Monday, 18 March, 2019

Oil prices rally amid OPEC-led output cut deal, falling U.S. inventories

Oil prices down despite Saudi export cuts Goldman cuts 2019 crude price view; sees recovery from current levels
Russell Knight | 09 January, 2019, 08:41

Saudi-led OPEC and Russian Federation agreed on December 7 to curb their total crude oil production by 1.2 mbpd beginning on January 1 for six months, but the plan so far has had little impact on crude prices.

Oil futures have gained about 10 percent since last Monday.

American benchmark West Texas Intermediate was at $48.55 a barrel at the same time and saw a 0.4 percent loss having closed Monday at $48.76 per barrel.

International Brent crude futures gained 55 cents to $57.88 per barrel by 0945 GMT.

"Momentum is coming back into the market from very depressed price levels", Petromatrix strategist Olivier Jakob said. Investor confidence is growing as the Organization of Petroleum Exporting Countries and it allies start their pledged production cuts this month, led by Saudi Arabia.

Apicorp noted that the cuts to production undertaken by Opec and allies may not be sufficient to balance the market, which may see build up of inventory levels, particularly as United States shale is expected to top 12 million bpd during the second half of the year.

Moody's also raised similar concerns about the effectiveness of Opec's output cuts and ability to maintain compliance this year, as the reduction comes after already record-high production by Saudi Arabia and Russian Federation.

Uber shootings: Driver pleads guilty to six murders
A former Uber driver who claimed he was being controlled by the app through his mobile phone has pleaded guilty to murdering six people.

U.S. destroyer sails in disputed South China Sea amid trade talks
The warship, he said, had violated Chinese and worldwide law, infringed on Chinese sovereignty and undermined peace and stability. Ross said there was a "very good chance" of reaching an agreement, although monitoring compliance would present a challenge.

Sears Takeover Bid Fails, Asks Bankruptcy Judge To Liquidate
If Sears doesn't accept the bid, it will likely have to ask the court for permission to start shutting down the business. In recent years, Toys "R" Us, RadioShack and Sports Authority have followed that path to the graveyard.

Rising production from North American shale basins, particularly the USA, which surged past 11 million bpd in August, outpaced sovereign producers Saudi Arabia and Russian Federation and was one of the factors behind the market's oversupply, the report said.

Because of record US crude oil production C-OUT-T-EIA of 11.7 million bpd, American fuel stockpiles are rising, according to weekly data by the Energy Information Administration (EIA). In fact, the continuous low price of oil is depicting a weaker economy of the world and the surging U.S. production.

Supporting Ritterbusch's observations was news from Genscape that USA crude inventories at Cushing, Oklahoma fell by 565,000 barrels from last Tuesday to Friday.

PRICE Futures Group senior analyst Phil Flynn on the outlook for oil prices and the impact on the USA soybean market from the tariff tensions with China.

"The oil market is still pricing in a sharp slowdown in global growth despite our economists' forecast for resilient growth and robust late-2018 oil demand data", the investment bank said. Shares have risen on expectations that trade talks this week between the United States and China will ease the trade war. As oil is one of the most important aspects of the economic growth and graph, the global stocks are witnessing a roller coaster ride.

Goldman said the cuts would result in a gradual increase in spot crude prices in 2019 as high inventories revert to their 5-year averages.

Recommended

Local leader of German far-right party attacked, wounded Local leader of German far-right party attacked, wounded The AfD's entry into parliament in September 2017 with 13 percent of the vote unleashed a political natural disaster in Germany. The mayor was known for voluntarily taking in more asylum-seekers than the small town was obliged to do so by authorities.

Meet the Fiji water girl who went viral at the Golden Globes Meet the Fiji water girl who went viral at the Golden Globes She told Glamour that she found the whole experience hilarious, albeit being confused and overwhelmed with the attention. But this wasn't the first time the brand has worked with models in a similar fashion.

