• News
  • Money

Oil edges lower as supply concerns return

Oil edges lower as supply concerns return

The price for Brent crude oil, the global benchmark for the price of oil, was down 1.75 per cent as of 9:20 a.m. EDT to $72.91 per barrel.

U.S. West Texas Intermediate (WTI) crude futures were at $68.86 per barrel at 1321 GMT, down 10 cents from their last settlement, while Brent crude futures were at $73.55 per barrel, up 10 cents from their last close.

Traders said prices rallied early when industry information provider Genscape reported that crude inventories at the Cushing, Oklahoma, delivery hub for USA crude, dropped 1.1 million barrels since Friday, July 27. "Brent oil may fall to $67 per barrel", said Reuters technical commodities analyst Wang Tao.

Still, oil futures pared losses briefly after the data, which also showed growing USA demand. Crude stockpiles at the Cushing, Oklahoma storage hub are at a almost 4-year low, and are expected to fall further in the coming week. Gasoline stocks declined by 2.5 million barrels, while crude stocks at the Cushing, Oklahoma, delivery hub for WTI futures fell 1.3 million barrels, EIA data showed.

On Tuesday, the EIA reported that US crude production fell 30,000 barrels per day to 10.44 million bpd in May.

Oil prices are also being pressured by concern that global trade tensions could crimp economic growth.

Meanwhile, trade war concerns have resurfaced again on reports the Trump administration is planning to propose a 25% tariff on goods worth over $200 billion imported from China, instead of the original proposal for a 10% levy.

Last month, Brent fell more than 6 per cent and United States crude slumped about 7 per cent, the biggest monthly declines for both benchmarks since July 2016.

Crude oil costs experienced their worst monthly decline in over two years in July as a multi-year high in barrel prices broke away amidst plans by OPEC and Russian Federation to boost production limits.

OPEC+ may discuss whether a bigger production increase is needed when they meet in September, Novak said last month.

While the Saudis and their Gulf allies said they would increase production to make up for countries unable to, Iran argues that they're violating individual country targets and ultimately betraying the organisation.

On Monday, a Reuters survey found that Opec production reached a 2018 high in July.

When OPEC met in June, it agreed it had been cutting supplies excessively and should restore output to 100 percent of a target set in late 2016.

Investors are seen weighing bullish factors that include potential supply disruptions to Iranian crude exports against more bearish indicators, such as a ramp-up in production by OPEC and its allied partners.

Leave Your Comment

Leave Your Comment


Latest News

  • Actor Steven Seagal appointed Russian ministry’s ‘special representative’

    Actor Steven Seagal appointed Russian ministry’s ‘special representative’

    According to Seagal's own website, the 66-year-old has been a regular visitor to Russian Federation for over a decade. Intelligence Community had repeatedly stated Russian Federation interfered with the election.
    British holidaymakers swelter in record-breaking European heatwave

    British holidaymakers swelter in record-breaking European heatwave

    The hot weather is continuing, with temperatures forecast to reach 30 degrees Celsius in southern Britain today. Temperatures are rising in Spain and Portugal aided by a wave of hot air coming from Africa.

    Fortnite for Android is going to bypass the Google Play Store

    Obviously, that will require Android users some extra preparations that will allow them to install apps from third-party services. However, there's quite a big catch in that it won't be available to download on the Google Play Store.
  • Maurizio Sarri admits to 'difficult' first pre-season at Chelsea

    Maurizio Sarri admits to 'difficult' first pre-season at Chelsea

    Courtois and Eden Hazard return from their summer break today, when Sarri will speak to them about their futures. His agent Christophe Henrotay had revealed that he had told Chelsea that Courtois wanted to go to Real Madrid .
    Firefighters Tackle Burning Aeromexico Plane After Crash in Durango, Mexico

    Firefighters Tackle Burning Aeromexico Plane After Crash in Durango, Mexico

    The plane had barely taken off when it felt like it was hit by a strong air current, another passenger told network Televisa . Authorities said that the plane had taken off in heavy rain and that it came down around six miles from the airport.
    Growing California fires prompt new evacuations

    Growing California fires prompt new evacuations

    Workers who live in Yosemite's popular Valley region were ordered to leave Friday because of inaccessible roads. The report says his death highlights the need for better risk assessment, communication and supervision.
  • RBI monetary policy: Repo rate hiked by 25 bps

    RBI monetary policy: Repo rate hiked by 25 bps

    The central bank said inflation in two years' time was likely to be 2.09 percent, above the BoE's 2 percent target. In June, the MPC had raised the key rate by a similar 25 basis points or 0.25 per cent.
    Tsunami warning issued after magnitude 7.0 quake  rocks Indonesia, tourist hotspot Bali

    Tsunami warning issued after magnitude 7.0 quake rocks Indonesia, tourist hotspot Bali

    There were no immediate reports of casualties, but the latest quake caused people to flee their homes and move to higher ground. Authorities in Indonesia issued a tsunami alert on Sunday after a massive quake rocked the popular tourist mecca of Bali.
    Venezuela's Maduro Survives Attack by Exploding Drones

