Oil steady after US stockpile build, Saudi Arabia price cuts
LONDON: Oil prices steadied on Thursday after falling more than one per cent the previous day because of a build in US gasoline and diesel inventories and cuts to Saudi Arabia's July prices for Asia.
Brent crude futures were up 23 cents, or 0.35 per cent, at US$65.09 a barrel by 1148 GMT. US West Texas Intermediate crude gained 16 cents, or 0.25 per cent, to US$63.01 a barrel.
Oil prices closed around one per cent lower on Wednesday after official data showed that US gasoline and distillate stockpiles grew more than expected, reflecting weaker demand in the world's largest economy.
Geopolitics and the Canadian wildfires, which can reduce oil production, provide price support despite a potentially over-supplied market in the second half of the year with expected OPEC+ production hikes, PVM analyst Tamas Varga said.
Adding to the weakness, Saudi Arabia, the world's biggest oil exporter, cut its July prices for Asian crude buyers to nearly the lowest in two months.
The price cut by Saudi Arabia followed the OPEC+ move over the weekend to increase output by 411,000 barrels per day (bpd) for July.
The strategy of OPEC's de facto leader Saudi Arabia is partly to punish over-producers by potentially unwinding 2.2 million bpd between June and the end of October, in a bid to wrestle back market share, Reuters previously reported.
"Oil demand will be shaped by trade negotiations between the US and its trading partners," PVM's Varga said.
Data on Wednesday showed that the US services sector contracted in May for the first time in nearly a year.
On the trade front, US President Donald Trump said on Wednesday that China's Xi Jinping was tough and "extremely hard to make a deal with", exposing friction between Beijing and Washington.
Investors will watch US economic data such as payrolls, which may influence the US Federal Reserve's interest rate policy, while focus will be also on geopolitical tensions in the Middle East, UBS analyst Giovanni Staunovo said.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Malaysia Sun
2 hours ago
- Malaysia Sun
Brunei receives 678,037 tourist arrivals in 2024
Xinhua 06 Jun 2025, 21:47 GMT+10 BANDAR SERI BEGAWAN, June 6 (Xinhua) -- Brunei recorded 678,037 tourist arrivals in 2024, a local daily reported on Friday. According to Borneo Bulletin, Brunei's Tourism Development Department said out of the 678,037 people, 268,282 visitors arrived by air compared to 133,630 people in 2023. It opens up more opportunities for stakeholders in the tourism industry of the country, officials said.
The Star
4 hours ago
- The Star
Crude climbs on US jobs report, China talks
Brent crude futures settled at US$66.47 a barrel, up US$1.13, or 1.73%. US West Texas Intermediate crude finished at US$64.58, up US$1.21 or 1.91%. HOUSTON: Crude rose more than US$1 a barrel on Friday, posting its first weekly gain in three weeks after a favorable US jobs report and resumed trade talks between the US and China, raising hopes for growth in the world's two largest economies. Brent crude futures settled at US$66.47 a barrel, up US$1.13, or 1.73%. US West Texas Intermediate crude finished at US$64.58, up US$1.21 or 1.91%. Billed as RM9.73 for the 1st month then RM13.90 thereafters. RM12.33/month RM8.63/month Billed as RM103.60 for the 1st year then RM148 thereafters. Free Trial For new subscribers only
Malaysian Reserve
9 hours ago
- Malaysian Reserve
Above Food Ingredients Inc. Meets Compliance Requirements
REGINA, SK, June 6, 2025 /PRNewswire/ – Above Food Ingredients Inc. (NASDAQ: ABVE) ('the Company'), acknowledges receipt of a formal notification from The Nasdaq Stock Market LLC regarding non-compliance with Listing Rule 5450(b)(3)(C), regarding minimum market value of publicly held shares (PR market value). The company is very pleased that this condition has been met as of May 27, 2025. Furthermore, the Company is very pleased that, as of May 27, 2025, it has met Listing Rules 5810(c)(3)(A) and 5450(a)(1) requirements as well, and the Company is awaiting confirmation from the NASDAQ for Compliance Determination. As of Spring 2025, the Company has made great strides with the restructuring of the operations and its pursuit of maximising shareholder value. Meeting compliance with the NASDAQ listing requirements is another milestone achieved in allowing the company to continue executing on its strategic plan. The Company will continue to inform shareholders of its advancements over the next coming weeks. Above Food Ingredients Inc. (Nasdaq: ABVE ) is an ingredient company that delivers products made with real, nutritious, flavorful ingredients produced with transparency. The Company's vision is to create a healthier world — one seed, one field, and one bite at a time. With a robust chain of custody of plant proteins, enabled by scaled operations and infrastructure in primary agriculture and processing, and proprietary seed development capabilities that leverage the power of artificial intelligence-driven genomics and agronomy, the Company delivers nutritious ingredients to businesses and consumers with traceability and sustainability. This press release may contain 'forward-looking information' within the meaning of the United States federal securities laws and applicable Canadian securities laws. These forward-looking statements generally are identified by the words 'believe,' 'project,' 'expect,' 'anticipate,' 'estimate,' 'intend,' 'strategy,' future,' 'opportunity,' 'plan,' 'may,' 'should,' 'will,' 'could,' 'will be,' will continue,' and similar expressions and include, without limitation, statements about the ability of or expectations regarding the future performance of our business and operations. Forward-looking statements are based on the current expectations of the Company's management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on, by any investor as a guarantee, an assurance, a prediction or a definitive statement of fact or probability. You should carefully consider all of the risks and uncertainties described in the documents filed by the Company with the United States Securities and Exchange Commission, which is available on EDGAR at There may be additional risks that the Company presently does not know or that the Company currently believes are immaterial that could also cause actual results to differ from those contained in forward-looking statements. In addition, forward-looking statements provide the Company's expectations, plans or forecasts of future events and views as of the date of this communication. The Company anticipates that subsequent events and developments will cause the Company's assessments to change. However, while the Company may elect to update these forward-looking statements in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company's assessments as of any date subsequent to the date of this communication. Nothing herein should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results in such forward-looking statements will be achieved. You should not place undue reliance on forward-looking statements in this communication, which speak only as of the date they are made and are qualified in their entirety by reference to the cautionary statements herein.