Mueller Believes Manafort Shared 2016 Polling Data With Alleged Russian Intel Agent Mueller Believes Manafort Shared 2016 Polling Data With Alleged Russian Intel Agent The latest allegations further detail how Manafort's work on the campaign intersected with his past global work with Kilimnik. While the redactions don't specifically mention the Trump campaign by name, they do mention the "2016 presidential campaign".

Prowler Licks Doorbell for 3 Hours Prowler Licks Doorbell for 3 Hours Robert Daniel Arroyo faces charges including prowling after police say he spent about three hours licking and milling around the family's yard.

#SaveRahaf: Activists' lightning campaign made Saudi teen's flight a global cause #SaveRahaf: Activists' lightning campaign made Saudi teen's flight a global cause Saudi Arabia's human rights record has been under heavy scrutiny since the murder of journalist Jamal Khashoggi late a year ago . She used a Canadian tourist's phone to send a message, a video of which was posted to Twitter, saying her family would kill her.

Controversial plan to bring staff back to national parks Controversial plan to bring staff back to national parks Since then, the state has spent $55,000 to help Zion , Bryce Canyon and Arches national parks open through the end of the year by paying for minimal staffing.

Trump Supporter Arrested At Storm Lake Elizabeth Warren Campaign Event Trump Supporter Arrested At Storm Lake Elizabeth Warren Campaign Event Speaking without notes, she refined her stump speech and took audience questions with the enthusiasm of a social studies teacher. Asked about the DNA test she took previous year , Warren said she understands the difference between citizenship and ancestry.

Intel's 9th Gen Core processors headed to laptops in Q2 2019 Intel's 9th Gen Core processors headed to laptops in Q2 2019 Lakefield is a new 10nm client platform from Intel that features a hybrid CPU leveraging Intel's Foveros 3D packaging technology. In October, Intel launched the first set of the 9th Gen Core desktop processors , including the Intel Core i9-9900K processor.

Resident Evil 2 demo coming Thursday, on a timer Resident Evil 2 demo coming Thursday, on a timer The Resident Evil 2 Remake demo is a limited time offering but features an exclusive trailer for those who complete it. Interestingly, completing the demo also reveals a new cinematic trailer , but you have to make it in time.

Russian Lawyer Veselnitskaya Charged With Obstruction of Justice in US Russian Lawyer Veselnitskaya Charged With Obstruction of Justice in US Russian authorities took a different course and later accused him of having participated in the fraud scheme himself. Officials have confirmed Ms Veselnitskaya is now wanted by the US Attorney's Office in NY .

Bruce Arians, former Jets coach Todd Bowles reuniting in Tampa Bay Bruce Arians, former Jets coach Todd Bowles reuniting in Tampa Bay Bear in mind that Arians did have two hospital stays during his time as head coach of the Cardinals. It was a precautionary step Glazer said he's never heard a team take before.

Democrats demand TV rebuttal time to Trump's Tuesday address Democrats demand TV rebuttal time to Trump's Tuesday address US President Donald Trump is set to argue that an immigration "crisis" requires his long-promised wall along the Mexican border. While Trump has frequently painted a picture of an "unprecedented crisis" of illegal immigration at the U.S.

Protests in India's Assam to grant citizenship to religious minorities, except Muslims Protests in India's Assam to grant citizenship to religious minorities, except Muslims We will see when the time comes, but as of now, we have made our stand clear that we are not supporting the Bill". The AASU declined to be part of the committee until the Citizenship (Amendment) Bill 2016 is scrapped.

India want wins to preserve Test cricket India want wins to preserve Test cricket Paine, however, walked away with positives as well from the series ahead of the two-Test series against Sri Lanka at home. Meanwhile, Kumble had also said that this was India's biggest chance to beat Australia in their own den.

Samsung Flags First Profit Drop in 2 Years on Weak Chip Demand Samsung Flags First Profit Drop in 2 Years on Weak Chip Demand DRAMeXchange anticipates memory chip prices to fall 10 percent on an average in the first quarter of 2019. Apple's surprise cut to its sales forecast last week suggested a worsening outlook for orders for Samsung.