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Forex News Timeline

Wednesday, June 28, 2017

An adviser to the Peoples’ Bank of China (PBOC) came out on the wires, via Bloomberg, noting that he sees no further tightening in H2 monetary policy

An adviser to the Peoples’ Bank of China (PBOC) came out on the wires, via Bloomberg, noting that he sees no further tightening in H2 monetary policy in 2017.

The USD/CAD pair extends yesterday’s massive declines into a second day today, in the wake of the US political worries and hawkish BOC Governor Poloz.

The USD/CAD pair extends yesterday’s massive declines into a second day today, in the wake of the US political worries and hawkish BOC Governor Poloz.USD/CAD trades below all major DMAsThe major came under renewed selling pressure in the Asian trades, as it faces double whammy amid a delay in the US Senate vote on the health-care bill induced USD sell-off on one hand, while on the other hand, the overnight hawkish remarks from the Bank of Canada (BOC) central bank Poloz boosts the CAD to hit fresh four-month tops of 1.3140 versus the US dollar. Moreover, the recovery in oil prices also continue to underpin the sentiment around Loonie, as attention shifts towards BOC Poloz’s speech scheduled again later today. Also, of note will be the EIA crude stockpiles data, which will have a significant impact on the commodity-currency.USD/CAD Technical levels                 The next resistance can be seen at 1.3200 (round figure/ daily high), 1.3220/37 (5 & 10-DMA) and 1.3261 (Jun 27 high). Next support to the downside can be found at 1.3135/28 (classic S1/ Fib S2), 1.3100 (key psychological support) and 1.3054 (Nov-end lows).

Bank of China, state-owned commercial bank, published its latest growth forecasts, citing that it sees China GDP growth at 6.8% in 2017.

Bank of China, state-owned commercial bank, published its latest growth forecasts, citing that it sees China GDP growth at 6.8% in 2017.

Analysts at Goldman Sachs offers a sneak peek on what to expect from the Japanese data dump due to be reported this Friday. Key Quotes: “We estimate

Analysts at Goldman Sachs offers a sneak peek on what to expect from the Japanese data dump due to be reported this Friday.Key Quotes:“We estimate the national core CPI (excluding fresh food) rose 0.4% yoy in May, up slightly from +0.3% in April (partly due to continued energy price rises), while the new national core CPI (excluding fresh food and energy prices) was unchanged from April, at 0.0% We estimate production declined 3.0% in May (April: +4.0% mom), as consumer durable manufacturers were planning large production cuts for May May retail sales are likely to have decelerated to +2.5% yoy growth (April: +3.2%) and real household spending to -1.5% yoy (April: -1.4%), partly due to unfavorable weather earlier in the month.”   

The Asian recovery seen so far in AUD/USD gained renewed traction, following hawkish comments ex-RBA board member Edwards, which sent the rate back be

The Asian recovery seen so far in AUD/USD gained renewed traction, following hawkish comments ex-RBA board member Edwards, which sent the rate back beyond 0.76 handle.AUD/USD takes-out 0.76 handle, what next?The AUD bulls gathered pace and extended the rebound well beyond 0.76 handle, in a bid to retest 6-day tops reached yesterday at 0.7624 levels. The latest move higher can be purely attributed to the renewed hopes of RBA tightening sooner (than later), especially after former RBA board member Edwards noted: “It seems to me that something like eight quarter percentage point tightenings over 2018 and 2019 are distinctly possible.”Moreover, the extension of broad based US dollar sell-off also continues to provide extra support to the AUD/USD pair. The USD index trades at the lowest levels since November last year, testing 96 handle. Meanwhile, rising Aussie bond yields offset subdued trading activity seen in oil and copper prices, keeping the sentiment buoyed around the AUD. Focus now remains on a mix of CB speeches due later in early US, alongside the releases of the US goods trade balance and pending home sales data for fresh trading impetus.AUD/USD Levels to watch    At 0.7612, the pair finds the immediate resistance at 0.7630-40 (key resistances) above which gains could be extended to the next hurdle located 0.7680 (Mar 30 high) and 0.7700 (zero figure). On the flip side, the immediate support is located at 0.7550 (psychological levels). Selling pressure is likely to intensify below the last, dragging the Aussie to 0.7533 (100-DMA) and below that 0.7509/0.7497 (200-DMA/ Jun 7 low).  

AUD/USD met with an upside nudge

A shooting star reversal seen on the AUD/USD daily chart is tipping traders off for a downside break.

