Crude Edging Higher on Trade OptimismPosted 11/27/2019 7:39AM CT |
Oil prices are edging higher as of Tuesday afternoon amidst unrelenting optimism on U.S.-China trade talks, hopes of an OPEC extension, lower U.S. production, as well as reports of strong Chinese import demand. Reports of Chinese imports from Saudi Arabia have gone up 76% with imports at a record 10.7 million barrels per day with demand up 3.7% in October versus year ago levels. This comes amid a continuing decline in the U.S. rig count with the lowest number of operating rigs since March 2017. Despite prices near 2 ½ month highs the market is nearing near term overbought levels with today’s range seen between 55.56 – 59.05.