Huge drop in stockpiles spurs oil prices higher

26 August, 2018, 20:50 | Author: Corey Lynch
  • Latest US crude oil sentiment data

Benchmark Brent crude oil LCOc1 was down 30 cents a barrel at $74.48 by 0825 GMT.

A weaker U.S. dollar makes oil, which is priced in dollars, less expensive to buyers in other currencies.

As the result of these sanctions, Iranian oil exports are forecast to fall by between 700,000 to 1 million barrels per day, a range consistent with the 2011 sanctions, when Iranian exports fell by 900,000 barrels per day.

Despite the logistics changes, China, the largest Iranian oil buyer, has said it won't halt purchases as requested by the U.S. India, the second biggest purchaser of Iranian crude, has also adapted to the changes, contracting NITC to carry and deliver its supplies.

At the same time, concerns about global crude supply intensified with signs that US sanctions on Iran are curbing shipments. USA light crude was 60 cents higher $68.43, heading for a gain of 3.8 percent this week.

"This week's report was bullish for crude", said Societe Generale oil analyst Michael Wittner. Saudi Arabia told Opec it cut supply in July, rather than increasing output as expected.

The strength of the greenback has an inverse relationship to the price of crude oil.

Still, the incendiary media headlines that have stoked these fears don't exactly correlate to the economic declines the trade war is expected to cause: Moody's Investor Service said, "These [overall] measures are expected to shave up to 0.3-0.5 percentage points from China's real GDP growth in 2019; for the USA trade restrictions will trim off about one quarter of a percentage point from real GDP growth to 2.3 percent in 2019".

Over the past four weeks, crude oil imports averaged 8.05 million barrels per day, 2.2 percent lower than the same four-week period previous year. For this month so far, Brent is trading at a premium of $6.73 on the West Texas Intermediate.

Giovanni Staunovo, a commodity analyst and chief investment officer at Swiss bank UBS, said in response to questions emailed from UPI that API is the main driver behind the rally this morning, though official data from the U.S. Energy Information Administration could make or break the rally. Workers at Total SA's North Sea oil and gas fields will go ahead with scheduled strikes after talks broke down.

Oil markets were steady on Friday as the unresolved trade dispute between Washington and Beijing muted activity.



Authorities Finds Smuggling Tunnel Under Arizona KFC | Sinaloa | Yuma | arizona
A search of Lopez's property, including the vacant building where the KFC was previously located, exposed the cross border tunnel. Officials believe the tunnel between San Luis, in Arizona, and San Luis Río Colorado, in Sonora, was used for smuggling drugs.

Hampshire family's joy as charity worker is reunited with daughter in Iran
Adorable pictures released by the "Free Nazanin" campaign show Mrs Zaghari-Ratcliffe beaming as she holds her daughter. Richard Ratcliffe thanked Foreign Secretary Jeremy Hunt, who recently took over from Johnson as foreign secretary.

Arsenal off the mark after beating turgid West Ham
One major blow for West Ham was the injury scares to star duo Arnautovic and Michail Antonio, who both had to go off early in north London.

Smoke in Clark County to start clearing, but current conditions bad
The smoky pollution, even in Colorado, came from wildfires in British Columbia and the Cascade Mountains in the Northwest. The hazardous smog has been worse than in Beijing this week, where air quality levels are notoriously bad.

Cabinet, party room supportive: Turnbull
Commenting on the day's events, Shorten said: "Australia has a prime minister in name only - without power, without policies". Were you anticipating a challenge from Greg Hunt? Mr Dutton was just seven votes short of being Australia's Prime Minister.

Economy, Not EPA Proposed Coal Rules, To Drive Electricity Production In Kansas
The Clean Power Plan had a goal of cutting carbon emissions 32 per cent below 2005 levels by 2030. Tuesday's EPA announcement opens a 60 day public-comment period before finalization.

Samsung's Android Go Device Galaxy J4 Core Arrives on Geekbench
As of now, there is no lead on the release date of Galaxy J4 Core or other such Android Go device from the Korean OEM. This is also one of the biggest features of the phone after the bigger display, bigger storage and dual rear camera.

Giuliani Tries To Clean Up 'Truth Isn't Truth' Comment
The outreach was being conducted, that first email said, "as part of Russian Federation and its government's support for Mr. But in explaining why Trump should worry about telling the truth, Giuliani questioned the existence of truth itself.

Omarosa Says Trump Might Revoke Melania's Citizenship if Things Go Sour
She made it up. "There are 30 assistants to the president right now and there are none representing the African-American community".

Trump asks SEC to look into practicality of corp
Last fall it laid out changes to capital market rules in a US Treasury report, but did not advocate scrapping quarterly reporting. Trump said he had consulted "some of the world's top business leaders" on steps to create jobs and make business "even better".