Crude Futures Retreat

by Mohammed Marzuq, KPI Bridge Oil
Monday April 27, 2015

Today crude futures saw some retreat.

Brent front-month contracts for June softened 45 cents settling at $64.40 per barrel.

It should be noted that even though there was continued bombing on the Houthi rebels today we saw Brent slide in the red.

Saudi offical's have put out a statement that they would supply China with additional oil if required.

To some people this signified that irrespective of what is happening in AG, production levels will continue the course and if were lucky, over supply an over saturated market.

WTI front-month contracts for June also fell into the red settling $56.99 per barrel down 16 cents since Fridays close.

This could be attributed to the continual rising for inventories at Cushing.

Although the rig count in the states has fallen significantly this year inventory levels seem to keep rising.

Maybe speculators have had enough fun for the past few weeks and we will see crude futures slide to levels we had last month.

But until then we expect bunker buyers to keep a close eye on the market.

Bunker prices were steady in the primary ports.