Crude oil closed slightly higher, tracking rising global equity markets after positive factory data out of the US. However, major gains were limited with
However the pipeline issue continued to put pressure on crude prices which has led to high inventory levels at the delivery point. The upside was limited due to weak euro zone data for manufacturing activity which raised concerns of demand from the region. Yesterday, PMI data showed a decline throughout the eurozone except in Germany, while the UK PMI tumbled also.
Crude oil supplies were up 4.7mn barrels, gasoline inventories dropped by 5mn barrels and distillate stockpiles fell by 1.85mn barrels, a per API report. Crude oil is trading at 96.67 down over 50 cents this morning. The Energy Administration weekly report (EIA) is expected to show an increase of 1.5 million barrels.
Japan is offering to sell a total 700,000 kiloliters, or about 4.4 million barrels, of crude from the government’s Strategic Petroleum Reserves, aiming to replace them with other grades, a tender document from the trade ministry showed on Tuesday.
Gasoline stocks independently held in Europe’s Amsterdam-Rotterdam Antwerp hub rose this week by 8.25 percent to 1 million tons as traders switch to summer-grade product, data from Dutch oil analyst Pieter Kulsen showed.
Libya’s crude oil exports totaled 41.966million barrels in February, state energy firm the National Oil Corporation (NOC) said yesterday. While in Brazil output of oil and natural gas fell for the 11th straight month in February as repairs to existing platforms in the country’s main producing region put wells out of service, Brazil’s petroleum regulator, the ANP, said
Natural gas futures declined on NYMEX, as forecasts showed that chilly weather in the eastern US this week will give way to rising temperatures and higher heating demand. Natural gas is trading at 3.978 gaining 18 pips this morning recovering some of yesterday’s declines. U.S. natural gas futures ended lower pressured by prospects that milder weather next week, will finally bring an end to heating season demand. Traders can expect prices to go down further as the receding winter season is likely to hurt the demand and pressure prices.