Energy markets kicked off a slightly positive trade early Tuesday, halting yesterday's steep slide as traders held grounds ahead of the Federal Reserve's policy decision tomorrow.
Futures recovered this morning from the steep selloff that rocked emerging markets last week amid concerns of slowdown in China. But oil is expected to trade in a narrow range as markets await the outcome of the Federal Open Market Committee (FOMC) two-day policy meeting, where the Bank is expected to curb its bond-buying again, by about $10 billion to $65 billion a month.
As of 02:50 a.m. EST:
- NYMEX WTI Crude was up 0.24% at $95.95 a barrel
- ICE Brent Crude was up 0.32% at $107.03 a barrel
Markets will focus on two reports for hints on demand outlook, with the EIA's weekly report expected to show US crude stockpiles rose last week, Gasoline supplies probably jumped while distallate inventories dropped, according to analysts' average forecast.
- NYMEX Gasoline was up 0.35% at $263.09
- NYMEX Heat Oil was up 0.16% at $309.75
- NYMEX Natural Gas was up 1.90% at $4.939
- ICE Gasoline was up 0.19% at $910.25