Brent oil drops 2% in Asia, weighs over equities

By FXStreet FXStreet (Mumbai) – Oil prices fell again in Asia and dragged Asian equities lower as technical correction seen on Tuesday ran out of steam after IEA warned markets to remain oversupplied in 2016.

Brent futures currently trade 2.10% or 62 cents lower at USD 28.20/barrel. WTI oil futures fell 3% towards USD 27/barrel; lowest since 2003. The slide in the oil prices pushed the Asian stocks lower.

The focus today is on the inventory data from industry group the American Petroleum Institute. Official data from the US Department of Energy’s Energy Information Administration will be out on Thursday.

Brent Technical Levels

The immediate resistance is seen at 28.72 (daily high), above which the prices could rally to 30.22 (previous day’s high). A break below 27.96 (Jan 18 low) would open doors for a sell-off to 27.00.
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Source:: FX Street