Oil Price Made New Year-High But Be Cautious When Interpreting Inventory Data

Early last week, the commodity market extended weakness in the previous week as risk sentiment turned more cautious on decline in stock markets (particularly sharp fall in stock markets in China) and strength in USD. However, since the middle of the week, impressive crude inventory draw, rebounds in equity markets and better-than-expected economic data revived investors' confidence. The Reuters/ Jefferies CRB Index added +0.5% on weekly basis. WTI crude oil price for October made a new year-high at 74.72 Friday after strong US housing data. The benchmark contract finished the day +1.3% higher to 73.89, the highest closing price since October 2008.....Complete Article