The price rallied during the session, but pulled back to the bottom to close near the opening price.

Considering what's happening on 4-hour studies where the price structure has been at a considerable distance above it's 200-period SMA, the case for a retracement becomes highly compelling.

AUD/NZD short-term extreme overbought

The 4hr RSI was printing below 50% most of the last three weeks and recently broke above the 60% mark.

AUD/NZD was in sell mode -the 50SMA placed below the 200SMA on 4hr charts-, until it failed to cooperate with these trend indicators. Now the oscillators point to a short-term extreme overbought zone which may allow sellers to adhere to a continuation move with the prevailing down trend.

However, should the pair extend its recovery from multi-week lows into a new trend, short positions may require a contingency plan.

AUD/NZD momentum is supportive for attempt higher

On the 4hr AUD/NZD chart, the MACD has moved above zero making the near-term structure supportive for an attempt higher.

Such a momentum indication, unseen for at least for 30 periods, indicates that key price breaks are on the horizon. There is a real threat of AUD/NZD rate moving now considerably higher as buyers may get aggressive in the short term.

Comments from Newly appointed US Ambassador to China Terry Branstad crossing the wires via Reuters - "There is a need to work together with China on s

Comments from Newly appointed US Ambassador to China Terry Branstad crossing the wires via Reuters - "There is a need to work together with China on some pressing issues, such as North Korea and expanding trade".

Bloomberg out with headlines from the former RBA board member John Edwards, commenting on the future course of the central bank’s monetary policy. Ke

Bloomberg out with headlines from the former RBA board member John Edwards, commenting on the future course of the central bank’s monetary policy.Key Quotes:“It seems to me that something like eight quarter percentage point tightenings over 2018 and 2019 are distinctly possible, if the RBA’s economic forecasts prove correct.” “It’s possible the tightening could start earlier, or if not the tightening itself, at least the signaling which should precede it. We may be seeing a little of that now.” “The bigger the household debt, the more impact a quarter percentage point increase in the policy rate will have on household spending.” “In the Australian case, it is certainly possible that high household home mortgage debt will crimp consumer spending if the policy rate returned to what was once considered a relatively low long-term rate.”

Hawkish Draghi and the resulting spike in the German bund yields and the treasury yields on Tuesday pushed the EUR/JPY to 127.48; its highest level si

Hawkish Draghi and the resulting spike in the German bund yields and the treasury yields on Tuesday pushed the EUR/JPY to 127.48; its highest level since April 2016. The cross was last seen trading around 127.20 levels.Draghi prepping markets for QE taperECB’s Draghi said in a speech in Portugal yesterday that the deflationary forces have been replaced by reflationary ones. The hawkish tone suggests the President could be prepping up markets for an eventual QE taper. This resulted in a spike in the German yields, leading to a broad based rally in the common currency. Meanwhile, the uptick in the treasury yields weighed over the Japanese Yen. Moreover, a spike in the global bond yields means the BOJ would have to buy more bonds in order to keep the 10-year yield around zero percent as planned. The losses in the Asian equities today may stall the sell-off in the Japanese Yen. Draghi is once again set to take center stage today. The EUR may scale new multi-month highs if the central bank chief reiterates Tuesday’s hawkish message.EUR/JPY Technical LevelsA break above 127.96 (Aug 2013 low) would open doors for 129.17 (0.618 Fib extension of Apr low - May high - June low) and 130.00 (zero levels). On the downside, failure to hold above 126.47 (Apr 2016 high) would expose 125.80 (May 2017 high) and 124.33 (weekly low). 

Comments from the Bank of Canada (BOC) Governor Poloz hit the wires earlier on the day, as he spoke on the monetary policy and economic outlook during

Comments from the Bank of Canada (BOC) Governor Poloz hit the wires earlier on the day, as he spoke on the monetary policy and economic outlook during an interview with CNBC.Key Points:Rate cuts have done their job Expect Canada’s growth to stay above potential

Reuters quoted three sources from China’s National Petroleum Corporation (CNPC), citing that the Chinese company has suspended sales of fuel to North

Reuters quoted three sources from China’s National Petroleum Corporation (CNPC), citing that the Chinese company has suspended sales of fuel to North Korea and described it as a ‘commercial decision’.Key Quotes:“It's unclear how long the suspension will last. A prolonged cut would threaten critical supplies of fuel and force North Korea to find alternatives to its main supplier of diesel and gasoline CNPC and the Ministry of Commerce did not respond to requests for comment. China's Foreign Ministry declined immediate comment. North Korea's embassy in Beijing declined to comment. A source with direct knowledge of the matter said CNPC decided to put fuel sales on hold "over the last month or two" and described it as a "commercial decision".”

