Brent crude falls back to fresh interim lows approaching $80

Yesterday the price of Brent crude for September delivery rather unexpectedly rose into the 4pm London FX fix. That saw it reach a high at around $82.20. That move seemed entirely at odds with what was going on in the equity space at the time. However, the reason for the push higher was all about the latest US inventory data showing a larger than forecast draw on stocks. So, eventually as the dust settled on that, Brent edged back down into the NYMEX settlement. That said, it still settled $0.70 higher on that exchange, at $81.71. The price action seen since then has all been to the downside and eventually today that has delivered a fresh interim low a short while ago, as Brent slides back underneath its 200 day moving average once more. The low seen so far today has been set at $80.24 and of course the $80 mark is a major level that is yet to be cracked. The risks of it being so very much depend on how much further the current equity losses deepen. Also to remember here; that the September contract will expire on Tuesday July 30. Brent is currently trading at $80.36