Saudi Foreign Minister’s threats to Iran go unnoticed as WTI stays under pressure above the $65 level during today’s early morning. Saudi Arabia’s Foreign Minister Ibrahim Abdulaziz Al-Assaf recently fired verbal shots against Iran while terming it as a rogue terrorist regime. The Kingdom diplomat is also spotted by the Sky News as signaling indirect war threats to Tehran. Though, energy traders pay little heed to the news as restoration of oil and gas output from Saudi Aramco gets more attention when the broad US Dollar strength is exerting downside pressure on commodities. It should also be noted that the energy benchmark turned blind eye to the latest headlines concerning US-China trade talks resumption.
Crude oil prices stayed under pressure during yesterday’s session with an incomplete attempt to break above near resistance level. The price is currently hovering around the 56.27 support level with the momentum being also under pressure. We will be also focusing on the downside before entering the oversold zone with the 55.06 level on our watch.
Support: 55.92/ 55.06
Resistance: 56.27/ 579