MCX crude oil declines on higher inventory and weak China

Last Updated : November 03, 2011 11:41MUMBAI (Commodity Online): MCX Crude Oil is trading lower by 0.64% on Thursday morning trade on higher than expected US inventories and weakening Chinese manufacturing activity.

MCX crude oil November is trading at Rs 4512 after opening at Rs 4534 while NYMEX WTI crude oil December is trading at $91.56, down $0.95.

-The EIA reported that the US crude oil inventories had rise by 1.8 million barrels against the market expectations of a lower 1.4 million barrels. A higher than expected inventory buildup indicates weakening demand.

-Chinese manufacturing and non manufacturing activity slipped for the month of October as their PMI's indicated. China is one of the major consumers of Crude Oil and as such any negative news from the country will affect oil prices.

Technical Target by Angel Commodities for Nov 3

Support seen at Rs 4418 and Rs 4480 while Resistance expected at Rs 4573 and Rs 4667

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