FX & CFD trading involves significant risk
Crude oil futures rose more than 2%, as presented today upbeat economic reports in the U.S. have helped to improve the prospects for energy demand.
In addition, the positive impact on the bidding had data for China. The official report showed that the index of manufacturing activity in China rose at the end of last month to the level of 50.3, down from 50.1 in June. It is worth noting that the last reading was much better than the experts' forecasts - at the level of 49.8. We also add that the last time the official PMI declined below 50, which is the boundary reduction of activity in September 2012. However, we note that the index of manufacturing activity in China from HSBC sold with an official - he was down to 47.7 from the June value at 48.2. July data show that the index is in the drop zone for the third month in a row, including two months of testimony index from HSBC and formal differ.
As for the U.S. data, the report published by the Institute for Supply Management (ISM), showed that in July, manufacturing activity in the U.S. rose more than expected by economists. The PMI for the manufacturing sector in the United States July rose to 55.4 against 50.9 in May. A reading above 50 indicates expansion of industrial activity. Growth has exceeded the expectations of economists, who had forecast an increase to 52.1. Rise in the index was mainly due to good growth component of production, new orders and employment. At the same time, inventories and prices in July fell.
It should also be noted that the price of oil also laid yesterday's statement by the U.S. Federal Reserve. Recall that the Fed slightly lowered its economic forecast and did not give a hint about its plans for the program to purchase assets. This raises the possibility that the central bank may refrain from reducing the size of the program by the end of this year.
The cost of the September futures on U.S. light crude oil WTI (Light Sweet Crude Oil) rose to 107.53 dollars a barrel on the New York Mercantile Exchange.
September futures price for North Sea Brent crude oil mixture increased to $ 109.13 a barrel on the London exchange ICE Futures Europe.
All posted material is a marketing communication solely for informational purposes and reliance on this may lead to loss. Past performance is not a reliable indicator of future results. Please read our full disclaimer.