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Crude oil prices slipped in Asia on Friday ahead of a speech by Fed Chair Janet Yellen expected to set the tone for markets.

On Thursday morning, oil futures at ICE and NYMEX initially edged lower keeping track of the bearish market fundamentals and the disappointing economic data out of China. Futures headed for the long-time lows they had hit at the beginning of the week but stopped short slightly above. The technical buying cues waned during this phase losing their influence. After prices had tested their downside several times and a bottom had formed at 853.50 Gasoil, they pulled back from their lows regaining more and more ground. The better than expected economic indicators out of the USA pushed prices higher in early US trade. WTI profited the most rising more quickly than the other futures. Oil prices pared the losses they had marked earlier on Thursday and so domestic prices in the Eurozone showed a steadier tendency as well. Along with WTI, NYMEX Gasoline futures sharply rose as the positive indicators spurred hopes that gasoline demand might rise. Later on, fresh technical buying signals of the stochastic indicator added to momentum at ICE and NYMEX. Oil futures thus settled with new highs.

ICE Gasoil contract for September delivery settled at 859.25 USD on Thursday, this is +1.75 USD above Wednesday's settlement. With some 49,300 deals the traded volume (front month) was below average.

The lines of the stochastic indicator have crossed at the ICE charts as well as at the NYMEX charts yesterday giving a buying signal. The indicator remains bullish this morning favoring a test of the upside at oil markets. Within the medium-term downtrends, which are still intact, futures in London as well as in New York still have some slack up to their next resistances. Consequently, we are assessing the technical constellation as slightly bullish this morning despite the buying signals for the technical indicators lead to expect that prices will show a steadier tendency but the superordinate downtrends are still intact.

U.S.

Nymex below avarage: Trading at oil markets has been rather calm so far this morning. Futures have edged lower but they are still consolidating near yesterday's highs. The traded volume at NYMEX is below average for this time of day. Traders are now waiting for the development at stock and forex markets. They will also keep a close eye on the situation in Iraq, in the Ukraine and Libya. There are no important economic indicators due today but traders will eye the symposium of global economists at Jackson Hole.

Houston (ex-wharf indications 22-8)
380cst $578
180cst $668
MGO $961

New Orleans (ex-wharf indications 22-8)
380cst $581
180cst $661
MGO $954

Singapore (delivered indications 22-8)

WTI is gaining with +$0.89. Singapore paper is up with +$2.50 for 180cst and +$2.50 for 380cst for Sep, and for Oct 180 cst +$2.25 and 380cst with +$2.55 with MGO contracts Sep gaining with +$0.84 and in Oct with +$0.84. The cargo market is losing with 180cst -$1.69, 380cst with -$0.95 and MGO with -$0.74.

The latest Singapore heavy residual inventory saw a slight build of +0.42 mbbl to 16.95 mbbl which is at one of the recent lowest levels. The delivered bunker premiums were seen around +$7.5 to +$9.0 above cargo prices.

380cst $585
180cst $597
MGO $860

Fujairah (delivered indications 22-8)

380cst $600
180cst $640
MGO $985

ARA (Amsterdam - Rotterdam - Antwerp)

Indications for delivered bunkers:
380cst : $562
(1.0 %) : $569
180cst: $592
MGO 0.1%S: $827