Home » Money

OPEC oil production climbs as Saudi Arabia pumps moreNaija247news

06 August, 2018, 02:17 | Author: Melinda Barton
  • Crude oil futures fall 0.78% on overseas cues

Crude oil prices turned sharply lower ahead of the start of trading on Wednesday in NY after a surprise build in crude oil inventories in the United States.

According to two officials, the US hasn't been able to persuade China to reduce Iranian oil purchases, but Beijing has reportedly agreed not to increase its oil imports from Iran, Bloomberg reports. Brent crude futures LCOc1 were at $73.42 per barrel, down 3 cents from their last close.

Crude fell to the lowest in more than five weeks as a surprise rise in US crude inventories and increases in production from OPEC and Russian Federation has investors anxious that global supply levels are on the upswing. 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.

U.S. West Texas Intermediate (WTI) crude futures were at $68.87 per barrel at 0647 GMT, down 9 cents from their last settlement.

"Oil is holding up reasonably well".

"Venezuela's ticking time bomb together with the return of Iran's oil industry to the sanctions era has all the makings for a major supply shock", Stephen Brennock, oil analyst at PVM Oil Associates, said in a research note published Friday.


Saudi Arabia's oil production grew by 230,000 barrels a day in July to 10.65 million barrels a day, just shy of an all-time peak reached in 2016, according to a Bloomberg survey of analysts, oil companies and ship-tracking data.

US crude oil exports to China dropped by roughly 42% in July as the appetite for light sweet USA crude declines in the Asian giant ahead of the start of 25% tariffs on USA oil imports, Kallanish Energy learns. "A lot of this is the risk premium priced in for Iran and when do we start seeing an impact on supply there", ING commodities strategist Warren Patterson said.

Although the sanctions don't officially take effect until November, Iran is already seeing customers flee as the United States imposes penalties on buyers after Trump quit a nuclear accord with the country. OPEC has responded with boosting supply, but we are yet to see how much Iranian supply would be choked off, Croft said, adding that "it's going to be very significant".

Worries about the possible loss of Iranian supply are being somewhat offset by concerns that global trade tensions could slow economic growth and crimp energy demand.

Trump has turned up pressure on China for trade concessions by proposing a higher 25 percent tariff on $200 billion of Chinese imports and China has said it will retaliate.

American oil production in May actually inched down from April by 0.3 percent, according to EIA's Monthly Crude Oil and Natural Gas Production report.

Recommended:

  • Maurizio Sarri reveals who he wants Chelsea to sign this week

    Maurizio Sarri reveals who he wants Chelsea to sign this week

    The 36-year old now the second choice shot-stopper in the side is expected to start in goal in absence of No 1 keeper Courtouis. Eden Hazard to coolly convert the winning spot-kick. "I am ready, I am ready", said Guardiola of City's title defence.
    Jerry Brown: Fire-Fueling Heat Worse Than 'Since Civilization Emerged'

    Jerry Brown: Fire-Fueling Heat Worse Than 'Since Civilization Emerged'

    The Mendocino Complex Fire is a combined 80,408 acres as of Tuesday night, and is made up of the Ranch and River fires . It is now the sixth most destructive wildfire in California history and is threatening another 1,600 homes.
    Pompeo Outlines Strategy to Boost Indo-Pacific Economies

    Pompeo Outlines Strategy to Boost Indo-Pacific Economies

    Pompeo said he would visit Malaysia, Singapore and Indonesia this week, where he planned to announce new security assistance. The announcement comes at a time when trade frictions with China have given United States trade diplomacy a sharper edge.
  • Manchester City announce new Gabriel Jesus contract with brilliant video

    Manchester City announce new Gabriel Jesus contract with brilliant video

    The approach known as "Sarri-ball" will grace Stamford Bridge this season as the Blues move away from a mainly defensive outlook. It was a very positive conversation so I'm very happy about it. "It depends on him and us".
    Tax-Free Weekend in Texas Is Coming Up

    Tax-Free Weekend in Texas Is Coming Up

    As back to school shopping starts up, state sales tax is dropping off some items. Retailers can not collect sales or use tax during the days on qualifying items.
    Tesla Profits: Be Careful What You Wish For

    Tesla Profits: Be Careful What You Wish For

    Musk said it will cost the same amount as systems Tesla now puts in its cars, but will bring much more processing power. During the same quarter a year-ago, Tesla saw its Q2 revenue hit $2.79 billion while posting a loss of $1.33 per share.
  • Rose pulls out of WGC-Bridgestone

