Oil Prices Bouncing Back from 2-Day Slide

WTI oil prices are regaining some traction, up 2.1% at $74.35 a barrel after falling by 9.2% over the past two sessions for the largest two-day drop in 10 months. “Crude Oil is rebounding after trading near critical support levels that are likely to be breached to the downside, as the market remains in a near term bearish trend,” says Peter Cardillo at Spartan Capital in a research note. Whether oil prices can continue to recover or slump back to multi-week lows may depend on this morning’s weekly EIA report due at 11am ET. A WSJ survey is forecasting a small 400,000-barrel increase in crude stockpiles, while trade group API late yesterday reported a much larger, 3.3-million-barrel rise.