Thursday , June 24 2021

Oil rises & # 39; nearly 8% despite talk about cutting production



For the week, Brent fell 11.3% and WTI posted 10.8% decline, the biggest drop & # 39; week of January 2016

For the week, Brent fell 11.3% and WTI posted 10.8% decline, the biggest drop & # 39; week of January 2016.

PHOTO: ARTICLE

For the week, Brent fell 11.3% and WTI posted 10.8% decline, the biggest drop & # 39; week of January 2016.
PHOTO: ARTICLE

BOSTON: The oil price fell almost 8% to the lowest f & # 39; more than a year Friday, and asked the seven & # 39; & # 39 consecutive losses; weekly, f & # 39; range & # 39; & # 39 intensive apprehensions; supply & # 39; glut even as major producers.

The oil supply, headed by US producers, growing b & # 39; faster rate than demand and prevent an increase & # 39; unused fuel like what came out in 2015, the Organization of Petroleum Exporting Countries (OPEC) is expected to cut production after meeting in & # 39; December 6. But that s & # 39; now little to raise prices, which have fallen more than 20 % s & # 39; & # 39 now in, in November, f & # 39; sense & # 39; & # 39 loss; seven days.

The prices were going through the biggest reduction & # 39; their month by the end of 2014. trade war between the two largest economies and oil consumers in the world, the United States and China, considered the market.

Oil hitting the lowest in & # 39; year on concerns about the global surplus growing

"The market is pricing in an economic downturn – are anticipating that the Chinese trade talks will not go well," said Phil Flynn, analyst at Futures Price Group in & # 39; Chicago, and referring to expected talks between the US President direction of Donald Trump and his Chinese counterpart Xi Jinping in the G20 Summit in & # 39; Bus Buenos Aires.

"The market does not believe that OPEC will be able to & # 39; act quickly enough to offset the decline in demand following", said Flynn. The Brent crude futures settled down $ 3.80 a barrel, or 6.1% to $ 58.80. During the session, the point & # 39; refer fell to $ 58.41, the lowest since October 2017. US West Texas Intermediate Crude (WTI) lost $ 4.21, or 7.7%, to trade at $ 50.42, and weaker than in October 2017.

The smuggling & # 39; substandard oil noncommunicable

In the business & # 39; after payment, the contract continued to decline. For the week, Brent and WTI declined 11.3% decrease posted & # 39; 10.8%, the largest drop in & # 39; week of January 2016. The market fears & # 39; on weak demand intensified after China reported its most lower exports of gasoline in & # 39; more than a year among fuel glut in Asia and globally. The stocks & # 39; gasoline rose across Asia, with & # 39; & # 39 in inventories, Singapore, the center & # 39; regional refining, rising to a height of & # 39; three months while Japanese stocks also climbed the last week.

Inventories in the US are around 7% higher than a year ago. The crude production has risen sharply this year.

Published in & # 39; The Express Tribune, 25 & # 39; Novemberth, 2018.

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