Crude Watches 81.00 Support as Canada Trade Deadline Looms

Crude closed nearly flat yesterday after giving back most of an early rally that had pushed futures up over a dollar from Monday's settlement. Buying pressure faded after the first hour of the US session, and sellers pushed price back down to the key 81.00 level, which held firm. Macro flows are running the show right now, with a global breakout in long-term yields rattling investment flows and a new Treasury debt buyback plan shifting borrowing toward the front end of the curve. Geopolitics haven't gone away either. The US-Canada trade deadline is approaching, and Canada holds real leverage through diesel and natural gas pipeline flows, which could push diesel cracks even higher if used as a bargaining chip. The 81.00 level remains the line in the sand for bulls today.electricity power lines by Couleur via Pixabay