Commodities Crude oil news

Oil fell near the lowest level in two months as a rout in U.S. stocks prompted investors to flee risk assets and as American crude inventories continued to rise.

StockMarketNews.Today - West Texas Intermediate for December delivery declined as much as 83 cents to $65.99 a barrel on the New York Mercantile Exchange, and traded at $66.43 at 7:57 a.m. in London. The contract rose 39 cents to $66.82 on Wednesday. Total volume traded was about 5 percent below the 100-day average. Brent for December settlement fell 41 cents to $75.76 a barrel on the London-based ICE Futures Europe exchange. The contract dropped 27 cents to $76.17 on Wednesday. The global benchmark traded at a $9.32 premium to WTI.

This slideshow requires JavaScript.


StockMarketNews.Today

Futures in New York dropped as much as 1.2 percent after a 0.6 percent gain on Wednesday. Asia’s main equity gauge entered a bear market after U.S. stocks erased all of this year’s gains on Wednesday. While the stock-market rout spread to risk assets including oil and copper, safe-havens like gold gained. Meanwhile, a government report showed U.S. crude stockpiles climbed more than expected, rising for a fifth week.

Oil Resumes Slide on Sinking Stocks And Growing U.S. Inventories.

Oil is poised for the worst monthly decline since July 2016 as ongoing trade tensions stoke concerns over global growth that drives energy demand at a time when American crude stockpiles are increasing. Traders are also closely watching how much Iranian oil will be removed from the market by U.S. sanctions and whether the Organization of Petroleum Exporting Countries and its allies can fill the gap.

“Sell-off in equity markets raised concerns over oil demand, contributing to a decline in prices,” said Satoru Yoshida, a commodity analyst at Rakuten Securities Inc. in Tokyo. In addition, the gain in U.S. crude inventories is adding to bearish sentiment, he added. West Texas Intermediate for December delivery declined as much as 83 cents to $65.99 a barrel on the New York Mercantile Exchange, and traded at $66.43 at 7:57 a.m. in London. The contract rose 39 cents to $66.82 on Wednesday. Total volume traded was about 5 percent below the 100-day average.

Brent for December settlement fell 41 cents to $75.76 a barrel on the London-based ICE Futures Europe exchange. The contract dropped 27 cents to $76.17 on Wednesday. The global benchmark traded at a $9.32 premium to WTI. In equity markets, the MSCI Asia Pacific Index dropped as much as 2.4 percent on Thursday, taking its slide from a January peak to more than 20 percent. Both the S&P 500 Index and the Dow Jones Industrial Average plummeted on Wednesday on mixed corporate earnings and concerns over global economic growth. Elsewhere, gold has climbed to a three-month high.

In the U.S., nationwide inventories climbed by 6.35 million barrels last week for the longest streak of gains since March 2017, the Energy Information Administration reported on Wednesday. That compares with the median 3.7 million-barrel increase forecast in a Bloomberg survey. Meanwhile, American gasoline stockpiles declined by 4.83 million barrels and distillate inventories dropped for a fifth straight week, according to EIA data. Refinery runs in the country remained low due to seasonal maintenance.

More News: Oil steadied near the lowest level in two months as a rout in global equity markets abated.

Futures in New York fell 0.2 percent, paring earlier decline of as much as 1.2 percent. The Stoxx Europe 600 index increased, while futures on the S&P 500 Index advanced after an earlier rout wiped out all of the U.S. index’s gains for this year. Meanwhile, a government report on Wednesday showed American crude stockpiles climbed more than expected, rising for a fifth week.

Oil is poised for the worst monthly decline since July 2016 as ongoing trade tensions stoke concerns over global energy demand at a time American crude stockpiles are increasing. Traders are also closely watching how much Iranian oil will be removed from the market when U.S. sanctions hit next month and whether the Organization of Petroleum Exporting Countries and its allies are willing — and able — to fill the gap.

“The sentiment in other asset classes is very much looked at, and it seems that the market is trying to find a bottom around current levels,” said Hans van Cleef, senior energy economist at ABN Amro Bank NV. “There needs to be a driver which can push prices up again and Iran sanctions kicking in might be one of them.”

West Texas Intermediate for December delivery declined as much as 83 cents to $65.99 a barrel on the New York Mercantile Exchange, and was at $66.68 at 11:37 a.m. in London. The contract rose 39 cents on Wednesday. Total volume traded was in line with the 100-day average. Brent for December settlement fell 6 cents to $76.11 a barrel on the London-based ICE Futures Europe exchange, after declining 27 cents on Wednesday. The global benchmark traded at a $9.44 premium to WTI.


♦♦♦ ADVERTISEMENT ♦♦♦

Buddyman: Kick – Free Download


Equities in Europe rose after Asian gauges fell for a third day. Futures on the S&P 500 Index advanced, with positive results from Tesla Inc. brightening the mood. The Stoxx Europe 600 Oil & Gas index gained after three days of declines.

In the U.S., nationwide crude inventories climbed by 6.35 million barrels last week for the longest streak of gains since March 2017, the Energy Information Administration reported on Wednesday

Advertisements

4 comments

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s