Latest news with #OPEC+
Business Recorder
7 hours ago
- Business
- Business Recorder
OPEC says world economy may do better in second half of year
LONDON: OPEC said the global economy may perform better than expected in the second half of the year despite trade conflicts and refineries' crude intake would remain elevated to meet the uptick in summer travel, helping to support the demand outlook. In a monthly report on Tuesday, the Organization of the Petroleum Exporting Countries left its forecasts for global oil demand growth unchanged in 2025 and 2026 after reductions in April, saying the economic outlook was robust. 'India, China, and Brazil are outperforming expectations so far, while the United States and the Eurozone are experiencing a continued rebound from last year,' OPEC said in the report. 'With this, the second-half 2025 economic growth may turn out better than currently expected.' A solid economy shrugging off trade conflicts would make it easier for OPEC+, which groups OPEC plus Russia and other allies, to proceed with its plan to pump more barrels to regain market share after years of cuts aimed at supporting the market. OPEC+ agreed on July 5 to raise production by 548,000 barrels per day in August, further accelerating output increases at its first meeting since oil prices jumped, then retreated, following Israeli and US attacks on Iran. Oil prices have not significantly fallen despite the larger than expected OPEC+ hike and US President Donald Trump's 50-day deadline for Russia to end the Ukraine war , finding support from rising seasonal demand. Global refinery crude intake posted a sharp increase of 2.1 million bpd in June from May as refiners returned from maintenance, a sign of a stronger oil market, OPEC said in the report, adding that throughput was likely to stay high. 'Refinery intakes globally, and particularly in the US, are expected to keep throughputs elevated to meet the seasonal uptick in transport fuel demand, especially that of gasoline, jet/kerosene and residual fuel,' OPEC said. OPEC's demand forecasts are at the higher end of the industry range, as the agency expects a slower energy transition than some other forecasters. The International Energy Agency last week trimmed its demand forecasts but said the market may be tighter than it appears as refineries ramp up processing to meet summer travel demand. Brent crude was steady after OPEC published the report, trading close to $69 a barrel. OUTPUT RISING OPEC's report also showed that in June OPEC+ pumped 41.56 million bpd, up 349,000 bpd from May. This is slightly less than the 411,000 bpd hike called for by the group's increase in its June quotas.
Canada News.Net
12 hours ago
- Business
- Canada News.Net
US Fed rate cut in September hinges on labour market and inflation: UBI Report
New Delhi [India], July 15 (ANI): The possibility of a US Federal Reserve rate cut in September remains open, but it will largely depend on how the labor market and inflation evolve, noted a recent report by Union Bank of India research. While the market anticipates some monetary easing later this year, the report mentioned that Fed has adopted a cautious and data-dependent stance in the face of growing uncertainty around tariffs and fiscal policy. It stated 'While a rate cut in September remains possible, it hinges heavily on labour market softness and the inflation trajectory'. The report also noted that the Federal Reserve is expected to keep interest rates on hold for now, awaiting greater clarity on the evolving global tariff landscape and fiscal developments. Fed officials, in their recent public remarks, signalled a balanced yet cautious tone, reflecting the challenges of managing inflation risks while being prepared to support the economy if it weakens. John Williams, President of the New York Fed, highlighted that there is a 'non-negligible' chance that rates could return to zero, pointing to long-term downside risks in the economy. Meanwhile, Fed Governors Christopher Waller and Mary Daly indicated openness to rate cuts later in 2025. Daly even mentioned the possibility of two rate reductions but emphasized that any policy move would be careful, data-driven, and devoid of political influence. However, not all officials are aligned. Alberto Musalem, a voting member of the Federal Open Market Committee, urged patience, warning that it is too early to determine whether recent inflationary pressures stemming from new tariffs will be temporary or more persistent. The report said 'their remarks reflect a Fed navigating between guarding against persistent inflation and remaining ready to ease policy if the economic outlook softens'. Meanwhile, oil prices rose sharply last week, adding pressure on global inflation and the Indian Rupee. Brent crude, which opened at USD 67.64 per barrel on July 7, surged to USD 70.71 before ending the week around USD 71.11 on July 14. The jump in prices was driven by escalating geopolitical tensions, including the US sending Patriot air defence systems to Ukraine and the European Union preparing an 18th sanctions package on Russia. These actions raised fears of tighter global oil supplies. However, gains were capped by Saudi Arabia exceeding its OPEC+ output quota and concerns that new US tariffs on goods from the EU and Mexico may hurt global growth and oil demand. Looking ahead, the report mentioned that the market watchers will closely monitor any new developments around the August 1 tariff deadline, which could influence both inflation trends and the Fed's policy stance in the coming months. (ANI)
The Star
13 hours ago
- Business
- The Star
Kazakhstan's crude oil output, exports rise in first half of 2025
ALMATY, July 15 (Xinhua) -- Kazakhstan's crude oil output in the first half of 2025 rose 11.6 percent year on year to 49.9 million tonnes, Kazinform news agency reported Tuesday. Kazakhstan's Energy Minister Yerlan Akkenzhenov said at a government briefing that the country's oil exports rose 11.9 percent in the same period to 39.6 million tonnes, and the export target for the full year is 70.5 million tonnes. Prime Minister Olzhas Bektenov reaffirmed Kazakhstan's commitment to the Organization of the Petroleum Exporting Countries and its partners (OPEC+), saying the country is doing its best to meet its obligations under the voluntary output agreement. However, Bektenov acknowledged that Kazakhstan had faced temporary difficulties in meeting production quotas due to an ongoing expansion project at the Tengiz oil field, the country's largest oil field. Once the project is completed, Kazakhstan will raise its projected obligations, he said. According to the Energy Ministry, Kazakhstan supplied 1.86 million barrels of crude oil per day in June, up from 1.78 million barrels in May and staying above its voluntary OPEC+ quota.
