US crude oil settles at $78.63

Crude oil futures are settling at $78.63. At up $0.61 or 0.80%.

The high price today reached $78.80. The low price was at $76.70. The low price traded to the lowest level since February 27 before bouncing higher. Technically the price is closing back above its 100-day moving average at $78.48. Despite moves above and below that moving average, momentum to the downside starts, but cannot be maintained.

Today, the inventory data showed a larger than expected drawdown in crude oil. That helped to reverse the trend back to the upside. Below are the results:

• Crude -2508K vs -543K exp
• Gasoline -235K vs +537K exp
• Distillates -45K vs +824K exp
• Production 13.1mbpd vs 13.1 mbpd prior
• Refinery utilization +1.9% vs +0.7% exp

Prices edged higher immediately after the numbers.

The private data late yesterday also showed a large crude oil drawdown. Gasoline inventory levels also declined.

• Crude -3104K
• Gasoline -1269K
• Distillates +349KJ
• Cushing -601K

This article was written by Greg Michalowski at www.forexlive.com.