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Crude Oil: Collateral Damage Continues, Oversupply Concerns Ignite (Continued from Prior Part) Price channel
WTI (West Texas Intermediate) crude oil futures contracts for November delivery fell for the second day. Crude oil prices fell from the resistance of $47 per barrel. Prices are trading within a downward price channel. The massive gasoline buildup is weighing on crude oil prices.
Support and resistance
Bulls say that crude oil prices could test the resistance of $50 per barrel due to long-term lower crude oil prices. Prices tested this level in August 2015. In contrast, bears say that long-term oversupply concerns and record global inventory could push crude oil prices lower. The nearest support for WTI prices could be seen at $38 per barrel. Prices hit this level in August 2015.
OPEC (Organizational of the Petroleum Exporting Countries) estimates that crude oil prices could hit $80 per barrel in the long term. In the short term, prices could average between $42 per barrel and $48 per barrel. Societe Generale forecasts that crude oil prices could trade around $49.40 per barrel in 2016.
Crude oil producers like Marathon Oil (MRO), Murphy Oil (MUR), and QEP Resources (QEP) are negatively impacted by the roller coaster ride of crude oil prices. Combined, they account for 2.26% of the Energy Select Sector SPDR ETF (XLE). These stocks’ crude oil production mix is more than 32% of their production portfolio.
Falling crude oil prices positively impact ETFs like the ProShares UltraShort Bloomberg Crude Oil ETF (SCO). In contrast, the rising crude oil prices benefit ETFs like the Velocity Shares 3X Long Crude ETN (UWTI).
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Marathon Oil Corporation
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CODE : MRO |
ISIN : US5658491064 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Marathon Oil is a oil exploration company based in United states of america. Marathon Oil is listed in United States of America. Its market capitalisation is US$ 23.5 billions as of today (€ 22.0 billions). Its stock quote reached its lowest recent point on August 13, 1982 at US$ 0.70, and its highest recent level on April 25, 2024 at US$ 27.66. Marathon Oil has 849 755 866 shares outstanding. |