Oil supported as new hedges placed, but higher supplies weigh
06 August, 2018, 11:36 | Author: Kevin Carter
The U.S. Energy Information Administration (EIA) on Wednesday reported a large build in crude oil inventories and a production decline in the week ending July 27.
"Venezuela's ticking time bomb together with the return of Iran's oil industry to the sanctions era has all the makings for a major supply shock", Stephen Brennock, oil analyst at PVM Oil Associates, said in a research note published Friday.
Additionally, Russia appears to have increased its production in line with OPEC's decision in late June to increase its output, with its crude and condensate production increasing 1.4% last month to 11.215 million b/d, the energy ministry said yesterday.
Brent crude, the global benchmark, was up 0.2% at $73.61 a barrel on London's Intercontinental Exchange. USA crude futures slumped last month by the most in two years, and traded just below $68 a barrel on Wednesday on the New York Mercantile Exchange.
USA nonfarm payrolls rose in July, but the US trade deficit recorded its biggest increase in more than 1-1/2 years in June as the boost to exports from soybean shipments faded and higher oil prices lifted the import bill.
Meanwhile, Opec's July output climbed as Saudi Arabia pumped near-record volumes and Russian Federation boosted production to levels not seen since it joined the cartel in a coordinated cut two years ago.
Crude oil production from the Organisation of Petroleum Exporting Countries increased last month as Saudi Arabia pumped near-record volumes to make good on a pledge to consumers that demand would be met.
USA crude inventories rose 3.8 million barrels last week, according to data from the Energy Information Administration.
On Monday, August 6, the first set of USA sanctions on Iran will snap back, so we will be probably looking at tougher actions over August and September, Croft said. But a complete halt to Iranian supplies looks unlikely with Bloomberg reporting on Friday that China, Iran's biggest customer, has rejected a U.S. request to cut imports from the oil cartel Opec member. China's Unipec, the trading arm of Sinopec, has suspended crude oil imports from the United States due to the growing trade spat between Washington and Beijing, three sources familiar with the situation said on Friday.
Hedge funds and other money managers cut their bullish USA crude bets in the latest week, as oil prices were range-bound, pinned between concerns about tight supply due to sanctions and fears that trade disputes could curb demand.
The kingdom has been under acute pressure from President Donald Trump to open the taps as he chokes off exports from Saudi's political rival, Iran.
"There are a lot of escalation points that could occur very quickly and that worries me", Jonathan Barratt, chief investment officer at Ayers Alliance in Sydney, said. After Trump called for a 15 percent increase in tariffs on Chinese goods earlier this week, Beijing on Friday announced it was targeting $60 billion worth of USA goods in response.
That compares with a forecast for a 3-million-barrel decline in a Bloomberg survey of analysts.
In response to the earlier reports of the move, Chinese Foreign Ministry spokesman Geng Shuang decried the tactics as "extortion". President Trump wants to reduce this deficit and has planned to implement tariffs against certain Chinese imports.
They have had to be patient, but it looks like Liverpool midfielder Naby Keita may have been worth the wait. "But they've got to, not just get out of the group stage, but get one or two rounds further in".
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US Secretary of State Mike Pompeo and Turkish Foreign Minister Mevlut Cavusoglu agreed on Friday to try to resolve a. White House spokesperson Sarah Sanders played down Trump's tweet later Wednesday. "It's not an order.
In the span of just under a minute, the gentleman can be seen nearly daring the bison to charge him, which it appeared to do. Superintendent Dan Wenk is quoted as saying: "The individual's behavior in this video is reckless, dangerous, and illegal".
English also explained that by shopping local the sales bump up sales tax, which brings in even more businesses to the area. The tax exemption applies to parents' back-to-school shopping for their kids, and for teachers stocking their classrooms.
Heidi Heitkamp , D-N.D., for co-sponsoring legislation that rolled back Dodd-Frank regulations, and attacking Rep. In a separate tweet, Trump argued that he "made them richer" and that the Koch network "is highly overrated".
The ailing Jobs handed the corporate reins to his chief lieutenant, Cook, in 2011. "A clean beat on the path to $1 trillion". That would put Apple's stock market value at $973 billion, based on its newly disclosed number of shares.
Alastair Cook out early as England bat first against India
The first ever English captain was James Lillywhite, who led the team in the first two Test matches against Australia in 1877. This was after England finished their first innings at 287 with Mohammed Shami (3/64) taking the final wicket.
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It also reported that the satellite images showed vehicles moving in and out of the factory, but not any missile construction. Trump, who met with Kim in Singapore on June 12, declared North Korea was no longer a nuclear threat to America the next day.