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CRUDE OIL

Observations

Crudeoil trading range for the day is 7229-7543.

Crude oil prices climbed after the U.S. announced plans to replenish its strategic petroleum reserves.

Global oil market already facing supply concerns

US energy ministry said that Washington seeks to purchase 6 million barrels of crude to fill the strategic reserves in December and January.

EIA reported a drop of 4.5 million barrels in US crude stocks last week to 419.7 million barrels. 

SELL CRUDEOIL NOV @ 7400 SL 7500 TGT 7300-7200. MCX

NATURAL GAS

Observations

Naturalgas trading range for the day is 235.3-250.7.

Natural gas slid on record output, ample storage and low spot prices.

That price decline came despite forecasts the weather would turn seasonally cooler through early November, which should boost heating demand.

EIA said utilities added 97 billion cubic feet (bcf) of gas into storage.

Average gas output in the Lower 48 U.S. states rose to an average of 103.6 bcfd so far in October.

SELL NATURALGAS OCT @ 246 SL 252 TGT 240-236. MCX