The crude for delivery in March contracts gained Rs 65, or 1.74 to Rs 3,803 per barrel with a business volume of 14,559 lots.
Crude oil futures jumped 1.89 percent to Rs 3,768 per barrel on February 19 due to short covering on the last day of February series. This was visible from the open interest and build-up of long position in March futures.
Report of OPEC+ meeting taking place as per schedule also played a part.
According to Abhishek Bansal, CMD, Abans Group of Companies, US crude oil prices are expected to remain higher this week due to a reduction in supply from Libya and OPEC's talk to deepen output cut in their upcoming meeting at Vienna on March 6th. The economic impact of the coronavirus outbreak is likely to reduce demand for energy and keep a lid on prices.
In the futures market, crude oil touched an intraday high of Rs 3,765 and an intraday low of Rs 3,710 per barrel on MCX. For the February series, the crude touched a low of Rs 3,531 and a high of Rs 4,663.
On the Multi Commodity Exchange, crude oil delivery for February contracts rose Rs 70, or 1.89 percent, to Rs 3,768 per barrel with a business turnover of 19,574 lots.
The crude for delivery in March contracts gained Rs 65, or 1.74 to Rs 3,803 per barrel with a business volume of 14,559 lots.
The value of the February contract traded so far is Rs 3,463.69 crore and March contract saw value of Rs 879.30 crore.
MCX crude oil will trade with positive bias for the ssession with support at Rs 3,750-3,710 whereas resistance is at Rs 3,820-3,850, according to Motilal Oswal. The brokerage firm advised its client to buy, but bias will negate below support.
West Texas Intermediate crude gained 1.26 percent to $52.95 per barrel, while Brent crude, the international benchmark was up 1.25 percent to $58.47 per barrel.Exclusive offer: Use code "BUDGET2020" and get Moneycontrol Pro's Subscription for as little as Rs 333/- for the first year.