    Rose pulls out of WGC-Bridgestone

    Woods last played at a WGC in this very tournament in 2014 but pulled out before completing it. He has won it eight times, a PGA Tour record for most victories on the same golf course.
    Turkey dismisses U.S.  sanctions over detained pastor, vows dialogue

    Turkey dismisses U.S. sanctions over detained pastor, vows dialogue

    The pastor denies the charges while United States officials have publicly insisted that Brunson is innocent and should be freed. Soylu also shrugged off Washington's move, saying the only business he had with the USA was the extradition of Gulen.
    China says tariff threat against US 'justified'

    China says tariff threat against US 'justified'

    U.S. threats have escalated since, with the president saying he is ready to impose tariffs on all $500bn of Chinese imports . Beijing said the timing of the new tariffs would depend on whether the United States follows through on its threat.
  • After a decade, Google finally agrees to censor search results in China

    After a decade, Google finally agrees to censor search results in China

    This will ensure that people will not be recommended photos and information banned by the Chinese government. It will automatically block any websites or searches that are not approved under the Great Firewall .
    Trump chief of staff says he will stay at Trump's request

    Trump chief of staff says he will stay at Trump's request

    Kelly has often joked publicly about how working for Trump is the hardest job he's ever had, including those on the battlefield. Kelly falling out of favor with the president, suffering a deteriorating role in the White House and looking to the exit.
    Kohli keeps India in test

    Kohli keeps India in test

    It was the second time in the match that Ashwin had dismissed Cook, England's all-time leading Test run-scorer, in such a manner. The wicket of Alastair Cook in the last over of the day means no other batsman will have to come out to bat today.


Popular

Verizon, Motorola unveil 5G-upgradable smartphone, Moto Z3
However, the cool thing about Moto Z3 is that it is super thin and that it sells for the somewhat affordable price of $460. The smartphone doesn't yet have a United Kingdom release date or price , but it will be hitting USA stores from 16 August.

India’s central bank raises interest rate to fight inflation
Accordingly, the Marginal Standing Facility rate and the Bank Rate too stand adjusted at 6.75 per cent. The pound slid as much as 0.9 per cent and was down 0.5 per cent at US$1.3063 as of 2:55 p.m.

Terrell Owens skipped HOF ceremony because of sportswriters
In a past Twitter exchange, Owens was once posed the question who threw him the best ball during his career. Fans wore Owens' No. 81 jersey from his stints in Dallas, San Francisco and Philadelphia.

Trump shoots at LeBron
While James' interview aired Monday night and into Tuesday, the president clearly didn't hear about it until Friday. In 2013, he congratulated James on winning Athlete of the Year at the ESPYs and "a great guy".

Tim Cook on $1 trillion valuation: Keep your eye on the ball
Amazon , Microsoft and Alphabet are in a tight race to become the second U.S. company to reach the $1 trillion milestone. Whether or not Apple can retain this market cap - or close to it - in the long run remains to be seen.

Campus community urged to take precautions to avoid West Nile virus
The Kent County Health Department says that they've found infected mosquitoes in the 49548, 49507 and 49504 zip codes. DRAIN standing water around your house weekly. "It doesn't take much for several hundred mosquitoes to be born".

Romelu Lukaku Defends ‘Cool’ Jose Mourinho Amid Criticism
So it's only natural that a potential Martial for Jerome Boateng swap deal narrative would gain traction in the silly season. A friend of Manchester United midfielder Nemanja Matic has revealed that the midfielder used to be a Liverpool fan.

Judge stops 3-D guns hours before United States release
Some gun rights groups point out laws allow people to make their own guns now and say this isn't all that different. They're seeking to block the federal government's settlement with the company that makes the plans available online.

ESPN's Paul Finebaum on what's next for Urban Meyer
Meyer said in a statement that he and athletic director Gene Smith agreed that him going on leave was best for the investigation. The case was dropped by police when the woman chose not to pursue charges, but Hyde was suspended three games by Ohio State.

Trump administration sanctions Turkish officials over detained American pastor
Treasury announced sanctions Wednesday against the Turkish government in response to the detention of an American minister there. US State Department spokeswoman Heather Nauert has also called the detention "unjust", adding, "Turkey knows our position well.