Also pulling down prices of the energy commodity was the closure of the Waha Oil Company oil pipeline in Libya after demonstrations manifested following a labor dispute. Euro zone finance ministers demanded that nationals of Cyprus pay taxes on deposits as a condition of the bailout aid approved for the nation this past weekend.
"Confidence is rattled," commodity strategy head Ole Hansen at Saxo Bank A/S in Copenhagen told the news source on Monday. "We have to figure out where this Cyprus debacle leaves us. Until we know for sure what's happening, it'll probably keep the market on the defensive for a few days."
At 2:22 p.m. on Monday, West Texas Intermediate crude oil futures rose 0.4 percent, a 40-cent increase to $93.83 per barrel. Brent crude oil futures dropped 0.3 percent, a 33-cent loss to $109.49 per barrel.
Dow Jones Newswires reports the Saudi Arabian minister of oil said at a Hong Kong conference that international trading in monetary units other than the dollar is unlikely to work.
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.
Trade recommendations and profit/loss calculations may not include commissions and fees. Please consult your broker for details based on your trading arrangement and commission setup.
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 third-party trading system, newsletter or other similar service. Daniels Trading does not guarantee or verify any performance claims made by such systems or service.