July 26, 2017

WTI, Brent crude oil futures settle higher

28 June 2017, 02:14 | Ignacio Smith

Oil jumps 1% on weaker dollar, but rise in US drilling drags

Oil jumps oil dollar US drilling drags global supply US dollar

Crude-oil prices advanced Tuesday, with the commodity logging its fourth gain in a row as traders braced for a possible decline in US supplies.

Brent crude futures, the worldwide benchmark for oil prices, gained 82 cents, or 1.79 percent, to settle at $46.65 per barrel.

The raises are suggesting that the market is somewhat looking optimistic so far this week after last month's losses.

Short covering and a weaker dollar have combined to maintain the rally in oil prices while the latest inventories data will be important in determining whether the recovery can be sustained.

In spite of the cuts, inventories have increased as USA producers and other countries that are not part of the OPEC-led partnership have grown their production. OPEC states and 11 other exporters agreed in May to extend cuts of 1.8 million barrels per day (bpd) until March.

Despite the cuts, which started in January, markets remain well supplied due to rising output elsewhere. Iran has also been allowed a small increase.

Prices of oil took a sharp decline since mid-November of previous year, after the crude oil contract shutdown 92 cents at $43.51 U.S. per barrel.

Gibbons: Osuna not feeling well
LF Steve Pearce, who bruised his right knee banging into the wall Wednesday, did not play for the second consecutive game. Troy Tulowitzki homered off former Long Beach State teammate Vargas to give the Blue Jays a 1-0 lead in the second.

Analyst Merrill Lynch said that the demand had not grown enough to take in the excess output.

With crude prices on the skids for five weeks running, the oil ETFs chalked up an average return of over minus 16 percent in the month to Friday, according to Zeroin. Brent advanced 0.6 %to $45.83 on Monday. The benchmark was still set to end the first half of the year down almost 20 percent. Prices rose 0.9% on Monday but are down nearly 10% this month, the worst June performance in nearly 30 years.

"We don't think we're going to go below the low 40s".

"After how much we've fallen, prices are attractive here as a result, so it's not surprising that we're getting some buying, just on a valuation perspective".

Money managers' WTI net long positions, the difference between wagers on a price increase and bets on a decline, fell by 60,556 to 134,742 contracts, CFTC data showed. Given the journey time to USA shores (hark, seven-ish weeks), the expectation was that we would start to see lower volumes reflected in the June data.

The Organization of the Petroleum Exporting Countries and its partners have been trying to reduce a global crude glut with production cuts. We do not have to look too far for likely culprits on the supply side.

Other News

Trending Now

Atletico Madrid offer for Chelsea striker Diego Costa around £18m short
Antonio Conte has finally given doubters some certainty as he agrees a new deal worth 9.5 Million pounds. Italian giants Juventus and AC Milan have shown interest making a scoop for the striker.

South Korea president Moon jae-in pulls plug on nuclear energy
With the country still setting its long-term energy plans, it is unclear how many will be replaced by new reactors. South Korea now runs 25 nuclear power plants, which generate about 30 percent of the country's power supply.

Tweed shooting: Police fear gang paybacks
As inquiries continue, police are urging any witnesses, or anyone with information to contact Crime Stoppers on 1800 333 000. The 31-year-old was immediately treated by doctors, but died soon after.

Five members of El-Wahabi family died in Grenfell Tower fire
Another asked for information about "Amal and daughter" while a whole family, the Choucairs, were reported missing on another. He reportedly got separated from his family in the smoke and the BBC has now learned that he died.

Study Finds Correlation Between Legal Marijuana and More Car Accidents
These insurance companies have found several possible factors that could be responsible for the spike in vehicle crash claims. Rocky Mountain Insurance Information Association is an industry group that covers Colorado, Wyoming, Utah and New Mexico.

Kvitova enters Birmingham final, to face Barty
But Kvitova broke again in the opening game of the second set, before Safarova decided she could not continue. I played four matches already, so it's a good record and good preparation for the final.

JK: Pak violates ceasefire in Bhimber Gali sector
This fresh round of ceasefire violation was retaliated to by the Indian army in a fierce manner, said a defence official. The BAT comprises special forces personnel of the Pakistan army and terrorists.

Liberals ask for clarity on BC legislature rules, as defeat looms
Weaver said the Greens are committed to the confidence vote, even if it means rejecting Liberal reforms that his party supports. To ignore the federal approvals of two major resource projects shows disrespect to not only Ms.

Google is going to stop scanning your Gmail for ad personalisation
It's unclear how Google's new decision not to scan Gmail messages for advertising purposes altogether may affect that case. But users have the ability to change their account settings and disable ad personalization entirely if they so choose.

Jeff Sessions Backing New Sanctuary City Law in Texas
Texas' largest cities are part of the lawsuit opposing the law, including Houston , San Antonio , Dallas and Austin . The Republican-backed law in Texas, the USA state with the longest border with Mexico, takes effect on September 1.