Commodity Daily News

Crude Oil Prices Finish Lower but Remain above $100

The price of spot crude oil dipped yesterday but stayed above the psychological price level of $100. Crude prices were sent lower following the US data releases that came in below market expectations. After the disappointing GDP and weekly employment numbers spot crude oil prices dipped to a low of $100.60 before climbing back to close at $100.78.

US Q1 GDP grew a paltry 1.8% on market expectations of an increase to 2.2% while weekly unemployment claims rose to 424K on forecasts of only 403K. The noticeable downturn in US economic data has increased pressure on crude oil prices. While much of the recent demand for crude oil is driven by growth in China, the US still makes up a significant portion of crude oil consumption.

Technicals for crude oil remain constructive with the price locked in a triangle consolidation pattern on the daily chart. Resistance comes in at $102.60 with support at $97.85 followed by $96.40.