By FXEmpire.com

Introduction: Crude Oil is considered the king of the commodities markets.

The Strategic Petroleum Reserve is the United States’ emergency oil stockpile, and it is the largest emergency petroleum supply in the world. The reserve stores about 570 million barrels of crude oil in underground salt caverns at four sites along the Gulf of Mexico. Any dipping into this reserve is going to be big news.

Brent Crude is traded in London as something called Futures contracts, which are priced in US Dollars. Now, all you traders brave enough to run your positions over a period of days or weeks, pay attention

Most commonly traded is the NYMEX where you find West Texas Crude. It is also traded in USD.

Weekly Analysis and Recommendation:

Crude Oil ended the week at 84.05 up for the week but still very weak. This week the big news was the EIA inventory and the OPEC ministers meeting in Vienna

Date

Last

Open

High

Low

Change %

Jun 15, 2012

84.05

84.31

84.78

83.42

-0.30%

Jun 14, 2012

84.30

82.58

84.49

82.29

2.07%

Jun 13, 2012

82.59

83.08

83.95

82.16

-0.58%

Jun 12, 2012

83.08

81.50

83.72

81.36

1.93%

Jun 11, 2012

81.50

86.45

86.50

81.11

-5.71%

Of course the EU and the Greek elections were center stage around the globe, weak eco data continued to flow depressing crude overall. The OPEC ministers agreed to stay within current produciton quotas, which means that the Saudi’s and those countries over producing to stem the Iranian situation will cut back production slowly, but EIA inventories continue to remain high and with reduced demand, a drop in supply should not force prices upwards.

The gain this week was mostly on the weakness of the USD, with markets remaining in risk aversion mode, but shifting from the USD to gold, the weak dollar allows speculators to pick up oil at depressed prices.

FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more recent analysis and information in our weekly reports and we provide daily updates and outlooks.

Historical:

Highest:114.81 on May 02, 2011

Average:88.78 over this period

Lowest:67.17 on May 25, 2010

WEEKLY

  • This Week in Petroleum
    Release Schedule: Wednesday @ 1:00 p.m. EST (schedule)
  • Gasoline and Diesel Fuel Update
    Release Schedule: Monday between 4:00 and 5:00 p.m. EST (schedule)
  • Weekly Petroleum Status Report
    Release Schedule: The wpsrsummary.pdf, overview.pdf, and Tables 1-14 in CSV and XLS formats, are released to the Web site after 10:30 a.m. (Eastern Time) on Wednesday. All other PDF and HTML files are released to the Web site after 1:00 p.m. (Eastern Time) on Wednesday. Appendix D is produced during the winter heating season, which extends from October through March of each year. For some weeks which include holidays, releases are delayed by one day. (schedule)

Click here for updated Crude Oil News.

Originally posted here