Crude Oil Hits 3-Month High


Futures Pivots
are now much easier to use and available for free. To use
them as part of your daily research, simply select the contract you are trading
and tomorrow’s support and resistance levels are displayed.

The EIA weekly Petroleum Status

showed a large drop in Crude Oil inventories, while Gasoline and
Distillate inventories rose. Crude Oil and inventories are 11.4% higher than a
year ago but Gasoline inventories are 4.1% lower than a year ago.

The only other news to hit the wires today was comments made by
NY Fed President Tim Geithner. You can read the highlights in our

Treasuries fell sharply after today’s auction was poorly
received. The government’s $13 Bln offering was the first in a series expected
to raise approximately $100 Bln. Not surprisingly the heavy supply is weighing
on prices, pushing yields higher.

The drop in Crude Oil (Futures Pivots)
inventories helped push prices to the highest level in 3-months before settling
slightly at $63.94. Geopolitical tension is also on the rise after Iran resumed
research on Uranium reprocessing yesterday. Natural Gas rallied intraday but
failed to hold onto gains to close slightly lower.

Chart courtesy of FutureSource Xtra

Coffee (Futures Pivots)
pulled back after hitting a 6-month high yesterday.

Chart courtesy of FutureSource Xtra

Lean Hogs
) continued to plunge, closing limit-down for the second consecutive
day. Feeder Cattle (Futures
) was dragged down with hogs.

Chart courtesy of FutureSource Xtra

Economic News

EIA: Crude Oil Inventories Drop 2.9 Mln. Barrels; Gasoline Inventories Rise
4.5 Mln. Barrels (report).

Ashton Dorkins