The post Oil Prices Slump By Over 1% Amid Rise in Output appeared first on theprimarymarket.com.
]]>Brent crude prices declined by 0.93%, or 73 cents, to $78.03 per barrel, while U.S. West Texas Intermediate crude futures slumped by 1.04%, or 77 cents, to $73.04 a barrel. This is a sharp turn after both contracts rose by over 2% during the first week of the new year.
“If we were just to focus on the fundamentals including, higher inventories, higher OPEC/non-OPEC production, and a lower-than-expected Saudi OSP, it would be impossible to be anything other than bearish crude oil,” IG analyst Tony Sycamore observed, suggesting that prices should continue to fall. Vandana Hari, founder of oil market analysis provider Vanda Insights, observed that rising output and market competition threaten to exceed demand, placing downward pressure on prices.
The post Oil Prices Slump By Over 1% Amid Rise in Output appeared first on theprimarymarket.com.
]]>The post OPEC Nations Remain Committed Following Angola’s Exit appeared first on theprimarymarket.com.
]]>Angola’s exit – following a 16-year tenure as an OPEC member – came as a result of a dispute over its production quota. Following the African nation’s departure OPEC now consists of 12 member nations. Now, the oil cartel is looking to implement output cuts in an effort to push oil prices upward. Over the past three months, oil prices have plummeted by almost 20%.
While Nigeria also took issue with OPEC+’s production quotas for 2024, they decided against taking any drastic steps against the organization in protest. It appears as if Nigeria resolved its issue with OPEC following its November 30 meeting.
The post OPEC Nations Remain Committed Following Angola’s Exit appeared first on theprimarymarket.com.
]]>The post Oil Slumps 4% as OPEC+ Meeting Delayed appeared first on theprimarymarket.com.
]]>Previously scheduled for Sunday 26 November, members of OPEC+ delayed their meeting until Thursday, November 30, with the cartel giving no reason for the decision. At the meeting, Saudi Arabian and Russia, along with its fellow OPEC+ allies, were set to discuss changes to a deal that limits supply going into 2024.
“The upcoming meeting has been the key central focus for oil prices for now, with sentiment shrugging off the sharp build in U.S. crude inventories,” Jun Rong Yeap, a market strategist at IG observed. While oil broker PVM explained that oil cuts must be extended and deepened, the International Energy Agency’s (IEA) oil markets and industry division confirmed that the global oil market will see a slight surplus heading into 2024.
The post Oil Slumps 4% as OPEC+ Meeting Delayed appeared first on theprimarymarket.com.
]]>The post Oil Industry Leaders Meet in Singapore to Discuss Turbulent Market appeared first on theprimarymarket.com.
]]>Oil prices have fluctuated significantly over the past year, with benchmark Brent slumping to its lowest level since June 2021 at a little over $70 per barrel. In response, OPEC+ leaders moved to implement a production cut to drive prices upwards, with Brent now exceeding $88 per barrel.
Further output cuts are expected, with Russia revealing last week that it reached an agreement with its OPEC+ partners to implement further export reductions. A Bloomberg survey found that Saudi Arabia is highly likely to extend its 1 million barrel production cut into October.
The post Oil Industry Leaders Meet in Singapore to Discuss Turbulent Market appeared first on theprimarymarket.com.
]]>The post Oil Headed for Largest Monthly Gain Since Early 2022 appeared first on theprimarymarket.com.
]]>West Texas Intermediate was trading slightly above $80 per barrel on Monday morning, touching its peak in April last year and rallying almost 14% since the start of July. Should its current value hold until market close, the US crude benchmark will achieve its best performance for July in the last two years.
“Record high demand and Saudi supply cuts have brought back deficits,” Goldman Sachs noted. “The market has abandoned its growth pessimism.” Goldman Sachs’ team of analysts forecast that Brent would hit $86 per barrel in December.
The post Oil Headed for Largest Monthly Gain Since Early 2022 appeared first on theprimarymarket.com.
]]>The post Oil Hits Three-Month High as Supply Tightens appeared first on theprimarymarket.com.
]]>West Texas Intermediate surpassed $78 per barrel as the previously-announced oil production cutbacks from OPEC+ began to take effect. The global oil supply has been delivered another blow following an outage at the Baton Rouge refinery resulting from the breakdown of a gasoline-making catalytic cracker. The machine may be out for several weeks.