The People's Bank of China set the Yuan midpoint rate at 6.8053 vs.Tuesday's fix of 6.8292

The People's Bank of China set the Yuan midpoint rate at 6.8053 vs.Tuesday's fix of 6.8292

Australia government bonds are being hit hard after Draghi’s hawkish comments on Tuesday led to a spike in the German Bund yields and the treasury yie

Australia government bonds are being hit hard after Draghi’s hawkish comments on Tuesday led to a spike in the German Bund yields and the treasury yields.  The benchmark 10-year Aussie government bond yield jumped seven basis points to 2.44%. The 2-year yield rose three basis points to 1.69%.  ECB’s Draghi said in a speech in Portugal that the deflationary forces have been replaced by reflationary ones, leading to a spike in the bund yields. Investors believe the central bank chief is prepping up markets for the QE taper.  German 10-year yield jumped more than 10 basis points to 0.372%. Meanwhile, the 10-year treasury yield rose 6 basis points to 2.20%.

Analysts at ANZ noted that market moves were much more extreme overnight compared to recent weeks. Key Quotes: "Global yields spiked higher, equitie

Analysts at ANZ noted that market moves were much more extreme overnight compared to recent weeks.Key Quotes:"Global yields spiked higher, equities dropped, the USD fell and oil rallied. The spark for market moves came from Mario Draghi, where the market interpreted his comments as hawkish (see below). European yields bear steepened with the German 10 year up 13bps; French 10 year up 14bps; and Italian 10 year up 17bps. The front end of these curves rose 6-8bps. UK yields also climbed, while in the US, 10 year yields rose 6bps." "European equities fell 0.2-1%, while US equities were led lower by teleco, tech and utility stocks. John Williams led to a minor sell off in US bourses after saying equities may be “priced-to-perfection” and news that the Senate will delay the health care vote led to another leg lower for equities. In commodities, oil climbed nearly 2% and gold rose 0.3%." 

Analysts at Nomura offered their projections for today's USD/CNY fix. Key Quotes: "Our model1 projects the fix to be 185 pips lower than the previou

Analysts at Nomura offered their projections for today's USD/CNY fix.Key Quotes:"Our model1 projects the fix to be 185 pips lower than the previous fix (6.8107 from 6.8292) and 6 pips higher than the previous official spot USD/CNY close of 6.8101. The basket implied change is 7 pips higher than the previous official spot USD/CNY close (6.8108 from 6.8101)."

Currently, USD/JPY is trading at 112.08, down -0.22% on the day, having posted a daily high at 112.36 and low at 112.07. USD/JPY is turning south, ca

Currently, USD/JPY is trading at 112.08, down -0.22% on the day, having posted a daily high at 112.36 and low at 112.07. USD/JPY is turning south, capped at 112.46 overnight highs with markets unsure and mixed post the performance and turbulence in previous sessions. The main events were around Draghi and Yellen speaking with a little bit of vice chairman of the Fed Fischer. Wall Street closes lower on healthcare bill uncertainty and tech sell-offThe comments coming from Central Bankers are taking te spotlight this week with a lack of key fundamental calendar. Yellen was less hawkish than expected, and Fischer warned of risk aversion. Draghi gave the euro a massive boost with his rhetoric and thus the dollar was on rocky ground. The yen was driven on the following, shaping its upside in today's open in Tokyo despite a marginally positive open for the Nikkei 225: S&P 500 down 0.8% to 2,419 Dow Industrials off 99 points to 21,311 Technology stocks lost 1.7% for biggest decline in market; all but one stock in S&P 500 Tech lower except for FIS Financials only advancing group, up 0.5% 10-year Treasury yield up more than 3 bps VIX jumps 12% to 11.1 The next risks are with the Central Bank governors, Mark Carney, Governor, Bank of England, Mario Draghi, President, European Central Bank, Haruhiko Kuroda, Governor, Bank of Japan and Stephen Poloz, Governor, Bank of Canada all speaking on a panel at the investment and growth in advanced economies in Sintra, Portugal. During two days of sessions and panels, approximately 150 central bank governors, academics, financial journalists and high-level financial market representatives will exchange views on current policy issues and discuss the chosen topic from a longer-term perspective. USD/JPY levelsValeria Bednarik, chief analyst at FXStreet explained that the 4 hours chart shows that the price continues developing above its 100 and 200 SMAs, but also that technical indicators are beginning to retreat after nearing overbought levels. "The immediate support comes at 112.00, the 38.2% retracement of its April/May bullish run, and the positive tone will persist as long as the level contains intraday declines. Below it, however, the risk will turn clearly towards the downside.  

