WTI Crude Holds Above $70 Levels

WTI Crude oil futures maintained their strong rise a following President Donald Trumps withdrawal from an international agreement intended to limit Irans nuclear program. This has sent shock waves across global oil markets and pushed up the prices of global benchmarks near their highest in nearly four years. WTI Crude futures are currently trading at $ 70.91 per barrel, up 2.65% on the day. MCX Crude futures opened with a bang and are currently trading at Rs 4655 per barrel, up 3.31% on the day.

Global growth estimates continue to remain sound. The European Bank for Reconstruction and Development raised its economic forecasts for 2018 citing strong investment and higher exports. According to Regional Economic Prospects, the EBRD economies will grow 3.3% this year instead of 3% projected in November. However, this was slower than the 3.8% growth estimated for 2017 due to lower rates of productivity growth in advanced and emerging economies. Growth is forecast to decelerate further to 3.2% in 2019.The EBRD observed that a substantial rise in corporate debt levels was a source of concern.