Crude remains slightly down for the year, with China’s stalled economic recovery erasing the effects of OPEC+’s production cuts which include Russia and China. The Chinese government has indicated, however, that it intends to provide stimulus to boost the economy.
“Commentary out of China is disappointing to some markets, but the fact that we are seeing stimulus, if they do anything to support the economy, it’s positive for crude because I don’t think crude has priced in stimulus,” Rebecca Babin, a senior energy trader at CIBC Private Wealth observed.
The post Oil Hits Three-Month High as Supply Tightens appeared first on theprimarymarket.com.
]]>The post Oil Holds Onto Gains as Russian Crude Declines appeared first on theprimarymarket.com.
]]>Futures in London traded near $80 per barrel on Wednesday morning; a threshold last met in early May. With oil still lower this year overall, OPEC+ members Saudi Arabia and Russia pledged to cut output as a means of propping up prices.
According to a report from the Energy Information Administration, the global oil market is set to tighten in the second half of the year. The EIA is set to release its weekly report on US crude stockpiles later on Wednesday.
Earlier, a report from the American Petroleum Institute stated that stockpiles rose by three million barrels last week. Other incoming reports that traders will look to for guidance are the monthly reports of the International Energy Agency and OPEC, set to be released on Thursday.
The post Oil Holds Onto Gains as Russian Crude Declines appeared first on theprimarymarket.com.
]]>The post Oil Drops as Investors Weigh Opec+ Decision appeared first on theprimarymarket.com.
]]>Brent, the global benchmark, fell back below $76 per barrel following the conclusion of the 4th of July holiday that saw U.S. markets close. After the Saudi and Russian output cut announcements were made public, Morgan Stanley cut its fourth-quarter forecast for Brent from $75 per barrel to $70.
“We still model stock draws in 3Q but expect oil price softness to continue as the market’s focus shifts to 1H24 when balances look in surplus,” analysts from the investment banking company stated.
Investor confidence was partially restored after the energy minister of the UAE confirmed that his nation would not be implementing output cuts like their OPEC+ counterparts.
Crude prices have slumped this year, largely driven downward by China’s stalling economic recovery. Observers will await the upcoming OPEC+ meeting to gauge the direction of crude and Brent prices.
The post Oil Drops as Investors Weigh Opec+ Decision appeared first on theprimarymarket.com.
]]>The post Oil Rises Amid Russian and Saudi Price Cuts appeared first on theprimarymarket.com.
]]>Saudi Arabia’s production will remain one million barrels per day lower as per this arrangement, adding to existing output curbs implemented by OPEC+. This reduction is expected to be extended into August and could potentially last longer.
In line with the Saudis’ decision, Russia will reduce its own oil exports by 500,000 barrels a day in August. The country has mostly kept in line with OPEC+’s supply cuts despite facing pressure to keep its sales afloat following the Ukraine invasion.
Oil futures rose soon after Saudi Arabia’s announcement, with Brent crude rising 0.9% to $76.12 per barrel.
Expected to rally going into this year, oil prices instead shed 11% following a slump in market confidence over global economies as central banks continued to hike inflation rates in the fight against inflation.
The post Oil Rises Amid Russian and Saudi Price Cuts appeared first on theprimarymarket.com.
]]>The post OPEC+ Considers Further Supply Cuts Amid Oil Price Decline appeared first on theprimarymarket.com.
]]>Saudi Arabia, a leader among the cartel’s members, has warned traders to avoid betting on lower oil prices. Russia, the leader of the non-member allies, has issued a contrasting statement that no reduction in output is expected.
OPEC+ previously cut output by 2 million barrels per day in October, thereby infuriating U.S. President Joe Biden as higher gasoline prices were caused. Another supply cut was imposed in April, this time a surprise cut of 1.16 million barrels per day.
After climbing as high as $87 per barrel, Brent crude has slumped to around $75 per barrel. U.S. crude has fallen below $70 per barrel during the same period.
James Swanston, Middle East and North Africa economist at Capital Economics has cautioned that the Saudi’s warning to traders does not necessarily signify an impending output cut. “Our expectation is that OPEC+ will stick with current output quotas,” Swanston commented. “There have been signs that the government may be readying to live with lower oil prices and running budget deficits.”
The post OPEC+ Considers Further Supply Cuts Amid Oil Price Decline appeared first on theprimarymarket.com.
