Energy Preview: Crude Oil Slippery, WTI Futures Tumble 1% In Asia

US WTI crude for March delivery was up 73 cents or 1.2% at $62.41 a barrel by 11.30am after earlier touching its highest since 7 February

US WTI crude for March delivery was up 73 cents or 1.2% at $62.41 a barrel by 11.30am after earlier touching its highest since 7 February

Saudi exports in December rose from 7.016 million bpd in November, as a seasonal drop in domestic crude demand is freeing up more oil for export during the winter months.

The firm dollar outweighed a reported fall in US crude inventories.

"Given yesterday's API figures, the market's expectation of a 2.4 million barrel inventory build could prove too high", Commerzbank said in a note.

The futures on USA light crude oil with delivery in April fell by 0.78% to 61.31 Dollars per barrel, while Brent variety erased 0.58% to 64.87 USD per barrel.

Oil prices rose to two-week highs on Thursday, boosted by data showing a surprise draw in USA crude inventories and also by a drop in the dollar. On the New York Mercantile Exchange, West Texas Intermediate futures were trading down 0.7% at $61.27 a barrel. But price growth has slowed this year as USA drillers put more rigs to work, pushing the country's output to a record. Monday's transactions will be booked Tuesday for settlement because of the U.S. Presidents' Day holiday. Some analysts say that shale may not be enough to meet future demand.

Plane crashes in Iran killing all 66 aboard
The search has been focused on the 4,409-metre Dena Mountain, which is popular with Iranians training for climbs in the Himalayas. Officials told state media that the wreckage had been found, but an aviation spokesman said he could not confirm this.

The group has agreed to cut crude output by 1.8 million bpd throughout this year to force global inventories to drain. S. government bond yields their highest in over nine years and ahead of the release of the minutes of the Federal Reserve's most recent policy-setting meeting, which may signal the pace of any interest-rate rises. Storage in American tanks and terminals probably increased by 2.9 million barrels last week, according to a Bloomberg survey.

According to the analysts, Wednesday's price drop is due to a United States dollar, which makes commodities denominated in U.S. dollars expensive for countries using other currencies.

Once the dollar retreated, the potential for the U.S. Energy Information Administration to also report a seasonally unusual decline in stocks gave the oil market an additional boost.

USA crude inventory data is due to release on Thursday and stockpiles are expected to have added almost 1.3 million barrels last week, according to Reuters.

"Cushing continues to evaporate. some of it is structural as Cushing is getting pulled into a larger single system centered in the Gulf Coast and a changing role for Cushing,"said Richard Hastings, macro strategist at Seaport Global Securities in Charlotte, North Carolina, in an email".

Recommended News

  • Celebrities, politicians react to Billy Graham's death

    Celebrities, politicians react to Billy Graham's death

    Graham and his wife Ruth Bell Graham - the daughter of a missionary surgeon who grew up in China - had five children. He also presided at graveside services for president Lyndon Johnson in 1973 and spoke at Nixon's funeral in 1994.
    Sally Field plays matchmaker for her son and Olympian Adam Rippon

    Sally Field plays matchmaker for her son and Olympian Adam Rippon

    All I know is that I can understand why NBC would want Rippon as a correspondent. He added: "I love being on Team USA and representing our country".
    Palestinian Dies From Wounds Suffered In Gaza Last Friday

    Palestinian Dies From Wounds Suffered In Gaza Last Friday

    Later on Saturday, terrorists launched a rocket at an Israeli border community, causing damage to a house but no injuries. President Donald Trump announced on December 6 to recognize Jerusalem as Israel's capital.
  • Net Neutrality Challenges Roll In After Rule Publication

    Net Neutrality Challenges Roll In After Rule Publication

    At the top of Net-neutrality supporters' wish list: passage of a Congressional Review Act measure to reinstate the original rules. Senator Ed Markey (D-Massachusetts) said Thursday he is pressing forward with a resolution to scrap the FCC's recent move.
    Japanese 'Baby Factory' Man Gains Custody Of 13 Surrogate Children

    Japanese 'Baby Factory' Man Gains Custody Of 13 Surrogate Children

    Shigeta's case, along with several others, helped usher in a Thai law prohibiting commercial surrogacy for foreign clients. Surrogacy agencies quickly migrated to neighbouring Cambodia, who followed suit and barred the industry in 2016.
    Venezuela about to launch its 'petro' cryptocurrency

    Venezuela about to launch its 'petro' cryptocurrency

    The cryptocurrency has since dropped to $11,000, suggesting President Maduro may have missed the crypto boat. The first operations will be carried out through a private sale, Maduro has said, without elaborating.
  • Winter Olympics: Why did Elizabeth Swaney run the halfpipe without tricks?

    Winter Olympics: Why did Elizabeth Swaney run the halfpipe without tricks?

    Swaney was born and raised in the United States but qualified to represent Hungary through her maternal grandparents. Plenty of other skiers who just missed the cut and are forced to watch from home likely aren't amused, either.
    Trump Rated Worst Leader in Presidential Greatness Survey

    Trump Rated Worst Leader in Presidential Greatness Survey

    Respondents gave each president a score of 0-100 for "overall greatness", then each president's scores were averaged. But the new survey conducted by Rottinghaus and Vaughn puts one president below Buchanan: Donald J.
    Seventh-grader shoots self at OH  middle school; no one else hurt

    Seventh-grader shoots self at OH middle school; no one else hurt

    All four elementary schools in the district are closed and all extracurricular activities have been canceled for the day. Superintendent Christopher DiLoreto said the school is still considering if classes will continue Wednesday.
  • United States  skiers make history at Olympics with cross-country gold

    United States skiers make history at Olympics with cross-country gold

    Olympic team, Randall is the only mother on Team USA. "It feels unreal, I can't believe it just happened", Diggins told reporters. Diggins and Randall are enormously accomplished cross-country racers. "It was really hard to select the team today".
    Mueller eyes Kushner contacts

    Mueller eyes Kushner contacts

    Kushner and Anbang chairman Wu Xiaohui were close to finishing a deal for the Chinese conglomerate to invest in 666 Fifth Avenue. Kushner divested from that property and others, which were sold to a family trust from which he does not benefit, CNN reported .
    Czechs prevail in shootout against Canada to top group

    Czechs prevail in shootout against Canada to top group

    But the Czechs wouldn't go away and evened the score only 25 seconds into the second period with Michal Jordan's goal. Scrivens, who had mishandled the puck seconds earlier, stopped a Michal Birner shot but Jordan banged in the rebound.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.