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Crude oil prices eased in Asia this morning as investors looked ahead to U.S rig count data to cap the week.

Futures started strong on Thursday morning in spite of the bearish technical constellation and bearish fundamentals. Short covering which was already expected in the morning caused a correction movement of Wednesday's considerable losses while physical market players used the downward movement to stock up on oil or rather to engage in long positions to ensure their prices. This caused a stronger price level especially at ICE as recent comments from Iran indicate that a nuclear agreement in June is still not cut and dried. The dollar was able to increase in the course of the day. Therefore, the purchasing power of traders outside the United States declined and the price increase at NYMEX softened. WTI finally settled lower due to the aftereffect of the bearish record levels in US crude oil while Gasoil and Brent stayed in the black.

ICE Gasoil contract for April delivery settled at 528.25 USD on Thursday, this is -0.75 USD below Wednesday's settlement. With some 34,800 deals the traded volume (front month) was below average.

The stochastic indicator stays bearish after its lines crossed as he even dropped below the 50 line. Therefore, the indicator encourages further downtests while technical short-term triangles have been built at ICE and NYMEX. These triangles limit trading margins and could generate reinforcing signals in case of a price break. Even though the stochastic indicator stays bearish we consider the technical constellation as neutral to bearish due to the limitation of the technical triangles.

U.S.

Nymex above avarage: Oil futures mark in a rather narrow range within the technical triangle this morning without any important signal. The traded volume at NYMEX is far below average at this time of the day. Investors are waiting for the European financial and the forex markets to open. They are also eying today's economic indicators.

Houston (ex-wharf indications 10-4)
380cst $310
180cst $475
MGO $592

New Orleans (ex-wharf indications 10-4)
380cst $323
180cst $381
MGO $606

Singapore (delivered indications 10-4)

WTI is losing with -$0.15. Singapore paper is bullish with +$3.25 for 180cst with +$3.50 for 380cst for Apr, and for May 180 cst +$3.75 and 380cst with +$3.60 with MGO contracts Apr gaining with +$0.01 and in May with +$0.06. The cargo market is bearish with 180cst -$7.58, 380cst with -$7.37 and MGO bullish with -$1.87.

380cst $320
180cst $341
MGO $526

Fujairah (delivered indications 10-4)

380cst $322
180cst $341
MGO $725

ARA (Amsterdam - Rotterdam - Antwerp)

Indications for delivered bunkers:
380cst : $298
MGO 0.1%S: $513