Nymex crude oil prices declined sharply by almost 6 percent on Thursday mainly on account of dollar strength coupled with weak sentiments in the global equity markets.
Rising concerns over Euro Zone debt crisis and US economy created demand worries which further exerted pressure on oil prices yesterday.
Oil touched an intra-day low of $81/bbl and closed its trading session at $82.38/bbl on Thursday. On the MCX, crude oil August contract traded lower by 5.4 percent and touched an intra-day low of Rs3738/bbl yesterday.
Natural Gas Inventory Data
Natural Gas Inventories increased
Report released by the US Energy Department yesterday showed that natural gas stocks increased more than expected by 50 billion cubic feet (bcf) for the week ending 12th August.
Gas prices declined around by 0.2 percent on the Nymex on Thursday mainly due to rise in US natural gas inventories coupled with dollar strength. Prices touched an intra-day low of $3.843/mmBtu and close at $3.931/mmBtu. On the MCX, natural gas declined 0.1 percent and closed at Rs179.7 on Thursday.
Outlook
Crude oil prices are expected to trade lower today mainly taking cues from dollar strength and global economic worries which would lead to demand concerns. Additionally, rise in risk aversion in the global markets will also exert pressure on oil prices.
Courtesy: Angel Commodities
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