The markets are well supplied and the inventories are high, keeping the prices in a range. However, super storm Sandy caused some refineries in the US to shut down production.
The New York Mercantile Exchange floor trading is closed today but electronic trading of energy and other commodities will still carry on. Trading volumes are expected to stay low and the true impact of the storm will become clear only after the storm passes.
Brent Crude price action is cantered around $109.10 level. Any further price softening could potentially target the support at $107.10 followed by $106.59. Alternatively resistance on the upside is located at $109.55 followed by $111.60.
WTI Crude for December delivery traded around $85.60 level on Monday morning. The spread between European and US traded instruments is currently at $23.60.