    Venezuela's Maduro Survives Attack by Exploding Drones

    The BBC said loud bangs could also be heard in the footage. "We are carefully following the situation". The transmission was suddenly cut short without explanation as the president was whisked away.
  • USA  employers add 157,000 jobs, jobless rate slips to 3.9 percent

    USA employers add 157,000 jobs, jobless rate slips to 3.9 percent

    Service-providing sectors grew by 177,000 jobs, with health care/social assistance gaining the most with 49,000 jobs. Over the past year, it has hired more than a half-million Americans and stands as the leading job-creating sector.
    Record Iranian oil imports for India in July

    Record Iranian oil imports for India in July

    If the USA wants negotiations, it should stop pressures and sanctions, Qasemi was quoted as saying by official IRNA news agency. Worldwide sanctions were lifted under the pact between world powers and Tehran in return for curbs on Iran's nuclear program.
    Alisson to make Liverpool debut in Napoli friendly - Klopp

    Alisson to make Liverpool debut in Napoli friendly - Klopp

    They will then start playing for real on August 12, with the Premier League regular season opener at home against West Ham United.
  • 20 killed in plane crash in Switzerland

    20 killed in plane crash in Switzerland

    Police said Sunday they have now determined that all 20 people on board the plane, including its three crew members, died. The 20 Minutes newspaper quoted a witness who was on the mountainside at the time of the crash.
    Trump says he might delay shutdown showdown until after elections

    Trump says he might delay shutdown showdown until after elections

    He continued, "Border Security is National Security, and National Security is the long-term viability of our Country". The higher amount matches what Trump has privately sought in conversations with Republican lawmakers.
    Willian Fails To Report To Chelsea Training

    Willian Fails To Report To Chelsea Training

    Courtois has just one year left on his contract, meaning Chelsea must act now if they are to cash in on their wantaway keeper. But Henrotay insists such a deal would not be motivated exclusively by money.
  • New Law in Israel Sparks Backlash from Arab Minority Group

    New Law in Israel Sparks Backlash from Arab Minority Group

    The law has outraged Israel's Arabic-speaking minority which includes the Druze and makes up about 20 percent of the population. So, what does the future hold for the Druze inside Israel? The Nation-State Law, first of all, entrenches the Law of Return .
    Opinions & Transfer NewsWe All Follow United

    Opinions & Transfer NewsWe All Follow United

    The Sun cites one case of an unnamed player in a panic asking the TV channel he gave an interview to erase an answer he gave them. Although he is missing 10 first-team players now , the manager must prepare the side he has to play and win matches.
    Vidal & Barcelona Reach Agreement Over Personal Terms

    Vidal & Barcelona Reach Agreement Over Personal Terms

    The 31-year-old will have a medical with the La Liga champions in the next few days ahead of penning a three-year contract at Camp Nou.

Breaking News



Recommended

Manchester United may turn their attention to Bayern's Jerome Boateng

The Red Devils started the transfer window on a high as they managed to bring in Diogo Dalot and Fred in a matter of few days. The Red Devils refused to match the valuation as they believed the player could cost as low as £25 million next summer.

Spanish pilots union sues Ryanair over contracts

The pilots, who are striking today, confirmed they will refuse to work from 1am on August 10. Ryanair condemned the planned fifth day of strikes.

Echoing Trump, RNC Warns Candidates, Donors Away From Koch Brothers

The hostility has reached a boiling point, with Trump launching Twitter tirades against the Koch Network in recent days . The company and the Koch political operations have pushed relentlessly for lower taxes, less regulation and free trade.

Tiger Woods, Phil Mickelson to square off in November

Mickleson saying, "Now, I don't know if he wants a piece of me, but I just think it would be something that would be really fun". Woods, 42, and Mickelson, 48, are competing in this week's WGC-Bridgestone Invitational that begins Thursday at Firestone.

Bill Belichick, Robert Kraft surprise Randy Moss at his Hall induction

Moss recalled his tough childhood in Rand, citing poverty and racism as issues that he often dealt with. A friend of Ray Lewis was at Friday night's gold jacket ceremony and brought it to Chattanooga for T.O.

Man City and Chelsea lock horns in Community Shield

Chelsea and Manchester City have between them won five of the last seven Premier League titles. Chelsea is always a big rival, with Antonio Conte before and with Maurizio too.

Prince Harry’s Audi RS6 Avant up for sale

In the listing, the vehicle is priced at £71,900 (approximately C$120,000), with the remarkably low mileage of just 4,464 miles. Prince Harry just made a lifestyle change that has royal fans freaking that a little Prince or Princess may be on the way.

Oil Prices Drop as U.S. Inventory Grows

Trump said Monday he'd meet his Iranian counterpart without preconditions, following a war of words earlier this month. U.S.net imports, measuring the imports deducted by its exports, is a very important value for the oil price movements.

Google Clock gains Spotify support for alarms

Google has updated its Clock application on the Play Store, which is honestly a pretty boring app that gets pretty boring updates. Despite the service's large music catalog, the actual user experience has driven many users back to alternatives like Spotify .

Google plans to re-enter China with government-approved search app

If the rumor turns out to be true, it would add to the list of Google's efforts to increase its presence on the Chinese soil. Google has demonstrated the app to officials from the Chinese government, according to The Intercept and the Times .