In the futures market, crude oil for August delivery touched an intraday high of Rs 3,146 and an intraday low of Rs 3,060 per barrel on the MCX
Crude oil futures climbed to Rs 3,126 per barrel on July 21 as participants increased their long positions. The black gold gained on news of safe human clinical trials of AstraZeneca-Oxford University's COVID-19 vaccine as well as positive news on other trials conducted elsewhere.
The commodity was also supported by the European Union stimulus of 750 billion euro and US Congress' new aid package this week. But rising coronavirus cases across the globe capped the upside.
Navneet Damani, Vice President, Motilal Oswal, said OPEC+ desperation to push prices higher "is obvious. But the whole ambition looks likely to be thwarted in the short term by the renewed softness in fuel consumption." Going forward, he sees increasing risks of a correction with the recovery in global demand showing strong signs of losing momentum.
In the futures market, crude oil for August delivery touched an intraday high of Rs 3,146 and a low of Rs 3,060 per barrel on the Multi-Commodity Exchange (MCX). So far in the current series, black gold has touched a low of Rs 2,520 and a high of Rs 3,178.
Crude oil futures for August delivery gained Rs 56, or 1.83 percent, to Rs 3,124 per barrel at 15:23 hours IST on a business turnover of 4,300 lots. The same for September delivery edged higher by Rs 42, or 1.36 percent, to Rs 3,137 per barrel on a business volume of 50 lots.
The value of August and September contracts traded so far is Rs 1,043.21 crore and Rs 2.31 crore, respectively.
Sunilkumar Katke, Head of Commodities and Currency at Axis Securities, expects the upward momentum in crude to continue and recommends traders to buy MCX Crude Oil futures around Rs 3,075 per barrel targeting Rs 3,170 with a stop loss at Rs 3,030 for July 21.
West Texas Intermediate crude gained 2.15 percent at $41.80 per barrel, while Brent crude, the London-based international benchmark, was up 2.17 percent to $44.22 per barrel.For all commodities related news, click here