SmarTrend(R) News Watch: Oil Futures Extend Their Slide

Light sweet crude for August delivery on the Globex hit a low of $62.80 today as investors worry that the economic recovery is taking longer to unfold. Today's plunge represents a 10% drop in the past three days. According to Adam White, a director at White Knight Research & Trade, traders are realizing that the recent rise over $70 a barrel was a bubble with no fundamental justification. Tuesday afternoon the American Petroleum Institute's report on weekly changes in petroleum inventories will be released. According to Platts, analysts expect a decline of 3.2 million barrels in crude-oil stocks, a rise of 900,000 barrels in gasoline stocks, and an increase of 1.7 million barrels in distillate supplies. Leading the sector lower are shares of Schlumberger Limited (NYSE:SLB) down $1.80 to $49.65 and shares of Exxon Mobile (NYSE:XOM) down $1.10 to $67.

Write to Chip Brian at cbrian@tradethetrend.com

---------------------------------------------------------------------------------------------

SmarTrend analyzes over 5,000 securities simultaneously throughout the trading day and provides its subscribers with trend change alerts in real time. To get a free trial of our trading calls and maximize your trading results, please visit http://www.TradeTheTrend.com.

Get exclusive, actionable insight into how the market is expected to trend prior to market open with our free morning newsletter. Sign up at: http://www.TradeTheTrend.com/signup.html

Related terms: futures, gasoline, market, nyse, oil, petroleum, research, securities, trade