The price of crude oil was moving lower Monday morning amid demand concerns after data showed the rate of inflation in China rose faster than expected. Also, disappointing jobs data from the US last week weighed on trader sentiment.
Consumer price inflation in China accelerated by 3.6 percent in March, up from 3.2 percent in February and came in above expectations for a 3.3 percent increase. The data dampened expectations that China will introduce fresh monetary easing measures in the near-term.
Light Sweet Crude Oil (WTI) futures for May delivery, shed $1.46 to $101.85 a barrel. Last week oil ended almost flat on continued worries over demand growth while the dollar pushed ahead following the release of Federal Reserve policy meeting minutes.
This morning, the U.S. dollar was hovering near its 3-week high versus the euro and the Swiss franc, while trading a 2-week high against sterling. The buck continued to tick lower versus the yen.
During this week, traders focus will be the Beige Book, the jobless claims report and the Reuters and University of Michigan's preliminary consumer sentiment reading, the Commerce Department's trade balance report for February, the Labor Department's consumer and producer price inflation reports for March.
Also, focus will be on the crude oil inventories data from the API, due out Tuesday after the market hours, and the EIA due out the subsequent day.
by RTT Staff Writer
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