Economy

United States crude closes at highest level since 2015

United States crude closes at highest level since 2015”

Oil prices have been on the rise ever since the Oil of the Petroleum Exporting Countries (OPEC) announced it has plans to extend its 1.8 million barrels per day (BPD) cap to the end of 2018, a deal which could be finalised between de facto leader Saudi Arabia and Russian Federation in Vienna on 30 November.

"In just a few years, EVs have gone from being completely unaffordable, impractical and not particularly nice, to representing a valid option for a niche pool of customers", OPEC said in the report.

Vandana Hari, a market analyst and founder of Vanda Insights, said in a weekend report emailed to UPI that a slight dip in USA production, OPEC discipline and a steady rise in global demand means the floor price for Brent crude oil is probably now around $55 per barrel.

"Moreover, global oil demand is estimated to plateau around this level in the second half of the 2030s", OPEC said.

The producers are in the process of inviting other countries to the November 30 meeting, OPEC's Mohammad Barkindo told reporters on Tuesday, with a view to joining the deal.

OPEC and rivals including Russian Federation have been cutting output in 2017 to clear a glut.

If OPEC ministers delay or dilute a decision on the production cuts, that could reignite oversupply fears and shave as much as $5 per barrel off the price for Brent crude oil, she said. While up from 32.70 million bpd in 2016, the 2019 figure is down from 33.70 million bpd forecast in last year's report.

OPEC raised its forecast for the supply of tight oil, which includes US shale.

But OPEC obviously thinks demand will keep rising. The Brent managed to hit a massive $65 in midday trading, the highest level since June of 2015. That could be telling as ministers from OPEC sit down later this month to discuss the fate of their multilateral production deal, which helped pull oil prices from last year's historic lows.

Global output of tight oil will reach 7.0 million bpd by 2020 and 9.22 million bpd in 2030, the report said, as Argentina and Russian Federation join North America as producers.

Brazil, which produces 2.65 million barrels of crude per day (bpd), by law can not control output.

Market watchers were looking ahead to weekly energy data from the American Petroleum Institute at 4:30 p.m. EDT (2030 GMT), which was forecast to show a drawdown in crude and product inventories for last week.



Like this

loading...
loading...

Latest


07 November 2017
Global Gas Tank Container Market 2017- Hitachi, FURUISE , Uralcryomash, Corban Energy Group
This report additionally presents product specification, producing method, and products cost structure. High Use of Gas Tank Container in Machines Industry Driving the Market Growth of Gas Tank Container.

07 November 2017
Buffalo Wild Wings Inc (NASDAQ:BWLD) Quarterly Sentiment Report
It increased, as 2 investors sold SFST shares while 13 reduced holdings. 48 funds opened positions while 68 raised stakes. The Company's divisions include design and consulting services, construction services (CS) and management services (MS).

07 November 2017
New Jersey Governor's Race Candidates Making Final Push
Kim Guadagno (gwah-DAH'-noh) arrived at her polling place in Monmouth Beach Tuesday with her family aboard her campaign bus. Murphy is a former Goldman Sachs executive and Obama administration ambassador to Germany.

07 November 2017
Mom says teacher threatened 'to put a bullet' in her son's head
Carr admits her son should have been paying attention, but thinks the teacher could have handled the situation better. Pictured, Paul Hagan Atlanta physics teacher at Georgia's Rockdale Career Academy .

07 November 2017
Dallas Cowboys vs. Atlanta Falcons: Odds, Analysis, NFL Betting Pick
Normally, that kind of situation brings out the best in teams, but I'm not too confident with how Atlanta will react. Three of the four losses have been by one score, though, and the Falcons certainly are expecting a second-half run.

07 November 2017
Who made cut for Major League Baseball award finalists | Yankees up for 3
ET over four nights, beginning with the AL and National League Rookie of the Year Awards on November 13. He also led the league with 128 runs, and ranked second in RBI (114) and on-base percentage (.422).

07 November 2017
Sponsored video posted to school website in hack
The company has added more protections and is requiring users of its websites to reset their passwords. School districts in Virginia, Connecticut, Louisiana and New Jersey were affected in the attack.

07 November 2017
100 indicted in large-scale drug trafficking ring
Authorities are calling the investigation Operation Big Oak (Breaking Into Gangs/Opiate Addiction Knockdown). As of noon Tuesday, 24 people are in custody.

07 November 2017
South Africa To Investigate Tax Service After Zuma's Approval
While the full terms of reference are not yet clear, Gigaba said that tax morality and institutional issues around governance will be core to process.

07 November 2017
Cora says opportunity to manage Red Sox is a return home
But Cora vows not to overuse the numbers. "At the end of the day in this city, everybody wants to win a world championship". To wit: Cora noted his longstanding relationship with Carlos Beltran , the Astros' 40-year-old designated hitter.