Libya Review
13 hours ago
- Business
- Libya Review
Libya Tops Africa in Oil Reserves with 48.36 Billion Barrels
Libya has reaffirmed its position as Africa's leading country in proven oil reserves, maintaining a total of 48.36 billion barrels, an amount that has remained unchanged since 2013. The latest annual statistical bulletin released by the Organization of the Petroleum Exporting Countries (OPEC) shows that Libya continues to dominate the continent's oil reserve rankings, despite a slight continent-wide decline in total reserves in 2024. According to OPEC data, Africa's confirmed crude oil reserves dropped slightly to 119.36 billion barrels in 2024, down from 119.58 billion barrels in 2023. This follows a modest increase in 2023 when reserves rose by 533 million barrels from 119.05 billion barrels in 2022. Despite these fluctuations, Libya's reserves have remained stable for over a decade. Nigeria holds the second-largest oil reserves on the continent, with 37.28 billion barrels, although it experienced a decline of 220 million barrels in 2024—the only African country on the list to report a drop. In contrast, other countries saw their reserves either increase or remain stable. In terms of production, Nigeria leads Africa with an average output of 1.34 million barrels per day in 2024, followed by Libya with approximately 1.13 million barrels per day. Algeria ranks third with reserves of 12.2 billion barrels, unchanged since 2006. Sudan and South Sudan are jointly listed by OPEC with stable reserves at 5 billion barrels. Egypt holds 3.3 billion barrels in confirmed reserves, consistent with figures reported since 2021. Angola maintains 2.55 billion barrels for the third consecutive year, a significant drop from the 7.23 billion barrels it reported in 2020 before revisions. Other notable figures include Gabon with 2 billion barrels, the Republic of the Congo with 1.81 billion barrels, and Equatorial Guinea with 1.1 billion barrels—all stable since their last updates. Looking ahead, OPEC warns that total crude production capacity among African OPEC+ members, including Libya and Nigeria, may drop to 4.2 million barrels per day by 2030. This projection is driven by persistent security challenges and difficulties in attracting foreign investment. Tags: AfricagaslibyaoilOPEC
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Business Standard
14 hours ago
- Business
- Business Standard
Opec sees stronger global economy in H2 2025 as oil demand stays firm
OPEC's demand forecasts are at the higher end of the industry range, as the agency expects a slower energy transition than some other forecasters Reuters OPEC said the global economy may perform better than expected in the second half of the year despite trade conflicts and refineries' crude intake would remain elevated to meet the uptick in summer travel, helping to support the demand outlook. In a monthly report on Tuesday, the Organization of the Petroleum Exporting Countries left its forecasts for global oil demand growth unchanged in 2025 and 2026 after reductions in April, saying the economic outlook was robust. "India, China, and Brazil are outperforming expectations so far, while the United States and the Eurozone are experiencing a continued rebound from last year," OPEC said in the report. "With this, the second-half 2025 economic growth may turn out better than currently expected." A solid economy shrugging off trade conflicts would make it easier for OPEC+, which groups OPEC plus Russia and other allies, to proceed with its plan to pump more barrels to regain market share after years of cuts aimed at supporting the market. OPEC+ agreed on July 5 to raise production by 548,000 barrels per day in August, further accelerating output increases at its first meeting since oil prices jumped, then retreated, following Israeli and US attacks on Iran. Oil prices have not significantly fallen despite the larger than expected OPEC+ hike and US President Donald Trump's 50-day deadline for Russia to end the Ukraine war , finding support from rising seasonal demand. Global refinery crude intake posted a sharp increase of 2.1 million bpd in June from May as refiners returned from maintenance, a sign of a stronger oil market, OPEC said in the report, adding that throughput was likely to stay high. "Refinery intakes globally, and particularly in the US, are expected to keep throughputs elevated to meet the seasonal uptick in transport fuel demand, especially that of gasoline, jet/kerosene and residual fuel," OPEC said. OPEC's demand forecasts are at the higher end of the industry range, as the agency expects a slower energy transition than some other forecasters. The International Energy Agency last week trimmed its demand forecasts but said the market may be tighter than it appears as refineries ramp up processing to meet summer travel demand. Brent crude was steady after OPEC published the report, trading close to $69 a barrel. OPEC's report also showed that in June OPEC+ pumped 41.56 million bpd, up 349,000 bpd from May. This is slightly less than the 411,000 bpd hike called for by the group's increase in its June quotas. The actual hike was smaller than the headline increase in quotas partly because some nations, such as Iraq, cut output as part of a pledge to make further reductions for earlier pumping above targets. Still, output in Kazakhstan, which is under pressure to comply with OPEC+ quotas, rose last month after slightly falling in May and remained above the country's quota. According to OPEC, Kazakhstan's oil production rose by 64,000 bpd in June to 1.847 million bpd.
