Today Brent on November contracts almost reached $50 USD per barrel, with WTI not far behind at $46.6 per barrel.
The slight oil quote growth is linked to investor expectations with regards to US oil reserve statistics based on numbers for last week. According to preliminary data, the reserves are falling. Chinese data is holding the quotes back from heading any higher: the September service sector PMI for the country has come out worse than expected and is down to 47 points. As such, the indicator has now been falling for over a year.
Investors are factoring in the risks of a Chinese slowdown into the price of oil.
Oil is to trade in a narrow range until the end of the day: Brent is unlikely to head outside of $48.5-50.0 and WTI will be between $46 and $47 per barrel.