Demand is likely to drop as a consequence of the tumult in the euro zone caused by troubles in the Aegean nation. Wolfgang Schaeuble, finance minister of Germany, forecast market challenges prompted by the sovereign debt crisis to linger on for the next 24 months.
"All of the macroeconomic news has been negative," president Stephen Schork with the Schork Group in Pennsylvania told the news source. "Oil is moving on what's happening in Europe and what it will mean here. In February, people were afraid to sell oil and now they’re afraid to buy it."
At 12:19 p.m. on Friday, crude oil futures fell 0.16 percent, a 17 cent loss to $107.32 per barrel.
Moody's Investors Service slashed the credit ratings of 16 Spanish banks on Friday, according to Dow Jones Newswires. Concerns are growing for Spain's fiscal health and the downgrade represents the most recent negative development to hobble the struggling nation.
This material is conveyed as a solicitation for entering into a derivatives transaction.
This material has been prepared by a Daniels Trading broker who provides research market commentary and trade recommendations as part of his or her solicitation for accounts and solicitation for trades; however, Daniels Trading does not maintain a research department as defined in CFTC Rule 1.71. Daniels Trading, its principals, brokers and employees may trade in derivatives for their own accounts or for the accounts of others. Due to various factors (such as risk tolerance, margin requirements, trading objectives, short term vs. long term strategies, technical vs. fundamental market analysis, and other factors) such trading may result in the initiation or liquidation of positions that are different from or contrary to the opinions and recommendations contained therein.
Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts or commodity options can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results.
You should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources. You should read the "risk disclosure" webpage accessed at www.DanielsTrading.com at the bottom of the homepage. Daniels Trading is not affiliated with nor does it endorse any trading system, newsletter or other similar service. Daniels Trading does not guarantee or verify any performance claims made by such systems or service.