Oil poised for highest close since 2015
WTI crude is 2.15% today to $54.55. A close here would be the best since 2015, although the intraday high on Jan 3 was $55.24.
Technically, the climb creeps through a minor downtrend but the close is going to be key.
What's more impressive than the technicals is the environment oil is rally in. The US dollar is broadly stronger today and that's a headwind for crude. All else equal, it might be pushing crude down by 0.5%.
In addition, Peter-Logistics reports that OPEC exports climbed in February in a sign of non-compliance. They said the first 15 days of Feb have seen exports increase above the trailing average and warned of a very real risk that some of the steam will come out of the market.
Yesterday, Russia reported that its cuts are ahead of schedule and today OPEC officials called for 100% compliance to the agreed cuts.
Oil bears have been noting that net crude speculative longs are at a record, along with open interest. Note that US inventory data is delayed a day this week because of the holiday.
