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NYMEX-U.S. crude dips near $93 on commodity index rebalance
January 9, 2013 / 12:56 AM / 5 years ago

NYMEX-U.S. crude dips near $93 on commodity index rebalance

PERTH, Jan 9 (Reuters) - U.S. crude futures inched down
towards $93 in early Asian trading on Wednesday after the annual
rebalancing of the S&P GSCI commodity index, which increased its
weighting for Brent and reduced its share of U.S. WTI crude. 
    The S&P GSCI commodity index is one of two leading indices
for investors. 
        
    FUNDAMENTALS
    * U.S. crude for February delivery had dipped 10
cents to $93.05 a barrel by 0038 GMT.
    * Brent crude for February settled at $111.94 per
barrel in London on Tuesday. 
    * The U.S. Energy Information Administration (EIA) said on
Tuesday that domestic production should jump 25 percent through
2014 as rapid improvements in horizontal drilling and hydraulic
fracturing technology boost production from shale deposits.
 
    * U.S. crude stocks rose 2.4 million barrels last week,
according to the weekly inventory report from industry group the
American Petroleum Institute (API), released on Tuesday after
settlement prices had been posted. 
    * Crude stocks were expected to be up 1.5 million barrels,
with gasoline stocks seen rising 2.3 million barrels and
distillate inventories expected to have risen 2.0 million
barrels, according to a Reuters analyst survey. 
    * The market is also anticipating trade data from China 
later in the week, seeking confirmation the world's No. 2 oil
consuming nation is reviving the pace of economic growth. Trade
numbers due on Thursday from China may show export growth
rebounded from three-month lows in December. 

    MARKETS NEWS
    * Asian shares inched up on Wednesday but the upside was
limited as investors waited warily for corporate earnings season
to kick off in full force, preferring in the meantime to book
profits from a sharp rally at the start of the year. 
    * The yen continued to rise against the dollar and the euro
in early Asian trading on Wednesday despite expectations of
further easing steps from the Bank of Japan, as investors locked
in gains. The euro dropped to 113.80 yen after
falling as far as 113.55 yen, its lowest level since late
December. 
    
    DATA/EVENTS    
    The following data is expected on Wednesday:
    1100  Germany Industrial output mm Nov 2012 
    1130  Indi M3 Money Supply 
    1530  U.S. EIA petroleum status report Weekly 

 (Reporting by Rebekah Kebede; Editing by Joseph Radford)

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