Oil shook off yesterday’s market negativity but hasn’t been able to do the same today. WTI crude is down $1.48 to $39.91.
In the latest push it broke yesterday’s low of $40.22 and the $40.00 psychological barrier. It’s all about broad sentiment with this move but there are also signs of slowing consumer demand. US gasoline numbers have show a recent slide even with prices at multi-year lows heading into Labor Day weekend.
The July 30 low of $38.72 is now support.