a substantial Phase One deal and he would delay hiking tariffs.
However, China wants to meet again to hammer out details before anything is signed.
Providing oil prices with some support, OPEC Secretary-General Mohammad Barkindo said that Organization of the Petroleum Exporting Countries and its non-member allies, led by Russia “will do whatever (is) in its power” to keep prices supported.
Also in the news, the White House announced sanctions against Turkey. They demanded that the NATO member country stop its military incursion in Syria.
The growing instability in the Middle East could cause supply disruptions, putting pressure on the black gold.