AUD/JPY cross jumped to 85.33; the highest level since March 31st on the back of broad based Yen selling and the surge in iron ore prices. Yen weaken

AUD/JPY cross jumped to 85.33; the highest level since March 31st on the back of broad based Yen selling and the surge in iron ore prices.Yen weakens as T-yields rise, ignores losses on Wall StreetThe Japanese Yen came under pressure as the benchmark 10-year treasury yield rose 6 basis points to 2.20%. Yields rose on hawkish comments from Draghi and Yellen, thus pushing the Yen lower despite a 1.61 % drop in the NASDAQ and 0.8% slide in the S&P 500.Iron ore logs largest single day gain in four monthsAussie dollar remained well bid in the overnight trade despite the uptick in the treasury yields mainly due to a big jump in the iron ore prices. According to Metal Bulletin, the spot price for benchmark 62% fines soared 5.2% to $59.70/tonne, marking its largest one-day percentage increase since February 13 this year. Thus, the AUD/JPY cross, rose to 3-month highs. The pair was last seen trading around 85.15 levels. Asian stocks have got off to a weak start this Wednesday morning and that could cap further gains in the AUD/JPY cross.AUD/JPY Technical LevelsA break above 85.36 (Feb 9 low) would expose 85.85 (Mar 9 low) and 86.00 levels. On the downside, breach of support at 85.00 (zero levels) would open up downside towards 84.67 (5-DMA) and 84.45 (100-DMA) levels. The daily RSI remains bullish and well short of the overbought territory, suggesting scope for further gains in the pair. 

Reuters is carrying the headlines, which says Japanese PM Shinzo Abe is looking to ditch a pledge to balance the budget by fiscal 2020. Abe is in favo

Reuters is carrying the headlines, which says Japanese PM Shinzo Abe is looking to ditch a pledge to balance the budget by fiscal 2020. Abe is in favor of a looser debt-to-GDP ratio target and wants to create “a free hand to delay again the unpopular sales tax hike”.  Abe, who twice delayed a hike to 10 percent after an increase to 8 percent in 2014, is likely to prioritize economic growth over consolidating the budget… as recommended by the IMF last week. 

Analysts at Nomura offered a review of the latest US data and preview of forthcoming today. Key Quotes: "Review Case-Shiller home price index: The C

Analysts at Nomura offered a review of the latest US data and preview of forthcoming today.Key Quotes:"Review Case-Shiller home price index: The Case-Shiller 20-city home price index increased 5.67% y-o-y in April, following a 5.88% increase in March. On a m-o-m basis, the index was up 0.28%, after a 0.53% increase. Low housing inventory compared to demand has been driving steady increases in home prices. Supply of both new and existing homes has been low. In particular, inventory of new or existing homes has been hovering around a low of a four months’ supply. With mortgage rates remaining low and healthy employment and income gains, persistently high demand may continue over the medium term. Without an influx of supply above current levels, continued home price appreciation could continue in the near future.  Conference Board’s Consumer Confidence: According to the Conference Board, consumer confidence increased in June with the headline index rising by 1.3pp to 118.9. This increase was driven by an uptick in the present situations index, increasing to 146.3 from 140.6. The expectations index ticked down by 1.7pp to 100.6, the third consecutive month of decline. Since March, the expectations index has decreased by 11.7pp. The labor index was up 3.1pp, with an increase in the number of consumers reporting jobs as plentiful and a decrease reporting jobs as hard to get. Within demographic groups, the increase in consumer confidence was driven by consumers older than 35 and those with an income between $35-125k. Today’s headline number contrasts with the June numbers from the University of Michigan (which ticked down slightly). The University of Michigan final survey results for June will be out on Friday. Today’s report from the Conference Board indicates a continuation of heightened optimism from consumers with a slight decline in future expectations. Preview Advance goods trade balance: Goods trade data were weak in April with the second consecutive decline in nominal goods exports. At the same time, nominal goods imports increased steadily, widening the trade gap to $67.1bn. Based on incoming container data at major US ports, we expect weakness in goods exports continued in May. Moreover, export prices dropped notably in May, the first time since August 2016, lowering the nominal value of goods exports. Further, goods imports may have declined after two consecutive months of increases. Altogether, we expect a goods trade deficit of $67.3bn in May, widening further from April (Consensus: deficit of $66.0bn).  Pending home sales: Pending home sales fell for a second month in April, down 1.4% m-o-m from March. It is possible that a limited supply of homes for sale on the market dampened the number of contract signings. However, consumer fundamentals have remained supportive for housing demand. Although low inventories have contributed to rising home prices, continued income growth and a recent tick-down in mortgage rates may partially mitigate the worsening of home affordability. For May, consensus expects an increase of 1.0% m-o-m."
 

