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Crude oil futures edged higher this morning, as globally positive U.S. data on Thursday fuelled optimism over the strength of the country's economic recovery, while markets eyed a report on U.S. homes sales due later in the day.

The surprisingly sharp draw in US crude oil stockpiles have provided oil markets with a clear buying signal on Wednesday. However, this already prompted investors to take profits on Thursday morning. Oil futures didn't lose considerable ground, though - despite the slight rise in Libya's oil production. The overall fundamental constellation with the political and military insecurity in Ukraine and Libya keeps buoying oil markets. That is also why Citi Group analysts significantly raised their forecast for the price of a barrel of Brent. Ahead of the weekend when the presidiential elections will take place, the east of the Ukraine saw the most violent combats since the beginning of the separatist movement. The fighting brought several victims. This prevented more profit taking at oil markets causing a light upward move in the course of the afternoon. The better than expected Chinese purchasing manager index released earlier on Thursday also supported oil markets, as did the economic data out of the USA which, in all, had a positive note. In the course of the evening, market players renewedly cut their long positions starting to consolidate their positions ahead of the prolonged weekend in the USA and the UK. Futures thus hit new lows. But in all, they settled nearly unchanged on Thursday evening.

ICE Gasoil contract for June delivery settled at 913.50 dollars on Thursday. This was -0.75 USD above Wednesday's settlement. With some 59,600 deals, the traded volume was about on average.

The stochastic indicator and the RSI are neither giving any fresh cues at the Brent, nor at the Gasoil chart this morning. Thus the indicators can be considered neutral. The stochastic indicator at the WTI chart has given a selling signal but currently the indicators at ICE are having a greater influence than those at the WTI chart and so we would like to abandon WTI in our technical assessment this morning. In the course of the day, bullish as well as bearish signals might be generated at the ICE charts. If the black line of the stochastic indicator clearly drops below the red line, a selling signal will be generated. If the red line drops below the black line, however, there will be a buying signal. The RSI hasn't sustainably fallen below 70%, so far - neither at the Brent, nor at the Gasoil chart. If it does so, a bearish signal would be generated. The supports at ICE are still intact, with a technical triangle having formed at the Gasoil chart. There might be more technical selling if the supports are breached. Since there are no signs yet of any clear technical cues at the ICE charts, we are still assessing the technical constellation as neutral.

U.S.

Nymex below average: Globex trade (NYMEX electronic computer trading) situation in the morning With new cues lacking, oil futures are currently trading in a very tight range. The traded volume at NYMEX is clearly below average at this time of day reflecting investors' caution. Market participants are now eying stock and forex markets, awaiting news regarding Ukraine and Libya, as well as today's economic indicators.

Houston (ex-wharf indications 23-5)
380cst $607
180cst $648
MGO $987

New Orleans (ex-wharf indications 23-5)
380cst $608
180cst $666
MGO $989

Singapore (delivered indications 23-5)

WTI is down with -$0.68. Singapore paper is up with +$1.25 for 180cst and +$1.50 for 380cst for Jun, and for Jul 180 cst +$0.65 and 380cst +$0.75 with MGO contracts being bearish in Jun with -$0.45 and in Jul with -$0.45. The cargo market is bullish with 180 cst with +$6.64, 380cst +$3.15 and MGO is down with -$0.13.

The Singapore fuel oil prices rose by $6.5- 3.0 during the Asian Platts window. The latest Singapore heavy residual inventory saw a build of +0.95 mbbl to 20.78 mbbl. The delivered bunker premiums were seen around +$3.0 above cargo prices. Visco spreads have gained some strength again and closed at $15.01/mt yesterday. June is trading at app.$10.50/mt while forward prices remain stable trading at app.$8.5/mt for Q3 and app.$7.25/mt for Q4.

380cst $597
180cst $620
MGO $915

Fujairah (delivered indications 23-5)

380cst $609
180cst $642
MGO $985

ARA (Amsterdam - Rotterdam - Antwerp)

380cst : $588
(1.0 %) : $650
180cst: $628
MGO 0.1%S: $883