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CRUDE OIL

Observation

Crudeoil trading range for the day is 6438-6684.

Crude oil gains as lingering geopolitical concerns outweighed the perception of ample supply.

Russia's Novak: OPEC+ will act on oil output if necessary

Crude oil markets will be keeping an eye out for weekly production updates from the US as output threatens to outpace demand.

OPEC and its allies have yet to begin formal talks on extending voluntary oil output cuts of 2.2 million barrels per day beyond June.

SELL CRUDEOIL MAY @ 6620 SL 6700 TGT 6520-6440. MCX

NATURAL GAS

Observation

Naturalgas trading range for the day is 176.2-190.4.

Natural gas dropped amid decline in forecast demand over the next two weeks.

However downside seen limited amid decline in output and increase in feedgas to LNG export plants.

Gas output in the Lower 48 U.S. states fell to an average of 96.9 billion cubic feet per day (bcfd) so far in May, down from 98.1 bcfd in April.

Meteorologists projected weather across the Lower 48 states would go from mostly near normal now through May 14.

SELL NATURALGAS MAY @ 187 SL 192 TGT 182-178. MCX