GBP/USD warns of a stronger rally attempt

A well bid GBP/USD elevates the ADX above its 50 level, signal of a highly constructive trend on 1hr charts.

What makes the higher settlement in the ADX rare -although not unprecedented- is the fact that it was printing below 35 ten hours ago.

Such an outperformance encourages momentum traders to pile in, and adjust positions by means of trailing stops. This may have the opposite effect of a corrective slide, driving the prices towards the 200-hour SMA to find less impulsive buyers.

Currently, AUD/USD is trading at 0.7587, up 0.06% on the day, having posted a daily high at 0.7590 and low at 0.7580. AUD/USD is consolidated after a

Currently, AUD/USD is trading at 0.7587, up 0.06% on the day, having posted a daily high at 0.7590 and low at 0.7580. AUD/USD is consolidated after a round-turn to 0.7624. The upside started from 0.7535 on the 22nd June and remains within the upside trend above and around the 0.7585 pivot. The extension can get back to the highs with RSI still bullish in early Asia.  0.7560 & 0.7550 are the immediate targets on the shorter time frames. Dollar to play catch up? However, the pick up in the benchmark US 10-year yields is an anchor on the pair and much will depend on the performance of commodities and/or whether the DXY can play catch up. The dollar is currently underwater and behind the curve where the US 10 year yields have rallied to above 2.21%. It is only in the recent trade that the DXY started to catch up and a continuation of this should weigh on both commodities and the Aussie. Metals are holding up currently with mostly green across the spectrum, but that may be short term if the dollar plays catch up in coming sessions. AUD/USD levelsResistance: 0.7608 pivot R2; 0.7624 June 20 high; 0.7663 March 31 high; 0.7680 March 30 high. Support: 0.7580/85, 0.7555 100-DMA; 0.7530 200-DMA; 0.7500 June 7 low; 0.7457 June 6 low; 0.7408 June 5 low; 0.7373 June 1/2 lows; 0.7336 May 11 low.

Analysts at ANZ explained that it was all about Mario Draghi overnight where his comments were interpreted as hawkish despite there being dovish under

Analysts at ANZ explained that it was all about Mario Draghi overnight where his comments were interpreted as hawkish despite there being dovish undertones following the first sentence. Key Quotes:"While there was an acknowledgement the euro area recovery is strengthening and broadening, there was still concern around the durability of inflationary pressures. This is expected to keep monetary policy very stimulatory for some time." "But the first acknowledgement that “as the economy continues to recover, a constant policy stance will become more accommodative, and the central bank can accompany the recovery by adjusting the parameters of its policy instruments – not in order to tighten the policy stance, but to keep it broadly unchanged” was enough for yields to snap higher."

Currently, NZD/USD is trading at 0.7263, down -0.09% on the day, having posted a daily high at 0.7272 and low at 0.7263. NZD/USD has been carving out

Currently, NZD/USD is trading at 0.7263, down -0.09% on the day, having posted a daily high at 0.7272 and low at 0.7263. NZD/USD has been carving out the downside overnight after Asian prices and supply came in at 0.7344, an area that analysts at Westpac explained was achievable yesterday at the June high of 0.7320. The price exceeded that first resistance.Forex today: volatility over Fed and ECB headlines, euro rockets to fresh daily highsHowever, the dollar was in favour until Draghi's comments and the bird was sold off heavily on the back of a recovery in US yields that eventually climbed up over 3% to breach 2.20% in the ten-year notes. NZD/USD 1-3 month:  Further out, this theme is likely to continue according to the analysts at Westpac who said that the Fed’s tightening cycle plus US fiscal expansion should eventually reassert upside pressure on US interest rates and the US dollar, pushing NZD/USD below 0.6800 by year end. US factors should outweigh local factors which are mostly supportive.NZD/USD levelsNZD/USD managed a new aforementioned high. On a continuation of the bid, there is scope for 0.7374 being the high for 2017. To the downside, 0.7250 area guards 0.7200 guards 0.7145 and a break back below 0.7080/90 are key near-term downside areas. On the wide, the 0.7375 YTD highs are a key target to the upside and to the downside, a break below 0.7080/00 opens 0.6970.

