👀 Ones to watch: The MOST undervalued stocks to buy right nowSee Undervalued Stocks

Profit takers hit oil after rally

Published 09/25/2012, 03:42 PM
Updated 09/25/2012, 03:43 PM
LCO
-
CL
-
Investing.com - Crude oil futures rallied then sold off Tuesday, as the release of upbeat U.S. economic data lifted demand prior to profit takers knocking prices back into negative territory in U.S. afternoon trade

On the New York Mercantile Exchange, light sweet crude futures for delivery in November traded at USD91.16 a barrel during U.S. afternoon trade, down 0.84%.

Oil's gains came after the Conference Board said that its U.S. consumer confidence index rose to a seven-month high of 70.3 this month, compared to expectations for a reading of 63.0.

A separate report by Standard & Poor’s and Case-Shiller showed that house price inflation rose more-than-expected in July from a year earlier.

The S&P/CS House Price Index rose to a seasonally adjusted annual rate of 1.2% in July, the biggest 12-month advance since August 2010, compared to expectations for a 1.0% increase.

The dollar index, which tracks the performance of the U.S. dollar against a basket of six other major currencies, was up 0.14% to 79.69 following the release of the data.

A weaker dollar makes U.S. commodities less expensive for importers holding other currencies such as yen or euro.

Meanwhile, sentiment on the euro was boosted following comments by German Finance Minister Wolfgang Schauble, who said defending the single currency was "worth any effort".

Spain saw borrowing costs rise at an auction of short-term debt earlier, reflecting lingering uncertainty over whether Madrid will request a full scale sovereign bailout.

Earlier in the day, market sentiment was hit by German media reports that lawyers for the German central bank are examining the legality of the European Central Bank's bond purchasing program, setting the stage for a possible legal challenge.

Elsewhere, on the ICE Futures Exchange, Brent oil futures for November delivery rallied 0.31% to trade at USD110.16 a barrel, with the spread between the Brent and crude contracts standing at USD17.81 a barrel.



 

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.