Energy Preview: Crude Sees Mixed Trade After Testing Near Two Week Low

A recovery in US equities and good speculative demand capped the downside for Crude oil futures yesterday. The WTI Crude oil futures tested near a two week low on Monday amid an overwhelming correction in US markets but have been witnessing steady upmove afterwards. The counter is currently trading at $ 63.30 per barrel, down 0.30% on the day. MCX Crude oil futures are likely to see a flat opening after ending just under Rs 4130 per barrel mark in last session.

Large energy speculators added to their bullish net positions in the Crude Oil WTI Futures markets last week, according to the latest Commitment of Traders (COT) data released by the Commodity Futures Trading Commission (CFTC) on Friday. The non-commercial futures contracts of WTI Crude Oil futures, traded by large speculators and hedge funds, totaled a net position of 715,770 contracts in the data reported through Tuesday March 27th. This was a weekly lift of 12,062 contracts from the previous week which had a total of 703,708 net contracts. Speculative positions have now gained for a second straight week. The current level is just below the record high bullish position of +739,097 contracts that was reached on February 6th.