WTI Crude Oil (current price: $50.02)
Oil hit the crucial $50 level for the first time since October before the release of the bigger than expected U.S. Crude Oil Inventory number that caused a sharp drop in the price of the commodity. Oil ended the day back near its daily highs with a late-day rally as U.S. production continued to decline, an encouraging sign in the long run for oil producers. The most traded commodity is still bullish, and new highs are in the cards as long as it stays above the short-term support near $47.
Our assessment: Oil has been rising despite the Dollar rally in recent weeks, but the renewed speculation regarding further FED rate hikes could cause a meaningful correction in the commodity.
