19 Jan 2015
Brent trades below USD 50/barrel
FXStreet (Mumbai) - Brent Crude prices fell below USD 50/barrel today after Iraq announced record oil production, thereby increasing concerns of supply glut.
The march futures traded 1.64% lower at USD 49.35/barrel at the time of writing, compared to the previous session’s close at USD 50.17/barrel. Prices fell from the session high of USD 50.34 on concerns of increased supply from Iraq. Iraqi Oil Minister Adel Abdel Mehdi said on Sunday Iraq pumped 4 million barrels per day (bpd) of oil in December, its highest ever.
Meanwhile, Brent was also hit by expectations of a weak Q4 GDP print in China, due for release tomorrow. The country is expected to report GDP at 7.2% year-on-year, its weakest since the 2008 crisis.
Brent Technical Levels
The immediate support is seen on the hourly charts at 49.27, under which losses could be extended to 48.73 levels. Meanwhile, resistance is seen at 50.02 and 50.34 levels.
The march futures traded 1.64% lower at USD 49.35/barrel at the time of writing, compared to the previous session’s close at USD 50.17/barrel. Prices fell from the session high of USD 50.34 on concerns of increased supply from Iraq. Iraqi Oil Minister Adel Abdel Mehdi said on Sunday Iraq pumped 4 million barrels per day (bpd) of oil in December, its highest ever.
Meanwhile, Brent was also hit by expectations of a weak Q4 GDP print in China, due for release tomorrow. The country is expected to report GDP at 7.2% year-on-year, its weakest since the 2008 crisis.
Brent Technical Levels
The immediate support is seen on the hourly charts at 49.27, under which losses could be extended to 48.73 levels. Meanwhile, resistance is seen at 50.02 and 50.34 levels.