By FX Empire.com
Crude Oil Fundamental Analysis Jan. 30, 2012, Forecast
Economic Events: (GMT)
Analysis and Recommendations:
Crude Oil is currently trading 100.00 +0.29 (+0.30%)
Traders have been wishy washy today as the most recent report issued by the U.S., the Commerce Department reported that fourth-quarter gross domestic product at 2.8%, slightly less than expected.
A review of the report revealed that a good chunk of growth came from businesses replenishing inventories and not investing in more job-creating endeavors for future growth. Oil demand falls when growth and production are down, but on the other side of the coin was yesterdays Durable Goods reports that far exceeded expectations and showed an increase in big dollar sales especially a surge in airplane purchases, an increase in manufacturing here can create jobs and increasing housing and also growth, offset the negatives from other reports, its all up to the reader to interpret the data.
Oil continues to hold its own, bouncing up and down today but staying pretty much at the 100.00 range.
Tension with Iran, are not easing, but have been changing from military threats to economic threats, Iran is threatening to cut off oil shipments to europe immediately as not to wait for the embargo to take place. This would leave parts of europe short, until they replace their supplies from elsewhere. There is ample supply, it is just a matter of getting it to the right places, so their might be a regional shortage, but not a change in global demand.
Originally posted here
