Oil prices plummeted more than 6% in yesterday’s trading session, after surging historic 15% on Monday led by the largest disruption in oil market history, as Saudi Arabia’s oil production will return to normal sooner than expected within weeks, rather than within months.
Overnight, American Petroleum Institute (API) reported a surprise gain in the US Crude oil inventories by 592000 barrels against the expectations for a drop of 2.89 million barrels and a week earlier drop of 7,23 million barrels.
For the day oil prices may hover in $58 to $64 range, only break below $58 will poise for a further correction in the prices; otherwise, a rebound in the prices can be seen today from here towards $62-$64 vicinities. Below $58, prices will extend correction towards $55 to $53.
Story by Tarun Satsangi for TarunSatsangi.com