WTI offered $1.00 on investor's forward outlook of stock builds

WTI has been dropping over the last few hours of the US session, from a touch above $48 the figure to $47.10 the low so far as investors remain cautious as to whether the glut in oil supplies was finally disappearing.

The Energy Information Administration report published yesterday revealed another rise in total domestic crude supplies, which stands at their highest level in more than two years. Oil traders are concerned that next month's data is when crude stocks typically build as refinery demand fades at the end of the driving season in the US and this is when units are taken offline for Autumn's maintenance period. 

It is also worth noting that there is a tropical storm categorized as a cat' 3 hurricane called Harvey. This could impact the price of oil to the upside, but so far there doesn't seem to be any real concern despite winds ranging from 111 to 130 mph headed to local refineries, meaning that they are unlikely to be in the market throughout the duration of the storms. However, the National Hurricane Center doesn't expect Harvey to approach the southern Texas coast and become a hurricane until Friday which will certainly impact energy operations in the region. In terms of levels, WTI is bouncing around  $48 the figure. To the downside, the breakout point is around $46.50 or and the same for the upside looks to be around $48.80.

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