Crude demand fall hurts despite OPEC cuts

Crude oil prices continue to trade in sideways manner as the speculation of OPEC, led by Saudi Arabia, cutting its output in January to avoid a supply glut and bolster prices gains ground. Production from the OPEC averaged 28.565 million barrels a day last month, down 3.5 percent from December, according to a Bloomberg News survey of oil companies, producers and analysts. On the other hand the U.S. consumer spending fell in December for a record sixth consecutive month which is keeping the prices from rising even in the face of production cuts from the OPEC.

Courtesy: AUM Capital Market Pvt. Ltd