ibusinesslines.com
ibusinesslines.com September 20, 2018


Oil prices edge up, U.S.-China trade war in focus

09 July 2018, 11:44 | Kelvin Horton

Crude Oil

Crude Oil

Brent crude futures LCOc1 fell 25 cents, or 0.3 percent, to $77.14 per barrel by 0317 GMT from their last close.

Oil prices gained on Monday following the data last week that showed USA crude inventories slumped to their lowest in as long as three years.

The South Korean embassy in Tehran on Saturday denied that the country has stopped oil imports from Iran, IRAN Daily reported.

Although just 5 percent of China's overall crude imports, these supplies are worth $1 billion a month at current prices - a figure that seems certain to fall should a duty be implemented. "I do expect that at least over the next few weeks, the Brent-WTI spread is going to narrow".

On Friday, western media reported that South Korea will not lift any Iranian crude and condensate in July, halting all shipments for the first time in six years amid USA pressure to cut all imports of Iranian oil from November.

Top exporter Saudi Arabia told OPEC it raised oil output by nearly 500,000 barrels per day last month, OPEC sources said, a sign Riyadh wants to make up for shortages elsewhere and dampen prices.

FGE said the US government may grant some waivers to allies that are particularly reliant on Iranian supplies, and that some Iranian oil would also be smuggled into markets.

A rise in supply will reverse some of the output cuts that OPEC and other major producers put in place in early 2017 to end several years of glut.


Investors also expect information on how much exports from Saudi Arabia and other Gulf states will be increased.

USA markets also garnered support from a government employment report showing better-than-expected growth in jobs.

World oil prices are growing, despite the growth of drilling activity in the USA, on expectations of irregularities in the schedule of supplies of this raw material from Libya and Canada.

"We're seeing a bounce to the upside thanks to spillover from a really good jobs number and strength in equity markets, as well as a draw in Cushing stocks", said Jim Ritterbusch, president of Ritterbusch and Associates.

Asian oil refiners are racing to secure crude supplies in anticipation of an escalating trade war between the United States and China, and as Washington plans tough sanctions against Iran aimed at shutting the country out of oil markets.

"Because the oil market is already in tight supply due to the numerous outages, this would drive worldwide prices (Brent) further up", Commerzbank said in a note.

Highlighting that issue, JTD Energy's Driscoll said US oil sellers were "already discounting" their crude.



Other News

Trending Now

Harry Kane says 'band of brothers' spirit is driving England on
Everyone wants to finish the job and we're excited to try and do that". I mean the moment you head it proper, you feel it's a good one.

Daredevil Travis Pastrana Lands Iconic Evel Knievel Motorcycle Jumps
Travis Pastrana celebrates after jumping the fountain at Caesars Palace on a motorcycle Sunday, July 8, 2018, in Las Vegas . After finishing with a few burnouts, Pastrana celebrated his triplicating feat by diving into the fountain.

Pakistan beat Australia in tri-series final after blitz from Fakhar Zaman
Zaman, who was adjudged Man of the Match, scored a magnificent 91 off 46 balls before being dismissed by Jhye Richardson. Babar Azam, Colin Munro and Glenn Maxwell all slipped, occupying the three spots below Finch, Zaman and Rahul.

Prince Charles' Friend Hits Out At Meghan Markle's Family
And ever since, Meghan has adhered to the rule - except for Thursday's visit to Marlborough House for the Commonwealth Youth Reception.

Summer bargains? Amazon Prime plans opening salvo at Dutch market
Each month, Prime members can also download six editor's picks for free before the official publication date. This can be turned off or cancelled entirely by visiting the Manage Prime Membership page.

Google's controversial human sounding AI is being tested for call centres
To no one's surprise, it looks like at least one major company is discussing the use of Duplex for customer service calls. There is precedent for Google making Duplex available to third-parties.

Britain's Brexit Secretary David Davis quits, Europe News & Top Stories
May won the backing of her Cabinet on Friday for a plan that would create a "U.K. -EU free trade area". UK Foreign Secretary Boris Johnson . "The prime minister is in office but not in power".