]]>The post Oil Prices Slump By Over 1% Amid Rise in Output appeared first on theprimarymarket.com.
]]>Brent crude prices declined by 0.93%, or 73 cents, to $78.03 per barrel, while U.S. West Texas Intermediate crude futures slumped by 1.04%, or 77 cents, to $73.04 a barrel. This is a sharp turn after both contracts rose by over 2% during the first week of the new year.
“If we were just to focus on the fundamentals including, higher inventories, higher OPEC/non-OPEC production, and a lower-than-expected Saudi OSP, it would be impossible to be anything other than bearish crude oil,” IG analyst Tony Sycamore observed, suggesting that prices should continue to fall. Vandana Hari, founder of oil market analysis provider Vanda Insights, observed that rising output and market competition threaten to exceed demand, placing downward pressure on prices.
The post Oil Prices Slump By Over 1% Amid Rise in Output appeared first on theprimarymarket.com.
]]>The post OPEC Nations Remain Committed Following Angola’s Exit appeared first on theprimarymarket.com.
]]>Angola’s exit – following a 16-year tenure as an OPEC member – came as a result of a dispute over its production quota. Following the African nation’s departure OPEC now consists of 12 member nations. Now, the oil cartel is looking to implement output cuts in an effort to push oil prices upward. Over the past three months, oil prices have plummeted by almost 20%.
While Nigeria also took issue with OPEC+’s production quotas for 2024, they decided against taking any drastic steps against the organization in protest. It appears as if Nigeria resolved its issue with OPEC following its November 30 meeting.
The post OPEC Nations Remain Committed Following Angola’s Exit appeared first on theprimarymarket.com.
]]>The post Oil Slumps 4% as OPEC+ Meeting Delayed appeared first on theprimarymarket.com.
]]>Previously scheduled for Sunday 26 November, members of OPEC+ delayed their meeting until Thursday, November 30, with the cartel giving no reason for the decision. At the meeting, Saudi Arabian and Russia, along with its fellow OPEC+ allies, were set to discuss changes to a deal that limits supply going into 2024.
“The upcoming meeting has been the key central focus for oil prices for now, with sentiment shrugging off the sharp build in U.S. crude inventories,” Jun Rong Yeap, a market strategist at IG observed. While oil broker PVM explained that oil cuts must be extended and deepened, the International Energy Agency’s (IEA) oil markets and industry division confirmed that the global oil market will see a slight surplus heading into 2024.
The post Oil Slumps 4% as OPEC+ Meeting Delayed appeared first on theprimarymarket.com.
]]>The post Oil Industry Leaders Meet in Singapore to Discuss Turbulent Market appeared first on theprimarymarket.com.
]]>Oil prices have fluctuated significantly over the past year, with benchmark Brent slumping to its lowest level since June 2021 at a little over $70 per barrel. In response, OPEC+ leaders moved to implement a production cut to drive prices upwards, with Brent now exceeding $88 per barrel.
Further output cuts are expected, with Russia revealing last week that it reached an agreement with its OPEC+ partners to implement further export reductions. A Bloomberg survey found that Saudi Arabia is highly likely to extend its 1 million barrel production cut into October.
The post Oil Industry Leaders Meet in Singapore to Discuss Turbulent Market appeared first on theprimarymarket.com.
]]>The post Oil Headed for Largest Monthly Gain Since Early 2022 appeared first on theprimarymarket.com.
]]>West Texas Intermediate was trading slightly above $80 per barrel on Monday morning, touching its peak in April last year and rallying almost 14% since the start of July. Should its current value hold until market close, the US crude benchmark will achieve its best performance for July in the last two years.
“Record high demand and Saudi supply cuts have brought back deficits,” Goldman Sachs noted. “The market has abandoned its growth pessimism.” Goldman Sachs’ team of analysts forecast that Brent would hit $86 per barrel in December.
The post Oil Headed for Largest Monthly Gain Since Early 2022 appeared first on theprimarymarket.com.
]]>The post Oil Hits Three-Month High as Supply Tightens appeared first on theprimarymarket.com.
]]>West Texas Intermediate surpassed $78 per barrel as the previously-announced oil production cutbacks from OPEC+ began to take effect. The global oil supply has been delivered another blow following an outage at the Baton Rouge refinery resulting from the breakdown of a gasoline-making catalytic cracker. The machine may be out for several weeks.
