Crude Off Highs, Massive Spurt In MCX Futures OI

Oil.....

MCX Crude oil backed off from their intraday highs as a frail outing for European equities took toll on the prices in global markets. WTI Crude topped a two-week high mark near $94 per barrel yesterday as worries Syria might possibly use chemical weapons stirred the market and pushed the commodity up for a second day. Prices stayed supported in Asia today but flipped back later and currently trade at $93.24, down 40 cent per barrel on the day.

Euro remained under stress. The Spanish unemployment rate jumped to a new record of 27.16% in the first quarter of 2013 as the number of unemployed persons increases by 237,400 persons to 6,202,700. Spain's Institute of National Statistics said that the number of employed persons decreased by 322,300 persons in the first quarter of 2013, to 16,634,700. In the last 12 months, employment has dropped by 798,500 persons, (490,200 men and 308,300 women).

While this highlighted the sorry state of affairs in peripheral economies in the region, the broader worries about the futures of Euro also remained in focus and pulled the stocks in red today. Media reports noted that Bundesbank President Jens Weidmann sent a confidential statement to the German constitutional court criticizing the European Central Bank's outright monetary transactions.

The US GDP data is due later on in the day and oil could witness a further moderation ahead of the key release. MCX Crude oil futures tested highs of Rs 5074 per barrel and eased in the afternoon. The counter quotes at Rs 5064, up Rs 5 per barrel on the day with a massive 30% increase in the open interest as investors eyed the break above the key Rs 5000 per barrel level.
Source by Commodity Insights