WTI Crude Oil Prices Bounce Amid Hurricane Concerns and Fed Rate Cut Expectations
WTI Crude Oil Prices Bounce Amid Hurricane Concerns and Fed Rate Cut Expectations
West Texas Intermediate (WTI) crude oil prices bounced on Monday due to concerns that a hurricane forecasted to hit Louisiana on Wednesday could disrupt production and refining along the U.S. Gulf Coast.
Additionally, traders are focusing on potential interest rate cuts by the Federal Reserve at the Sept. 17-18 policy meeting.
Lower rates could boost economic growth and oil demand, following the Fed's aggressive rate hikes in 2022 and 2023 aimed at controlling inflation.
Based on key technical indicators—the 3-day Relative Strength Index (RSI) is negative and oversold, the Moving Average Convergence Divergence (MACD) is negative, and the Average Directional Index (ADX) shows a bearish trend—further downside may be anticipated due to the support break of $68.60.
However, with the RSI in oversold territory, traders should monitor signals closely and adjust risk strategies if the bounce extends.
Daily Chart West Texas Intermediate (WTI)
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