Crude Drops $2.51 on Technical Selling

The Euro managed to regain an early session sell-off which was triggered after today’s better than expected U.S.economic data. Last trade $1.4315. As for the data; the Case Shiller Home Price Index gave economists a breath of fresh air clocking in with a price decline of only 15.44%. This was significantly better than the Street estimate of -16.4%; and the second month of improvement.

Today’s other report; Consumer Confidence also came in at a level far above expectations. Confidence was reported at 54.1. The Street expected 47.9. That is a very large positive variance.

Metals ended the day a shade higher in the midst cross currents of a weaker Dollar, but also sharply lower Oil. Silver finished the New York trading session up 9 cents at $14.29. Gold edged up $2.00 closing at $944.00. Palladium rose $.4.00 to $286.00. Platinum ended at $1238.00 down $2.00. Volume was surprisingly light given today’s almost $3.00 fall in the price of Crude. Energy traders point to technical selling after Oil failed to break and hold the psychological $75 level. A wave of pre-programmed sell orders were triggered once Crude slipped back below the $75 mark. Last trade $71.86 down $2.51 per barrel.

Stocks rallied on the data with the Dow jumping almost 100 points. Things have since quieted down on profit taking with the Dow presently up 46 points at 9555. When New York trading resumes tomorrow market participants will have three new pieces of data to digest. Durable Goods, New Home Sales for July, and the Weekly Oil Inventories will be the focus.