Latest news with #LiquidityEnergy
Gulf Business
a day ago
- Business
- Gulf Business
Oil prices rise on strong demand signals ahead of OPEC+ decision
Oil prices edged higher on Tuesday as investors took stock of positive demand indicators, while also treading cautiously ahead of an OPEC+ meeting to decide the gro up 's August output policy. Brent crude LCOc1 settled up 37 cents, or 0.6 per cent, at $67.11 a barrel, while US West Texas Intermediate crude CLc1 settled 34 cents higher, or up around 0.5 per cent, at $65.45 a barrel. The gains were likely due to s up portive data from a private-sector survey in China, which showed factory activity oil brokerage Liquidity Energy. Expectations that Saudi Arabia will raise its August crude oil prices for buyers in Asia to a oil were also s up porting the notion of robust demand , Rothenberg said. Oil 's gains were kept in check by expectations that the OPEC+ gro up will boost its August crude oil output by an amount similar to the outsized hikes agreed in May, June, and July. Four OPEC+ sources told Reuters last week the gro up plans to 'All eyes will be on OPEC+'s decision over the weekend, when the gro up is expected to add another 411,000 bpd of production in an effort to gain more market share, primarily over the US shale producers,' StoneX energy analyst Alex Hodes told clients. Besides gaining market share from US shale producers, which pumped oil at a up has also been trying to punish overproducing members. OPEC+ member Kazakhstan, one of the world's 10 largest oil producers, raised oil production last month to match an Saudi Arabia, the de facto leader of the OPEC+ gro up , raised its June crude oil exports to the fastest rate in a year, data from Kpler showed. 'These exports are flooding out even faster than the OPEC+ deal implies during the summer, when peak domestic demand typically keeps oil s up plies closer to home,' Hodes said. In the US, crude oil inventories rose by 680,000 barrels in the past week, according to sources citing figures from the American Petroleum Institute. Official data from the Energy Information Administration is due Wednesday at 10:30 a.m. ET. API/S Trump and tariffs Investors are also watching trade negotiations ahead of US President Donald Trump's tariff deadline of July 9. Trump on Tuesday said he is not thinking of extending the deadline. A trade deal with India was Bessent also warned countries could be notified of The European Union wants immediate
Economic Times
a day ago
- Business
- Economic Times
Commodity Radar: After a 12% crash, is crude oil set for a steeper slide? 3 key indicators to watch
Crude oil prices traded in a narrow range on Wednesday ahead of a crucial OPEC+ meeting, where the cartel is expected to decide in favour of boosting oil output in August. Prices were mildly up as investors took note of positive demand indicators. ADVERTISEMENT Supportive data from a private-sector survey in China showed factory activity returned to expansion in June, according to a Reuters report quoting Randall Rothenberg, a risk intelligence expert at U.S. oil brokerage Liquidity Energy. Meanwhile, OPEC+ is expected to raise oil output by 411,000 barrels per day when it meets on Sunday, July 6. Crude oil prices have seen significant declines due to easing tensions in the Israel-Iran conflict. The tensions had triggered a massive surge in the geopolitical premium of oil, with both Brent and WTI rising approximately 12–13% week-on-week. While Brent peaked at about $81.40, WTI reached near $77.62. 'Crude oil markets saw a sharp decline last week, with prices plunging over 12% to $65.52 per barrel, erasing the $10/bbl geopolitical risk premium that had built up during the Israel-Iran tensions,' said Naveen Mathur, Director - Commodities & Currencies at Anand Rathi Shares and Stock Brokers. He added that a surprise ceasefire agreement between the two nations calmed market fears and quickly shifted focus back to weak global fundamentals. While OPEC+ supply hikes and clean energy trends weigh on sentiment, falling inventories and rigs may cushion the decline. All eyes are now on OPEC+, U.S. data, and China, Mathur added. ADVERTISEMENT Despite a significant drop in U.S. crude inventories and tightening supplies at the Cushing hub, bearish sentiment prevailed as structural oversupply concerns sees the expected increase in oil output as a setback for oil prices. It will mark the fifth consecutive monthly hike. ADVERTISEMENT 'While actual production has lagged behind announced targets, the signal of rising supply is weighing on sentiment. At the same time, both the IEA and EIA have slashed their 2025 global oil demand forecasts to 720,000 bpd and 800,000 bpd, respectively, citing a slowdown in consumption driven by the clean energy