Oil prices rose in early trade on Tuesday, reversing overnight losses, as investors shifted to risk assets and out of the safe-haven U.S. dollar, which slid to a more than two-year low. Both benchmark contracts fell around 1% on Monday on worries about oil oversupply with global demand stuck below pre-COVID levels. The dollar was last down 0.04% at 92.146 against a basket of currencies, after hitting its lowest since May 2018, continuing to fall in the wake of the U.S.
Federal Reserve’s policy shift on inflation announced last week. The weakening U.S. dollar makes oil and other commodities priced in dollars more attractive to global buyers. Overall, the market remains focused on the stalled recovery in fuel demand as countries continue to battle the coronavirus pandemic with rolling COVID-19 lockdowns. China’s crude imports in September are set to fall for the first time in five months as record volumes of crude are stored in and outside of the world’s largest importer, data from Refinitiv and Vortexa showed.
TREND : SIDEWAYS
Time : 01/09/2020
Pivot : 43.03
Technical View : LONG ABOVE 43.23
Target : 43.43, 43.66, 44.09, 44.57
Technical View : SHORT BELOW 42.83
Target : 42.63, 42.35, 41.97, 41.44