Crude remains slightly down for the year, with China’s stalled economic recovery erasing the effects of OPEC+’s production cuts which include Russia and China. The Chinese government has indicated, however, that it intends to provide stimulus to boost the economy.
“Commentary out of China is disappointing to some markets, but the fact that we are seeing stimulus, if they do anything to support the economy, it’s positive for crude because I don’t think crude has priced in stimulus,” Rebecca Babin, a senior energy trader at CIBC Private Wealth observed.
The post Oil Hits Three-Month High as Supply Tightens appeared first on theprimarymarket.com.
]]>The post Oil Holds Onto Gains as Russian Crude Declines appeared first on theprimarymarket.com.
]]>Futures in London traded near $80 per barrel on Wednesday morning; a threshold last met in early May. With oil still lower this year overall, OPEC+ members Saudi Arabia and Russia pledged to cut output as a means of propping up prices.
According to a report from the Energy Information Administration, the global oil market is set to tighten in the second half of the year. The EIA is set to release its weekly report on US crude stockpiles later on Wednesday.
Earlier, a report from the American Petroleum Institute stated that stockpiles rose by three million barrels last week. Other incoming reports that traders will look to for guidance are the monthly reports of the International Energy Agency and OPEC, set to be released on Thursday.
The post Oil Holds Onto Gains as Russian Crude Declines appeared first on theprimarymarket.com.
]]>The post Oil Drops as Investors Weigh Opec+ Decision appeared first on theprimarymarket.com.
]]>Brent, the global benchmark, fell back below $76 per barrel following the conclusion of the 4th of July holiday that saw U.S. markets close. After the Saudi and Russian output cut announcements were made public, Morgan Stanley cut its fourth-quarter forecast for Brent from $75 per barrel to $70.
“We still model stock draws in 3Q but expect oil price softness to continue as the market’s focus shifts to 1H24 when balances look in surplus,” analysts from the investment banking company stated.
Investor confidence was partially restored after the energy minister of the UAE confirmed that his nation would not be implementing output cuts like their OPEC+ counterparts.
Crude prices have slumped this year, largely driven downward by China’s stalling economic recovery. Observers will await the upcoming OPEC+ meeting to gauge the direction of crude and Brent prices.
The post Oil Drops as Investors Weigh Opec+ Decision appeared first on theprimarymarket.com.
]]>The post Oil Rises Amid Russian and Saudi Price Cuts appeared first on theprimarymarket.com.
]]>Saudi Arabia’s production will remain one million barrels per day lower as per this arrangement, adding to existing output curbs implemented by OPEC+. This reduction is expected to be extended into August and could potentially last longer.
In line with the Saudis’ decision, Russia will reduce its own oil exports by 500,000 barrels a day in August. The country has mostly kept in line with OPEC+’s supply cuts despite facing pressure to keep its sales afloat following the Ukraine invasion.
Oil futures rose soon after Saudi Arabia’s announcement, with Brent crude rising 0.9% to $76.12 per barrel.
Expected to rally going into this year, oil prices instead shed 11% following a slump in market confidence over global economies as central banks continued to hike inflation rates in the fight against inflation.
The post Oil Rises Amid Russian and Saudi Price Cuts appeared first on theprimarymarket.com.
]]>The post OPEC+ Considers Further Supply Cuts Amid Oil Price Decline appeared first on theprimarymarket.com.
]]>Saudi Arabia, a leader among the cartel’s members, has warned traders to avoid betting on lower oil prices. Russia, the leader of the non-member allies, has issued a contrasting statement that no reduction in output is expected.
OPEC+ previously cut output by 2 million barrels per day in October, thereby infuriating U.S. President Joe Biden as higher gasoline prices were caused. Another supply cut was imposed in April, this time a surprise cut of 1.16 million barrels per day.
After climbing as high as $87 per barrel, Brent crude has slumped to around $75 per barrel. U.S. crude has fallen below $70 per barrel during the same period.
James Swanston, Middle East and North Africa economist at Capital Economics has cautioned that the Saudi’s warning to traders does not necessarily signify an impending output cut. “Our expectation is that OPEC+ will stick with current output quotas,” Swanston commented. “There have been signs that the government may be readying to live with lower oil prices and running budget deficits.”
The post OPEC+ Considers Further Supply Cuts Amid Oil Price Decline appeared first on theprimarymarket.com.
]]>