Crude oil punched through its 200-day moving average support again on Friday, which may well bring additional selling into the market. This is the lowest crude oil has traded since February 22nd. Fears of more global economic weakening and on news that there was no agreement reached on giving Greece more funds to avoid a default are giving the edge to bears to begin the day. European finance chiefs have asked Greece to sell state assets and pass deficit cutting laws before deciding whether Greece gets the next full payment in July. Worry about a ripple effect across Europe if Greece defaults will make for volatile markets.
The Department of Transportation said that April travel in the US was down 2.4% from a year ago.
Today’s themes: fear of Greek default, higher US dollar, technically weak but crude oversold.
NYMEX trading as of 9:30am Monday, June 20th. July crude oil $92.72, down 30 cents. Gas and diesel just down 1-2 cents today.
