WTI hovers around $73.60 despite a soft US Dollar

WTI hovers around $73.60 despite a soft US Dollar

  • WTI is set to end the week with substantial losses of 8.40%
  • The jobs report showed a slowdown in wages, while the labor market remains resilient.
  • WTI failed to capitalize on US Dollar weakness after the US Services PMI shrinkage

Western Texas Intermediate (WTI), the US crude oil benchmark, hovers at around $73.70s, almost flat, albeit the US Dollar (USD) weakened sharply due to mixed US economic datathough global recession concerns weighed on oil prices. At the time of writing, WTI exchanges hand at $73.71.

Wall Street is poised to end Friday’s session with hefty losses, boosted by disappointing PMIs. The ISM Services PMI plummeted to 49.6, below estimates of 55, on the lowest reading since May 2020. Meanwhile, the US economy added 223K people to its workforce, more than expected, the unemployment rate dropped, and wages aimed down, to 4.6% YoY, against estimates of 5%.

Consequently, the US Dollar turned south, plummeting below the 104.000 mark and down by 1.20%, though WTI failed to capitalize on that.

Back to oil-related news, Saudi Arabia lowered prices for Asia customers to their lowest since November 2021 as global pressures hit oil prices. Factors like China’s reopening and its Covid-19 outbreak keep investors uneasy as additional countries imposed restrictions on visitors from China.

WTI Key Technical Levels

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Read More

Total
0
Shares