transition,' Mathur ADVERTISEMENT Restricting sharp fall in the prices is the continuous drawdown in the US crude oil inventories amid the summer travel demand season. Meanwhile, U.S. rig counts continued their downward trend, falling for a fourth straight month to the lowest since October 2021—an early indicator of potentially tightening future prices may stay under pressure in near term as fading geopolitical risk and rising OPEC+ supply weigh on sentiment, the Anand Rathi expert opines. ADVERTISEMENT Meanwhile, drawdowns in inventories, declining US rig counts, and potential demand recovery from Asia could limit downside, he added. MCX Crude Oil is displaying a bearish trend as it trades below the 200-Daily Moving Average (DMA) at 5,870. The price is currently near a significant resistance level at 5,750, and failing to break above this could trigger further down side momentum. Key resistance levels are seen at 5,750, 5,870, and 6,000, while support is placed at 5,450, 5,360, and 5,280. The RSI indicator continues below the 50 level, indicating sustained momentum and underlying strength. WTI Crude Oil is approaching a crucial zone between $66.50 and $67.50, with $68.40 acting as a strong resistance level. Additional support levels are identified at $63.60, $62.80, and $60.90. Also Read: Commodity Radar: MCX aluminium futures gain on weak dollar. See top triggers, outlook and trading strategy here (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
New Straits Times
a day ago
- Business
- New Straits Times
Oil settles up on signs of strong demand, investors await OPEC+ decision
NEW YORK: Oil prices edged higher on Tuesday as investors took stock of positive demand indicators, while also treading cautiously ahead of an OPEC+ meeting to decide the group's August output policy. Brent crude settled up 37 cents, or 0.6 per cent, at US$67.11 a barrel, while US West Texas Intermediate crude settled 34 cents higher, or up around 0.5 per cent, at US$65.45 a barrel. The gains were likely due to supportive data from a private-sector survey in China, which showed factory activity returned to expansion in June, said Randall Rothenberg, a risk intelligence expert at US oil brokerage Liquidity Energy. Expectations that Saudi Arabia will raise its August crude oil prices for buyers in Asia to a four-month high, as well as firm premiums for Russian ESPO Blend crude oil, were also supporting the notion of robust demand, Rothenberg said. Oil's gains were kept in check by expectations that the OPEC+ group will boost its August crude oil output by an amount similar to the outsized hikes agreed in May, June, and July. Four OPEC+ sources told Reuters last week the group plans to raise output by 411,000 barrels per day next month when it meets on July 6. "All eyes will be on OPEC+'s decision over the weekend, when the group is expected to add another 411,000 bpd of production in an effort to gain more market share, primarily over the US shale producers," StoneX energy analyst Alex Hodes told clients. Besides gaining market share from US shale producers, which pumped oil at a record pace in April, according to official data released on Monday, the group has also been trying to punish overproducing members. OPEC+ member Kazakhstan, one of the world's 10 largest oil producers, raised oil production last month to match an all-time high, a source familiar with the data told Reuters on Tuesday. Saudi Arabia, the de facto leader of the OPEC+ group, raised its June crude oil exports to the fastest rate in a year, data from Kpler showed. "These exports are flooding out even faster than the OPEC+ deal implies during the summer, when peak domestic demand typically keeps oil supplies closer to home," Hodes said. In the US, crude oil inventories rose by 680,000 barrels in the past week, according to sources citing figures from the American Petroleum Institute. Official data from the Energy Information Administration is due Wednesday at 10.30 a.m. ET. Investors are also watching trade negotiations ahead of US President Donald Trump's tariff deadline of July 9. Trump on Tuesday said he is not thinking of extending the deadline. A trade deal with India was very close, Treasury Secretary Scott Bessent said on Tuesday. Trump also said the US will possibly have a deal with India, but he added that he doubts there will be a deal with Japan. Bessent also warned countries could be notified of sharply higher tariffs despite good-faith negotiations as the July 9 deadline approaches, when tariff rates are scheduled to revert from a temporary 10 per cent level to the ones Trump announced on April 2 and then suspended. The European Union wants immediate relief from tariffs in key sectors as part of any trade deal with the US, EU diplomats told Reuters.
