Commodity Daily News

US Economic Data Supporting Crude Oil Prices

Spot crude oil prices bounced higher along with US equities as better than expected US consumer confidence numbers helped to support higher yielding assets. The risk on trading was sparked by the CB consumer confidence index which climbed to 56 from a revised 40.9 reading in October. This was the largest monthly gain since 2003. Also boosting crude oil prices was strong demand for an Italian bond auction.

The trend of improving US economic data has become noticeable and may continue this week and today will have the ADP non-farm payrolls report. The data is often seen as a preview to Friday's jobs report but there doesn't seem to be any correlation between the two job numbers. Thursday will have the ISM manufacturing PMI and a strong survey could help to push crude oil prices back above the psychological $100 level. A sustained break here would likely find resistance at $103.30 from the November 17th high.