Friday, Aug 14, 2020 | Last Update : 03:10 PM IST

142nd Day Of Lockdown

Maharashtra54831338184318650 Tamil Nadu3145202563135278 Andhra Pradesh2641421709242378 Karnataka1964941126333511 Delhi1494601343184167 Uttar Pradesh140775887862280 West Bengal98459671202059 Telangana8647563074665 Bihar8274154139450 Gujarat71064542382652 Assam5883842326145 Rajasthan5249738235789 Odisha4592731785321 Haryana4163534781483 Madhya Pradesh3902529020996 Kerala3811424922127 Jammu and Kashmir2489717003472 Punjab2390315319586 Jharkhand185168998177 Chhatisgarh12148880996 Uttarakhand96326134125 Goa871259575 Tripura6161417641 Puducherry5382320187 Manipur3752204411 Himachal Pradesh3371218114 Nagaland30119738 Arunachal Pradesh223115923 Chandigarh1595100425 Meghalaya11154986 Sikkim9105101 Mizoram6203230
  Business   Market  06 Mar 2019  Oil falls on rising US production, stockpile build

Oil falls on rising US production, stockpile build

REUTERS
Published : Mar 6, 2019, 10:31 am IST
Updated : Mar 6, 2019, 10:31 am IST

International Brent futures were down 55 cents, or 0.8 percent, at USD 65.31 a barrel.

US crude inventories rose by 7.3 million barrels in the week ending March 1 to 451.5 million.
 US crude inventories rose by 7.3 million barrels in the week ending March 1 to 451.5 million.

Sydney: Oil prices fell nearly 1 per cent on Wednesday as bullish output forecasts by two big US producers and a build in US crude stockpiles outweighed ongoing OPEC-led efforts to rein in crude production.

International Brent futures were down 55 cents, or 0.8 percent, at USD 65.31 a barrel at 0209 GMT.

 

US West Texas Intermediate (WTI) crude futures were at USD 56.05 per barrel, down 51 cents, or 0.9 per cent.

“Oil is likely to play ‘tug of war’ here, with production cut promises to be countered with rising output from the US,” said Edward Moya, senior market analyst, OANDA. 

Chevron Corp and Exxon Mobil Corp released duelling Permian Basin projections on Tuesday pointing to big increases in shale oil production.

If realised, the increases would cement the rivals as the dominant players in the West Texas and New Mexico field, with one-third of Permian production potentially under their control within five years.

Data from the American Petroleum Institute (API), an industry group, also showed larger-than-expected US crude stockpiles.

 

US crude inventories rose by 7.3 million barrels in the week ending March 1 to 451.5 million, compared with analysts’ expectations for an increase of 1.2 million barrels, API said. Crude stocks at the Cushing, Oklahoma, delivery hub rose by 1.1 million barrels.

“An increase in US crude inventories is weighing on oil prices and in the long term, concerns over rising oil production in the Permian region is keeping a lid on prices,” said Kim Kwang-rae, commodity analyst at Samsung Futures in Seoul.

Official data from the US Department of Energy’s Energy Information Administration is due later on Wednesday.

The rise in North American production undermines supply cut efforts led by the Organization of Petroleum Exporting Countries (OPEC).

 

OPEC and its allies pledged to curb output by 1.2 million barrels per day, and they are likely to push back their decision whether or not to extend the output cut agreement to June from April, according to sources.

Meanwhile, the market is looking for further signs that the United States and China are making progress in talks to resolve their trade conflict.

US Secretary of State Mike Pompeo said President Donald Trump would reject any trade deal that is not perfect, but added the White House would keep working on an agreement.

Tags: oil price, crude oil, opec, oil import, brent crude
Location: Singapore, , Singapore