Business Times
2 days ago
- Business
- Business Times
Oil settles up on signs of strong demand, investors await Opec+ decision
[NEW YORK] Oil prices edged higher on Tuesday as investors took stock of positive demand indicators, while also treading cautiously ahead of an Opec+ meeting to decide the group's August output policy. Brent crude settled up 37 cents, or 0.6 per cent, at US$67.11 a barrel, while US West Texas Intermediate crude settled 34 cents higher, or up around 0.5 per cent, at US$65.45 a barrel. The gains were likely due to supportive data from a private-sector survey in China, which showed factory activity returned to expansion in June, said Randall Rothenberg, a risk intelligence expert at US oil brokerage Liquidity Energy. Expectations that Saudi Arabia will raise its August crude oil prices for buyers in Asia to a four-month high as well as firm premiums for Russian ESPO Blend crude oil were also supporting the notion of robust demand, Rothenberg said. Oil's gains were kept in check by expectations that the Opec+ group will boost its August crude oil output by an amount similar to the outsized hikes agreed in May, June and July. Four Opec+ sources told Reuters last week the group plans to raise output by 411,000 barrels per day next month when it meets on July 6. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up 'All eyes will be on Opec+'s decision over the weekend, when the group is expected to add another 411,000 bpd of production in an effort to gain more market share, primarily over the US shale producers,' StoneX energy analyst Alex Hodes told clients. Besides gaining market share from US shale producers, which pumped oil at a record pace in April, according to official data released on Monday, the group has also been trying to punish overproducing members. Opec+ member Kazakhstan, one of the world's 10 largest oil producers, raised oil production last month to match an all-time high, a source familiar with the data told Reuters on Tuesday. Saudi Arabia, the de facto leader of the Opec+ group, raised its June crude oil exports to the fastest rate in a year, data from Kpler showed. 'These exports are flooding out even faster than the Opec+ deal implies during the summer, when peak domestic demand typically keeps oil supplies closer to home,' Hodes said. In the US, crude oil inventories rose by 680,000 barrels in the past week, according to sources citing figures from the American Petroleum Institute. Official data from the Energy Information Administration is due Wednesday at 10.30 am ET. Investors are also watching trade negotiations ahead of US President Donald Trump's tariff deadline of July 9. Trump on Tuesday said he is not thinking of extending the deadline. A trade deal with India was very close, Treasury Secretary Scott Bessent said on Tuesday. Trump also said the US will possibly have a deal with India, but he added that he doubts there will be a deal with Japan. Bessent also warned countries could be notified of sharply higher tariffs despite good-faith negotiations as the July 9 deadline approaches, when tariff rates are scheduled to revert from a temporary 10 per cent level to the ones Trump announced on April 2 and then suspended. The European Union wants immediate relief from tariffs in key sectors as part of any trade deal with the US, EU diplomats told Reuters. REUTERS
Business Recorder
2 days ago
- Business
- Business Recorder
Oil rises on signs of strong demand, investors await OPEC+ output decision
NEW YORK: Oil prices edged higher on Tuesday as investors took stock of positive demand indicators, while also treading cautiously ahead of an OPEC+ meeting to decide the group's August output policy. Brent crude was up 18 cents, or 0.3%, to $66.92 a barrel at 11:36 a.m. ET (1536 GMT), while U.S. West Texas Intermediate crude was up 27 cents, or around 0.4%, to $65.38 a barrel. The gains were likely due to supportive data from a private-sector survey in China, which showed factory activity returned to expansion in June, said Randall Rothenberg, risk intelligence expert at U.S. oil brokerage Liquidity Energy. Expectations that Saudi Arabia will raise its August crude oil prices for buyers in Asia to a four-month high, and firm premiums for Russian ESPO Blend crude oil, were also supporting the notion of robust demand, Rothenberg said. Meanwhile, oil's gains were kept in check by expectations that the OPEC+ group will raise its August crude oil output by an amount similar to the outsized hikes agreed in May, June, and July. Four OPEC+ sources told Reuters last week that the group plans to raise output by 411,000 bpd next month when it meets on July 6. 'All eyes will be on OPEC+'s decision over the weekend, when the group is expected to add another 411,000 bpd of production in an effort to gain more market share, primarily over the US shale producers,' StoneX energy analyst Alex Hodes wrote to clients.. Oil prices slip on easing Middle East risks Besides gaining market share from U.S. shale producers, which pumped oil at a record pace in April according to official data released on Monday, the group has also been trying to punish overproducing members. OPEC+ member Kazakhstan, one of world's 10 largest oil producers, raised oil production last month to match an all-time high, a source familiar with the data told Reuters on Tuesday. Saudi Arabia, the de facto leader of the OPEC+ group, raised its June crude oil exports to the fastest rate in a year, data from Kpler showed. 'These exports are flooding out even faster than the OPEC+ deal implies during the summer when peak domestic demand typically keeps oil supplies closer to home,' Hodes said. Investors are also watching trade negotiations ahead of U.S. President Donald Trump's tariff deadline of July 9. U.S. Treasury Secretary Scott Bessent warned that countries could be notified of sharply higher tariffs despite good-faith negotiations as that deadline approaches, when tariff rates are scheduled to revert from a temporary 10% level to the ones Trump announced on April 2 and then suspended. The European Union wants immediate relief from tariffs in key sectors as part of any trade deal with the U.S. due by the July 9 deadline, EU diplomats told Reuters. Morgan Stanley expects Brent futures to retrace to around $60 by early next year, with the market being well supplied and geopolitical risk abating following the de-escalation of the Israel-Iran conflict. It expects an oversupply of 1.3 million bpd in 2026.
