MTECHTIPS Crude Oil shrinks on poor China data, US Fed concerns

MTECHTIPS:-Crude Oil shrinks on poor China data, US Fed concerns

Crude oil futures in the global market have been trading down pressured by poor Chinese manufacturing data and concerns that the US Federal Reserve may cut its monetary stimulus program.Strong US housing data released on Thursday raised concerns that US Fed may cut its bond buying program. Earlier, US Fed chairman had given a hint that the US Fed may cut its pace of bond buying if US job market improves. US durable goods data is scheduled to be released at 06.00 PM IST today and traders may get hints for their trading from the data released. Also, a list of data releases from Germany, France and Italy are scheduled for the day. WTI crude oil futures on NYMEX for July delivery was seen trading down by 0.43% at $93.87 per barrel as of 10.19 AM IST on Friday. Brent crude oil futures for July delivery was also seen trading down by 0.19% at $102.40 per barrel as of 10.20 AM IST on Friday. Crude oil may find support around $92 and eventually slide towards $90 and 88 in coming days, said Commodity & Currency, Motilal Oswal Commodity Broker Pvt Ltd in a release reacting to the current trend in crude oil. Meanwhile, US commercial crude stock-piles fell in the past two weeks, inventories remained near the highest level since 1931, according to Energy Information Administration (EIA).