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Oil prices fell almost 1.5 percent this morning, as investors turned cautious ahead of U.S. jobs data that is expected to play into the Federal Reserve's decision on the timing of any U.S. rate hike.

Oil futures remained range bound on Thursday morning. They hardly moved until the afternoon as Brent's upside was capped by the strong resistance at 50.60 USD and the contract failed to breach its support at 50.00 USD sustainably. At the WTI chart, the first support at 45.90 USD and the first resistance at 46.35 USD also remained strong for quite a while. However, the ECB's press conference following the Council meeting roiled financial markets in the afternoon. Economic growth and inflation in the Eurozone had not met the ECB's expectation which is why the head of the central bank, Mario Draghi, presented the prospect of further economic measures. Consequently, the euro/dollar plummeted, indicating higher domestic prices for oil products in the Eurozone. The outlook of more cheap money sent equities higher. When US stock markets opened, oil futures gained ground as well. Even though the weekly US labour market data failed to convince market players, oil prices were bolstered by the US purchasing manager index and reports on the possibility of a sharp decline in US output in September. During this phase, oil futures tended to the upside, breaking above their narrow trading range. This triggered more technical buying. Nonetheless, oil futures at ICE and NYMEX failed to defend their gains, losing some ground in the course of the evening. Crude oil demand from Asian refineries has decreased and Saudi Arabia cut its selling prices for October deliveries for most buyers. Oil futures thus returned to the levels they had had in the morning. The euro remained softer after the ECB's decision.

ICE Gasoil contract for September delivery settled at 495.25 USD on Thursday, this is +23.75 USD above Wednesday's settlement. With some 52,300 deals the traded volume (front month) was on average.

This morning, neither the Stochastic indicator nor the RSI are giving any fresh cues. The RSI is still in overbought territory, favouring downward moves. If the RSI drops below 70%, it would generate a technical selling signal. The MA7, which has limited losses in the past few days, remains a key-support for oil futures. If oil futures sustainably break below this mark, and the RSI drops below 70%, market players might take some profits from their long positions. Since currently there are no fresh cues yet, the technical constellation is still neutral.

U.S.

Nymex above average: After their brief rise, oil futures edged lower again in Asian and electronic trading this morning, weighed down by the retreating euro. The traded NYMEX volume is far above average at this time of day. Market players are now waiting for the European financial and forex markets to open as well as for the release of today's economic indicators. They will particularly focus on the data on the US labour market.

Houston (ex-wharf indications 4-9)
380cst $250
180cst $350
MGO $503

New Orleans (ex-wharf indications 4-9)
380cst $262
180cst $313
MGO $480

Singapore (delivered indications 4-9)

WTI is bullish with +$1.68. Singapore paper is up with +$14.00. for 180cst with +$13.75 for 380cst for Sep, and for Oct 180 cst +$13.95 and 380cst with +$13.50 with MGO contracts Sep gaining with +$2.13 and in Oct with +$2.11. The cargo market is bearish with 180cst -$16.90, 380cst with -$16.36 and MGO with -$2.99.

380cst $256
180cst $264
MGO $456

Fujairah (delivered indications 4-9)

380cst $254
180cst $289
MGO $509

ARA (Amsterdam - Rotterdam - Antwerp)

Indications for delivered bunkers:
380cst : $248
MGO 0.1%S: $452