Crude oil moving higher
Saudi energy minister Falih is on the wires saying:
- we are confident OPEC+ cut deal are certain enough to bring market into balance unless something unexpected happened
- market conditions look better now than few weeks ago
- I would not rule out: for further OPEC+ action at some time
- we have to give it time, oil demand is soft in Q1
- Saudi Arabia will lead to bring the market into balance
- we continue to discuss the nuclear 123 agreement with the US
- we want the US to be part and parcel of the kingdom nuclear plants
- US is key provider for nuclear technology
The price of crude oil has moved to new session lows on the back of the comments.
The front contract is currently trading at $52.53 up $2.75 or 5.42%.
Looking at the daily chart below, the price is moving up toward the December swing highs at $53.27 and $54.55. The 38.2% of the move down from the October high comes in at $55.55. Those are the next targets on more upside momentum.
