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11 Dec 2014
Oil making lower lows and breaking $60
FXStreet (Guatemala) - Oil is making new lows on the back of continued oversupply and more forecasts that we will be swimming in the black gold in 2015 as well.
The price of oil has dropped over $40.00 since August of this year and the pace of this downside momentum picked up on the 27th November before a bounce which only met further supply and has been drifting lower by $13 to date with lower lows throughout Decembers trade. On the back of this, USD/CAD> is now up into the 1.15's and looking to base itself there with support at the handle on dips.
Some analysts see further downside to come, considering OPEC's stubborn stance in the matter combatting for their share of the market and seeking to protect again the growth in US shale. Meanwhile, today’s data may be starting to reflect the positive impact that this is having on consumers by looking at US November retails sales, as an example, beating expectations and rising the most in eight months.
The price of oil has dropped over $40.00 since August of this year and the pace of this downside momentum picked up on the 27th November before a bounce which only met further supply and has been drifting lower by $13 to date with lower lows throughout Decembers trade. On the back of this, USD/CAD> is now up into the 1.15's and looking to base itself there with support at the handle on dips.
Some analysts see further downside to come, considering OPEC's stubborn stance in the matter combatting for their share of the market and seeking to protect again the growth in US shale. Meanwhile, today’s data may be starting to reflect the positive impact that this is having on consumers by looking at US November retails sales, as an example, beating expectations and rising the most in eight months.