Oil slides as gasoline inventories build

"The battle between the "sheiks and the shale oil producers" is far from decided. with all attempts by OPEC to achieve a lasting production deficit on the oil market being torpedoed by non-OPEC producers - first and foremost the US", analysts at Commerzbank wrote.

Although crude inventories fell by 840,000 barrels in the week to April 14 to 531.6 million barrels, they held near record highs, while gasoline stocks rose by 1.4 million barrels as refinery runs increased by 334,000 bpd.

Moreover, oil prices were under pressure as a stronger US dollar dented investor sentiment, which made the dollar-denominated oil less attractive for holders of other currencies.

US crude futures closed the day down 3.76 percent, trading at $50.44 per barrel and hovering only slightly above the key $50 level, while Brent crude futures dropped almost $2.30 to trade around $52.70 a barrel.

"Some of the people who picked up contracts below $50 made a decision to run out ahead of expiration", said Gene McGillian of Tradition Energy.

"The fact that gasoline stocks rose. anxious traders that demand is not as strong as many thought", said Greg McKenna, chief market strategist at futures brokerage AxiTrader.

And OPEC, in the wake of its production-freeze agreement late previous year, appears to be once again losing market share - the recapturing of which was the reason the oil sheiks engaged in their price war in 2014 in the first place.

Читайте также: Auto dragged for miles by big rig truck

Increasing US output is undermining attempts by the Organization of the Petroleum Exporting Countries and other major oil producers to curb output and sustain a price rally in a market that has been oversupplied since mid-2014.

Kilduff also noted that USA daily production increased to 9.25 million barrels per day.

Last week the prices of oil had gone past $53 a barrel following the push by some producers to extend the OPEC supply cut deal by the more than 6 months that had been settled on.

Production in the Marcellus was 18 Bcf/d in the same month a year ago.

At the same time, Citi experts warn that a failure to extend the output agreement may "precipitously" lower prices for crude, as increased supplied in late 2016 is still "a dark cloud hanging over the market". US crude inventories were at 532.3 million barrels, only about 3 million barrels less than the record reached in March.

Citigroup's analysts had estimated in February that oil prices would rise to $70 a barrel this year as supply and demand levels continued to rebalance, CNBC reported.

The United States is working with allies and China on responses to the failed test, U.S. President Donald Trump's national security adviser said on Sunday.

При любом использовании материалов сайта и дочерних проектов, гиперссылка на обязательна.
«» 2007 - 2017 Copyright.
Автоматизированное извлечение информации сайта запрещено.

Код для вставки в блог

Recommended News

  • Gorsuch Takes The Bench With Show Of Enthusiasm For Debate

    Gorsuch Takes The Bench With Show Of Enthusiasm For Debate

    He did not actively participate with the other eight justices in a private conference convened Thursday to reviewpossible cases. Gorsuch, however, was quiet for the first half of arguments in that case, while Neal Katyal argued on behalf of the petitioner.
    Judging the matchups in Rockets-Thunder series

    Judging the matchups in Rockets-Thunder series

    In the previous two postseasons, Harden's minutes averaged more than 35 per game, and by the time they ended, he was exhausted . JOHN YANG: But to do this, to get the triple-double, you have got to be an all-around player. "It's great for business".

    NewsAlert: Strident Trump targets Canadian trade on energy, lumber, dairy

    Department of Agriculture that he said "indicates that poor results in the U.S. sector are due to U.S. and global overproduction. Schumer said any renegotiation of NAFTA should set as its top priority the reversal of Canadian dairy pricing policies.
  • O'Reilly still denies harassment after firing

    O'Reilly still denies harassment after firing

    She also called on the company to release employees from mandatory arbitration and confidentiality clauses in their contracts. O'Reilly changed the cable news game by putting his point of view and personality ahead of reporting.

    Serena Williams is pregnant with her 1st child

    In pregnancy, a woman's center of gravity shifts forward to accommodate the growing fetus, which could affect Williams' stance. Williams, who won the Australian Open in January, announced her engagement to Reddit co-founder Alexis Ohanian in December.

    Head of retail powerhouse Lotte indicted in South Korea corruption scandal

    Park denies all the charges , saying she's the victim of a conspiracy and did not know about Choi's alleged activities. Choi and the company's top executive, Lee Jae-yong, were also under arrest and on trial.
  • Amid widening White House divides, Trump reportedly considers major staff shakeup

    According to one official, the meeting ended amicably, with both men agreeing to work together to advance Trump's agenda. Bannon's removal from the National Security Council exacerbated a situation that boiled over later in the week.

    Man Utd Plotting Raid On Chelsea As Mourinho Eyes Reunion

    But despite Herrera's chief role as a stifler, he created United's seventh-minute opener, albeit in contentious circumstances. The teenager was among the players who earned praise from the Manchester United boss after beating Chelsea .
    United Airlines changes policy after 'horrific' passenger ordeal

    United Airlines changes policy after 'horrific' passenger ordeal

    Dao wants the world to know that they are very appreciative of the outpouring of prayers, concern and support they have received". Schmerin said the airline is continuing a review process and will share "additional concrete actions we will take by April 30".
  • Motorola working on smartphone dubbed as Moto X

    Motorola working on smartphone dubbed as Moto X

    According to this leaked image, the phone is expected to come with the dual camera setup along with a dual-LED flash on the rear. MOTO Z PLAY and this will definitely get the Android 7.1.1 update as this news is confirmed by MOTOROLA itself.

    UN votes to close, replace Haiti peacekeeping mission

    Haiti suffered a two-year political crisis until the recent election and inauguration of Moise as president. The mission started in 2004 amid unrest following the removal of President Jean-Bertrand Aristide.
    Two Cong leaders join BJP ahead of Delhi civic polls

    Two Cong leaders join BJP ahead of Delhi civic polls

    Some of these announcements made on Wednesday for MCD polls mirror the AAP's promises made during the Delhi Assembly polls.

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.