61789
Oil Prices Steady
Oil Prices Steady

Oil Prices Steady

Oil Prices Steady

Oil prices steadied on Tuesday as a rebound in Libyan crude production balanced expectations of a draw in US crude oil and product inventories. Benchmark Brent crude oil was up 25 cents at $53.37 a barrel. US light crude oil was 25 cents higher at $50.49 a barrel, Reuters reported.
Both benchmarks recovered from four-month lows last week on expectations that the Organization of Petroleum Exporting Countries would manage to tighten supply by cutting production under a deal agreed at the end of last year.
But global inventories remain stubbornly high and investors are betting that it will take many months for oil prices to respond convincingly to lower OPEC output.
"Libya's gain means oil market pain," said Tamas Varga, senior analyst at London brokerage PVM Oil Associates. "Along with figures showing US drillers added rigs for the 11th week in a row, the pullback in oil prices was spearheaded by a rebound in Libyan oil production."
Libya's crude output increased after state-owned National Oil Corp lifted a force majeure on loadings of Sharara oil from the Zawiya terminal in the west of the country, sources familiar with the matter told Reuters.
But demand is picking up ahead of summer in key markets, including the United States, where analysts forecast industry data this week will show a fall in oil inventories. UBS analyst Giovanni Staunovo said OPEC was taking longer than expected to tighten the oil market but recent data suggested the process was under way in earnest.
"We believe the implemented production cuts will trigger a material drawdown in OECD oil inventories and thus higher crude oil prices," Staunovo said. "We expect Brent oil prices to rise above $60 a barrel in three months."

 

Short URL : https://goo.gl/wOXBwy
  1. https://goo.gl/uQ5kNw
  • https://goo.gl/B2Qwnv
  • https://goo.gl/PWKJEK
  • https://goo.gl/QTJZa9
  • https://goo.gl/AOvVz5

You can also read ...

Technology and big data will change how electric grids are...
The Central Asian country is particularly interested in methanol-to-olefin projects.
Uzbekistan is willing to have a stake in Iran's petrochemical...
South Pars gas supply equipment
Iran has exported 5.4 billion cubic meters of natural gas to...
Poles Looking to Extract Crude in Kermanshah
The National Iranian Oil Company is studying the development...
Gazprom Speaks Out Against OPEC Output Cut Extension
While OPEC is said to be mostly leaning toward a nine-month...
India Eyes Venezuelan Oil Import
Indian Oil Corp is considering buying Venezuelan crude for the...
US Crude Hits 2-Year High
Oil prices spiked on Wednesday with US light crude hitting...

Add new comment

Read our comment policy before posting your viewpoints

Image CAPTCHA
Enter the characters shown in the image.

Trending

Googleplus