Neel Kashkari, the President of the Fed Minneapolis and FOMC voter is speaking at a town hall event in Michigan Kashkari was the lone dissent at the

Neel Kashkari, the President of the Fed Minneapolis and FOMC voter is speaking at a town hall event in Michigan Kashkari was the lone dissent at the most recent Federal Open Market Committee meeting so markets were expecting dovish remarks.  Kashkari says that there is nothing on the horizon to suggest that another crisis is imminent. He is currently discussing student prices, needing a lower cost base for them. Nothing pertinent for markets so far.

USD/CAD 100-SMA now below 200-SMA

A decline in the 100-period below the 200-period moving average has been spotted on the hourly USD/CAD charts.

Due to the time lag involved in MA crosses, each event must be evaluated individually. In the current scenario, the recently printed high prices on the hourly USD/CAD charts are at relatively narrow distance to the SMA cross which could be used as technical hotspot by traders wanting to take advantage of the marginal rally. The risk scenario is an overshoot beyond the 200 SMA.

EUR/CHF issued a Golden Cross

EUR/CHF is undergoing a Golden Cross on daily charts, traditionally considered a bullish omen.

The EUR/CHF's 50-day MA crossed above its 200-day trend. Previous instances tell us that this event becomes extremely rare if the pair has witnessed a meaningful correction before or during the crossover. This bounce allows trend-following EUR/CHF traders to adhere to the trend at fair valued prices following an otherwise very risky signal.

USD/HUF bears remain unobstructed

The hourly ADX(14) has just crossed above 50, emerging from below the 30 levels where it has been seen during the previous market session.

This is a less frequent technical set-up which suggests the USD/HUF pair should be on its way to achieve further lows the days ahead.

Caution is advised on a possible overshoot threat to the falling 200-SMA, now printing above the recent close.

EUR/JPY achieves a 52-week high

The EUR/JPY pair closes above the key level represented by the 52-week high, confirming its strength.

Analysts at Westpac offered a summary of points in respect to their analyses of the confidence in the New Zealand economy. Key Quotes: Regional ec

Analysts at Westpac offered a summary of points in respect to their analyses of the confidence in the New Zealand economy.Key Quotes:Regional economic confidence improved in most parts of New Zealand in the June quarter. However, confidence has continued to slide in the Auckland region, and remains well below its highs in Canterbury. Improved export prices across dairy, meat, horticulture and forestry will have boosted optimism in the rural regions. Consumer confidence (a measure of households’ views of their own economic conditions) also improved in most regions, with Auckland again an exception.
 

After rising to its weekly high at $44.44, the barrel of West Texas Intermediate came under pressure in the late NA session after the API data reveale

After rising to its weekly high at $44.44, the barrel of West Texas Intermediate came under pressure in the late NA session after the API data revealed a surprising buildup in crude oil stocks in the U.S. According to the latest weekly report released by The American Petroleum Institute (API), crude oil stocks increased by 850,000 barrels on a weekly basis after decreasing by 2.72 million barrels in the previous week. Following the data, the barrel of WTI lost around 50 cents in a matter of minutes and is now trading at $43.70, still up 0.75% on the day. Earlier in the day, the barrel of WTI took advantage of the weak USD environment and was able to build on its gains from yesterday. However, the upsurge remained fragile as it hadn't been supported by a fundamental development. In fact, a recent story by Reuters claimed that OPEC was in no rush to deepen the oil production cut.OPEC in no rush on deeper oil output cut - Reuters$44.45 (daily high) could be seen as the initial hurdle for the barrel of WTI ahead of $45 (psychological level) and $46.50 (Jun. 14 high). On the downside, technical supports are located at $43.30 (daily low), $42.60 (Jun. 26 low) and $42.05/00 (Jun. 21 low/psychological level).