Wednesday, 26 September, 2018

Oil Prices Turn Lower On Surprise US Stockpile Gain; Production Up

Kenneth Drake | 02 May, 2018, 01:40

The decision of whether to restore the sanctions on Iran that were lifted after an agreement over its disputed nuclear program will be made by US President Donald Trump on May 12.

The World Bank in its latest forecast said global prices of crude oil, gas, and coal will rise by 20 percent this year.

Helping to limit losses are a number of factors including a reported drop in Angola production, continued threats by Houthis to Saudi oil and shipping and infrastructure, but most of all the possibility of the reimposition of sanctions against Iran.

U.S. West Texas Intermediate crude for June delivery was 87 cents down at $67.70 a barrel, after settling 47 cents higher on Monday.

"We'll see oil fluctuating as uncertainties will persist over whether Trump will withdraw from the Iran nuclear agreement", Vincent Hwang, a commodities analyst at NH Investment & Securities, said by phone in Seoul. Total volume traded was about 17 per cent below the 100-day average.

Brent crude futures rose 6 cents to $74.80 a barrel, a 0.1 percent gain, by 1:11 p.m. EDT (1711 GMT).


OPEC and its partners agreed to cut oil output by 1.8 million barrels per day since January previous year, an effort which has recorded a 149 percent success, and has boosted prices to $74 per barrel as at Thursday. Prices are up 5.2% for the month.

Trading on the Shanghai International Energy Exchange is closed for a Chinese public holiday.

If the U.S. does reimpose sanctions, that would be bullish for oil prices, analysts say, coinciding with a rapid decline in OPEC production largely due to declines in Angola and Venezuela, which is in the midst of an economic and social crisis.

Money managers hold record positions in Brent crude futures and options, lured in by the hefty premium of the front-month June contract over subsequent months that makes it profitable to invest in crude over the longer term. Gains were likely limited by this week's higher than expected USA crude oil and gasoline inventories as well as rising US production.

United States drillers added five oil rigs in the week to April 27, bringing the total count to 825, the highest level since March 2015, General Electric's Baker Hughes energy services firm said. The price rose to $75.47 last week, the highest since November 2014.

But while US producers are accelerating shale drilling in areas in the United States, higher production has not necessarily translated into stronger refining results for some oil companies. Crude stockpiles at the biggest USA storage complex rose by an estimated 1 million barrels last week, according to a forecast compiled by Bloomberg.

Recommended

Khomenei: US provoking Gulf nations to confront Iran Khomenei: US provoking Gulf nations to confront Iran The spiritual leader of Iran Ayatollah Ali Khamenei said today that the United States strongly pushing Saudi Arabia to the beginning of another armed conflict with the Islamic Republic.

Amazon confirms plans to expand Boston outpost by 2000 tech workers Amazon confirms plans to expand Boston outpost by 2000 tech workers Vancouver mayor Gregor Robertson , meanwhile, called the announcement "great news for our city's booming innovation economy". The announcement details show that Amazon now employs some 1,000 researchers and engineers at its Vancouver facility.

Boko Hamar 'kill dozens' at Nigeria market, mosque Boko Hamar 'kill dozens' at Nigeria market, mosque It could be recalled that in November previous year there was a bomb blast in Arhankulu area of Mubi where several were killed. This comes a day after President Muhammadu Buhari met with President Donald Trump at the White House in Washington DC, USA.

Michelle Wolf Will Address The Correspondents's Dinner With Terry Gross Tomorrow Michelle Wolf Will Address The Correspondents's Dinner With Terry Gross Tomorrow I made fun of Mitch McConnell's neck and I did a small jab at Chris Christie's weight and no one is jumping to their defense". Michelle Wolf became an overnight sensation this weekend after her appearance at the 2018 White House Correspondents dinner .

Arizona's Tinder Fire Burns Structures, Forces Evacuations Arizona's Tinder Fire Burns Structures, Forces Evacuations High winds in the area pushed the fire to the north and east on Sunday. The cause of the Tinder Fire is under investigation.

Sainsbury's and Asda reveal details of £12bn merger Sainsbury's and Asda reveal details of £12bn merger Sainsbury's said the deal will produce costs savings of at least 500 million pounds ($688 million) due to increased efficiency. In Britain's fast-changing retail landscape, Sainsbury's previously bought catalogue retailer Argos in 2016 for £1.4 billion.

Avengers: Infinity war making new records in India Avengers: Infinity war making new records in India The " Star Wars " reboot debuted with $248 million in 2015, which would translate to about $260 million accounting for inflation. It dethroned the previous domestic victor from its own franchise - The Avengers (2012) and also decimated DCEU film Batman v.

Syria says evacuation deal reached with opposition in southern Damascus Syria says evacuation deal reached with opposition in southern Damascus In that same period, at least 19 civilians have also been killed in regime bombardment of the area including in Yarmuk, it said. Regime forces were locked in violent clashes with IS fighters on Friday morning, the Britain-based monitor said.

Bill Cosby Put On House Arrest With GPS monitor Bill Cosby Put On House Arrest With GPS monitor When she came to, she said Cosby was penetrating her vagina with his fingers, groping her breasts and making her masturbate him. In the deposition, the TV star acknowledged obtaining quaaludes in the 1970s to give to women he wanted to have sex with.

White House doctor withdraws nomination for cabinet job White House doctor withdraws nomination for cabinet job Trump called the claims "phony Democrat charges" and said Jackson's reputation had been "shattered" because of them. Bush, made headlines in January when he deemed Trump to be in "excellent" health after the annual examination.

Judge tosses out Manafort's last-ditch effort to derail Mueller's Russian Federation probe Judge tosses out Manafort's last-ditch effort to derail Mueller's Russian Federation  probe Initially, Manafort had asking Jackson to throw out all charges against him and nullify Mueller's appointment order in total. Paul Manafort's attorneys argued against the "blank check" they say this provision created.

San Diego woman attacked by 'Golden State Killer' speaks out San Diego woman attacked by 'Golden State Killer' speaks out Prosecutors say Joseph DeAngelo carried out his most violent crimes in the months after he was sacked for shoplifting in 1979. According to a to-do list left on McNamara's computer found after her death, this was a method she planned to use herself.

Fedor Visited By Feds Prior To Bellator 198 Fedor Visited By Feds Prior To Bellator 198 Fedor earned his first knockout victory since a 2012 stoppage over Pedro Rizzo and his first victory under the Bellator banner. Fedor signed with the fight league Affliction Entertainment, an organization that was partially owned by Trump, in 2008.

North Atlantic Treaty Organisation must keep up momentum on Russian Federation North Atlantic Treaty Organisation  must keep up momentum on Russian Federation In December 2017, Russian Federation and Turkey signed a loan agreement for the supply of S-400 systems to Ankara. The process for the S-400 was completed before the sanctions. "That is a done deal", he emphasized.

Why Dolphins fans should be excited about Mike Gesicki Why Dolphins fans should be excited about Mike Gesicki McMillan suffered a season-ending knee injury in the first exhibition game previous year but is expected to start in 2018. Penn State tight end Mike Gesicki could also fill a prominent hole in the offense and be a big time contributor.