RJO FuturesCast

Daily Futures Market News, Commentary, & Insight

Energies

Oil Eases After De-Escalation in Tension

Posted 01/10/2020 9:22AM CT | Alexander Turro

Oil sank the most in three months after rising nearly 5%, extracting most of the risk premium that had been built into the market following the killing of the top Iranian general, Qassim Suleimani. Oil reversed after the Islamic Revolutionary Guard Corps claimed responsibility for the missile strikes in Iraq earlier in the week with the administration stating that no one had been killed and that Iran was appearing to ‘stand down.’ In addition, a rather substantive build in inventories further weighed on prices. However, with the prospect of de-escalation and no imminent threat of an impact on oil supply look for oil prices to stabilize, which may further be buoyed by improved demand sentiment. The market is signaling immediate term oversold within its bullish trend with today’s range seen between 58.97 – 64.10.

800-826-1120312-373-5484Series 3 Licensed

Alexander Turro

Market Strategist
Alex began his career with an IB at the Chicago Board of Trade after graduating with a BA/BS from Indiana University. He then went on to work for a proprietary trading software company before joining RJO Futures as a Market Strategist.
Read More