Commodity Daily News

Crude Oil Trades Near $88.50 a Barrel

Crude Oil prices were up slightly during yesterday afternoon to trade around $88.50, after spending the day alternating between gains and losses as investors were reluctant to commit to purchases ahead of a meeting of the Organization of Petroleum Exporting Countries (OPEC), scheduled for Saturday.

Traders also appeared to continue worrying about the possibility that China might raise interest rates again soon. Most analysts do not expect OPEC to make any significant changes in its production quotas, but investors want to hear what the oil ministers have to say about possible future moves.

As for today, the US Trade Balance and Prelim UoM Consumer Sentiment reports will likely determine crude's next price moves; with any mildly positive elements within them likely to keep the price of crude oil on its upward path.