Oil extending losses on API build

By FXStreet Oil has been a mover again as the week moves along. The opening bullish gap this week is on its way to be filled on a break of the $31bbl level to the downside.

In recent trade, the price of oil dropped on the back of the API crude oil data which showed another rise in inventories. There were a large build of 7.1m bbls while the Cushing build was 370k with gasoline +569k and distillates -267k.

The price of WTI went form 31.63 to 31.20. The original sell-off came about when Saudi oil minister expressed that there will be no production cuts overnight when the price of US oil went from $33.94 to $31.80 while now, the price has broken below the 100 sma on the hourly chart at $31.66, targeting the gap of $29.81.
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Source:: FX Street