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Oil futures traded near three-week lows on Tuesday, after a last-minute series of phone calls and offers failed to reach a breakthrough on Greece's debt package, setting the stage for a Greek debt default.

Last weekend's events regarding the debt talks with Greece roiled oil markets in London and New York on Monday. The looming default of the country sent oil futures lower on Monday morning On the one hand, prices were weighed down by the insecurity that Greece's default might have negative consequences for Europe's economic growth, on the other hand, they were penalised by the euro/dollar that was rather low on Monday morning. The bearish technical constellation also favoured the decline at oil markets. When oil futures breached several short-term supports, selling pressure increased in the first half of the day whereas the euro unexpectedly regained some ground. The supports at 58.10 and 58.00 USD WTI remained strong, limiting the downside in the early afternoon. The steadier euro triggered an upward correction little later as it makes dollar-denominated oil cheaper for investors in the Eurozone. Trading became increasingly volatile as not only the insecurity regarding Greece worried investors but also the continuing nuke talks between the West and Iran. In the second half of the day, oil futures thus struggled to find a direction but eventually they settled clearly in the red.

ICE Gasoil contract for July delivery settled at 564.50 USD on Monday, this is -9.50 USD below Friday's settlement. With some 55,500 deals the traded volume (front month) was about on average.

The selling signals of the stochastic indicator at ICE and NYMEX charts are likely to have been spent over the past few days. The lines of the indicator are no longer drifting apart and so the stochastic indicator can be considered neutral again at ICE and NYMEX charts. WTI, Brent and Gasoil have tested all of their downward potential within the Bollinger Band, so the downside seems to be limited for the time being. This might favour short covering. This morning, the indicators aren't signalling that there is much selling pressure whereas there might be more tests to the downside in the coming days if the MA21 falls through the MA7. At the WTI chart Monday's low should become a key-support. Only if the contract drops below this level, will technical selling pressure increase. That is why we are currently assessing the technical constellation as neutral.

U.S.

Nymex below average: Even though WTI renewedly tested Monday's low, it failed to break below it. That is why oil futures are currently trading nearly flat compared to their opening levels. The traded volume at NYMEX is far above average at this time of the day. Market players are waiting for the European financial and forex markets to open, for news on the nuke talks with Iran and for the economic indicators that are on the agenda today.

Houston (ex-wharf indications 30-6)
380cst $339
180cst $463
MGO $602

New Orleans (ex-wharf indications 30-6)
380cst $348
180cst $397
MGO $594

Singapore (delivered indications 30-6)

WTI is gaining with +$0.42. Singapore paper is down with +$4.00 for 180cst up with +$5.50 for 380cst for Jul, and for Aug 180 cst +$3.25 and 380cst with +$4.60 with MGO contracts Jun gaining with +$0.70 and in Jul with +$0.68. The cargo market is bearish with 180cst -$6.32, 380cst with -$6.55 and MGO down with -$1.45.

380cst $334
180cst $354
MGO $546

Fujairah (delivered indications 30-6)

380cst $330
180cst $362
MGO $731

ARA (Amsterdam - Rotterdam - Antwerp)

Indications for delivered bunkers:
380cst : $325
MGO 0.1%S: $543