Crude oil futures declined to Rs 2,960 per barrel on June 30 as participants increased their short positions. Prices slipped after weak Japanese industrial production data and resurgence of coronavirus cases in the US renewed concerns that restrictions may be put in place again limiting demand revival.
In the futures market, crude oil for July delivery touched an intraday high of Rs 2,993 and an intraday low of Rs 2,956 per barrel on the Multi-Commodity Exchange (MCX). So far in the current series, black gold has touched a low of Rs 1,655 and a high of Rs 3,153.
Crude oil delivery for July slipped Rs 40, or 1.33 percent, to Rs 2,960 per barrel at 15:19 hours IST on a business turnover of 4,499 lots.
The same for August delivery edged lower by Rs 39, or 1.29 percent, to Rs 2,986 per barrel on a business volume of 139 lots.
The value of July and August contracts traded so far is Rs 1,104.68 crore and Rs 3.54 crore, respectively.
Tapan Patel, Senior Analyst (Commodities), HDFC Securities, expects oil prices to trade sideways to down for the day with support at $36 and resistance at $42. "MCX July Crude Oil futures has support at Rs 2,890 with resistance at Rs 3,010."West Texas Intermediate crude declined 1.56 percent at $39.08 per barrel, while Brent crude, the London-based international benchmark, was down 1.34 percent to $41.29 per barrel.