Crude Prices Soften After Early Rally

by Mohammed Marzuq, KPI Bridge Oil
Wednesday May 13, 2015

Today crude futures rallied heavily early in the day as EIA data came out specifying that there had been a decrease in U.S crude inventory at Cushing, Oklahoma.

Further driving the firming prices was the U.S dollar.

The green back fell compared to a basket of currencies making oil cheaper for those who hold other currency.

Although the market firmed early, we ended up seeing both Brent and WTI front month contracts for June soften loosing all gains that had amassed during the day.

It is without doubt that there is still an oversupply but it seems speculators are driving the market using the upcoming driving season as the reason.

The following weeks should be interesting as we near the Iran nuclear deal. Bunkers were mostly firm today in the primary ports.

About KPI Bridge Oil

KPI Bridge Oil is one of the world's leading international bunker broking and trading firms. With a network of offices that covers every major time zone, we have an in-depth knowledge of ports and bunker markets around the world. Our access to real-time market information and long-established credit lines with suppliers means we use our buying power in the right place and at the right time. All this ensures our customers enjoy competitive prices - and on favourable terms.

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