Crude oil down 0.5% on weak Asian trend

Crude oil futures eased 0.55% to Rs 3,089 per barrel today as speculators reduced positions amid a weakening trend in Asian markets.

At Multi Commodity Exchange, crude oil for delivery in August traded Rs 17 or 0.55% lower, at Rs 3,089 per barrel in 976 lots.

Oil for July delivery also moved down Rs 16, or 0.53%, to Rs 3,025 per barrel in 1,861 lots.

The trading sentiment dampened in futures trade after oil prices extended their decline in Asia today as the global glut returned to focus, while worries about the effects of Turkey's coup on shipments also eased, analysts said.
 
Turkey is a strategic conduit for shipments from Russia and Iraq to the Mediterranean and there had been fears that the bid to grab power by a military faction at the weekend would disrupt flows.

The coup, however, was quickly crushed.

Meanwhile, West Texas Intermediate (WTI) crude was down 18 cents, or 0.40%, to $45.06, while Brent crude eased 14 cents, or 0.30%, to $46.82 a barrel on the New York Mercantile Exchange.

After topping $50 in early June on the back of unrest in key African producer Nigeria and wildfires in Canada's key crude region, prices have been falling as the crises eased.