The price of WTI crude futures is closing up $0.55 or 0.75% at $73.86.
Looking at the hourly chart below, the price moved above its 100 hour moving average earlier in the day and has been able to stay above that moving average. The high price today did stall ahead of its 38.2% retracement of the move down from the end of January high. That level comes in at $74.38.
Geopolitical risks in the Middle East continue as Israel rejected Hamas's overtures for a cease-fire. Israel's Netanyahu stated goals and strategy of the conflict in Gaza remain focused on achieving a total victory, as emphasized by the commitment to not seeking alternatives until the objectives are met. This includes the decisive defeat of Hamas, the return of all abductees, and a clear indication that the conflict, while not expected to extend for years, is anticipated to last for months. The decision-making process for the war involves a two-tier approach, starting with a mini-ministerial council before moving to a broader war council, underscoring a structured and hierarchical approach to strategic decisions in the conflict.
The war is not going away.
