Crude Oil - June 2, 2020 - HDFC Securities

Mr. Tapan Patel- Senior Analyst (Commodities), HDFC securities

Crude oil prices continued the bullish stance with NYMEX WTI Crude oil prices gained by 2% to $36.16 on Tuesday. Crude oil futures prices at MCX for June contract rallied by more than 2% to Rs.2738 by noon session following the gains of NYMEX WTI Crude oil.

Crude oil prices traded higher on growing prospects of extension of OPEC plus output cut. The US President Trump and Russian President Vladimir Putin also discussed over the oil market situation.

OPEC plus nations may hold meeting in coming week by 8-9 June to discuss and review output cuts. Saudia Arabia has already proposed extension of output cuts till the end of the year provided Russia agrees to it.

We expect oil prices to trade higher for the day with support at $34 and resistance at $38. MCX Crude oil June futures has support at Rs. 2670 with resistance at Rs.2810.

Source : Equity Bulls

Keywords