Oil prices fell more than 3% on Monday after Greece rejected debt bailout terms and China rolled out emergency measures to support its stock markets, adding to concerns about demand at a time of global oversupply.
Today feels like a correction day after we saw strong rallies in the energy markets including crude, gasoline and natural gas. It is not uncommon to see a correction on Friday when the balance of the week has seen the price discovery grind in one direction.
Crude oil prices are continuing the rally with the spot WTI contract currently breaching the three-week old technical range resistance level. This morning OPEC released their monthly oil assessment. They kept global oil demand the same as in last month’s forecast and said they do not see an increase in demand for OPEC crude.