---

Crude oil prices fell slightly in Asia this morning as investors looked ahead to a key gauge of U.S. production intentions and the scope for demand as the economy shows clear signs of growth.

Oil futures at ICE and NYMEX started weak on Thursday morning. Traders slightly covered their short positions after Wednesday's downward movement. Therefore, oil futures stabilised for the moment. But the DOE's US oil inventory data kept weighing on oil futures and the weak tendency finally predominated at the oil market in the course of the afternoon as the technical bullish signals of the beginning of the week disappeared. There were hardly any important news at the oil market. Besides there were no news concerning negotiations in Greece and in Iran and economic indicators didn't trigger any clear signal. Oil futures breached their Wednesday's lows and WTI finally settled below its 21 day moving average support but trading volume stayed weak. Therefore, no strong technical reaction took place. Market players acted cautious due to the upcoming agreements in Greek and Iranian negotiations. Oil futures finally settled considerably lower due to the strong price drop in the afternoon.

ICE Gasoil contract for July delivery settled at 570.25 USD on Thursday, this is -10.75 USD below Wednesday's settlement. With some 47,400 deals the traded volume (front month) was about on average.

The stochastic indicator's lines at ICE and NYMEX trigger selling signals and are to be interpreted as bearish this morning. WTI settled below its 21 day moving average support yesterday, which limited downward margins last week. Therefore, the US crude oil sort could test its downward margins again which could extend to 58.85 USD or even to its lower Bollinger band. This is why we consider the technical constellation as bearish this morning. The influence of technical signals is rather weak due to the sideways-consolidation which was to be seen in the course of the last few weeks. Besides, traders' cautiousness could prevent new short risks before the weekend. Yesterday's lows will be decisive therefore.

U.S.

Nymex below average: Oil futures currently increase profiting from slight short covering. The traded volume at NYMEX is below average at this time of the day and shows that market players act rather cautious. They are waiting for the European financial and the forex markets to open, for news concerning Greece and for the economic indicators that are on the agenda today, as well as for possible comments concerning Iranian nuclear negotiations.

Houston (ex-wharf indications 26-6)
380cst $344
180cst $467
MGO $610

New Orleans (ex-wharf indications 26-6)
380cst $351
180cst $404
MGO $603

Singapore (delivered indications 26-6)

WTI is losing with -$0.35. Singapore paper is up with +$2.10 for 180cst up with +$1.50 for 380cst for Jul, and for Aug 180 cst +$1.20 and 380cst with +$2.00 with MGO contracts Jun losing with -$1.71 and in Jul with -$1.70. The cargo market is bullish with 180cst +$2.01, 380cst with +$0.13 and MGO down with +$1.89.

380cst $339
180cst $358
MGO $558

Fujairah (delivered indications 26-6)

380cst $339
180cst $366
MGO $732

ARA (Amsterdam - Rotterdam - Antwerp)

Indications for delivered bunkers:
380cst : $323
MGO 0.1%S: $543