Latest news with #VandanaHari
Mint
2 hours ago
- Business
- Mint
Oil Rises on Trade-Talk Optimism, Signs of Near-Term Tightness
(Bloomberg) -- Oil ticked higher, rising for a fourth straight day, on investor optimism around extended trade talks between the US and China, and signs of near-term tightness in the physical market. Global benchmark Brent rose above $67 a barrel, while West Texas Intermediate topped $65. US Commerce Secretary Howard Lutnick said that initial discussions in London with officials from Beijing had been 'fruitful'. The negotiations are slated to continue on Tuesday. Crude has declined this year on fears that persistent global trade tensions will sap economic growth and crimp energy demand, although progress in the latest US-China talks could ease such concerns and buoy risk assets. Oil has also been hurt as the OPEC alliance agreed to add production back to the market at a faster-than-expected clip, spurring forecasts for a glut. 'Crude has preemptively priced in a degree of success in the US-China trade talks,' said Vandana Hari, founder of Vanda Insights in Singapore. 'We may not know the outcome for another day, and I expect prices to go into a holding pattern until then.' Oil's pricing structure points to near-term tightness, although the reverse is the case further out. Brent's prompt spread is 81 cents a barrel in backwardation, a bullish pattern, with the nearest contract trading at a premium to the next in sequence. That's up from 48 cents about a month ago. On the geopolitical front, President Donald Trump expressed concern that Iran was seeking too much in a potential nuclear deal, including the ability to enrich uranium. He described the Iranian negotiators as tough but good. Talks will continue on Thursday, according to Trump. To get Bloomberg's Energy Daily newsletter in your inbox, click here. More stories like this are available on
Yahoo
02-05-2025
- Business
- Yahoo
Oil Rebounds But Set for Another Weekly Loss
Crude oil prices staged a rebound earlier today on reports that China had signaled it wants to negotiate with the Trump administration on tariffs. The country's commerce ministry said it was considering a proposal made by Washington to discuss the tariffs. Even this slim chance of a de-escalation in the tariff war energized oil traders, leading to Brent crude rising to $62.53 per barrel at the time of writing, with West Texas Intermediate at $59.67 per barrel. Despite the rise, both benchmarks are set to end the week lower than they started as tariff anxiety continues to rule markets. An additional factor that weakened prices this week was Saudi Arabia's apparent intention to adjust to lower oil prices for longer and even work to bring them lower. The news was as unexpected as earlier reports that OPEC+ would add 411,000 barrels daily to collective production in May instead of the originally planned 138,000 barrels daily, which helped depress prices further earlier this month. Yet Saudi Arabia's moves may be outshined by any actual tariff negotiations between Beijing and Washington. 'If Washington runs with it, as I expect it to, this could be a game-changer in the gloom-and-doom mood that has enveloped markets for weeks,' Vandana Hari from Vanda Insights told Reuters. 'No one expects a smooth sailing for sure, but it's an encouraging breakthrough in the impasse that has been weighing on markets,' she added. OPEC+ is meeting on Monday to discuss June production and might produce yet another surprise for oil traders. 'With non-OPEC+ supply rising robustly and global demand growth facing structural decline, we see no natural re-entry point for these barrels and, ultimately, the group will likely have to endure some price pain no matter when it unwinds its cuts,' BMI said in a research note, as quoted by Reuters. By Irina Slav for More Top Reads From this article on Sign in to access your portfolio
Nikkei Asia
01-05-2025
- Business
- Nikkei Asia
Asia must hedge its bets on US energy
Vandana Hari is founder of Vanda Insights, a Singapore-based global energy market intelligence provider. Major Asian economies making a beeline to boost purchases of energy commodities from the U.S. to secure relief from Donald Trump's punitive reciprocal import tariffs are in danger of trading short-term gain for long-term pain.
Asharq Al-Awsat
07-04-2025
- Business
- Asharq Al-Awsat
Oil Tumbles Further as US-China Trade Tensions Fuel Recession Fears
Oil prices extended last week's losses on Monday, with WTI falling more than 4%, as escalating trade tensions between the United States and China stoked fears of a recession that would reduce demand for crude. Brent futures declined $2.54, or 3.9%, to $63.04 a barrel at 0745 GMT, while US west Texas Intermediate crude futures lost $2.5, or 4.03%, to $59.49. Both benchmarks dropped their lowest since April 2021. Oil plunged 7% on Friday as China ramped up tariffs on US goods, escalating a trade war that has led investors to price in a higher probability of recession. Last week, Brent lost 10.9%, while WTI dropped 10.6%. "It's hard to see a floor for crude unless the panic in the markets subsides and it's hard to see that happening unless Trump says something to arrest snowballing fears over a global trade war and recession," said Vandana Hari, founder of oil market analysis provider Vanda Insights. Responding to US President Donald Trump's tariffs, China said on Friday it would impose additional levies of 34% on American goods, confirming investor fears that a full-blown global trade war is underway. Imports of oil, gas and refined products were given exemptions from Trump's sweeping new tariffs, but the policies could stoke inflation, slow economic growth and intensify trade disputes, weighing on oil prices. Federal Reserve Chair Jerome Powell said on Friday that Trump's new tariffs are "larger than expected," and the economic fallout including higher inflation and slower growth likely will be as well. Adding to the downward momentum, the Organization of the Petroleum Exporting Countries and allies (OPEC+) decided to advance plans for output increases. The group now aims to return 411,000 barrels per day (bpd) to the market in May, up from the previously planned 135,000 bpd. "This potential influx of supply, reversing cuts maintained over the past two years, represents a major shift in market dynamics and acts as a significant headwind for prices," said Sugandha Sachdeva, founder of SS WealthStreet, a New Delhi-based research firm. Over the weekend, top OPEC+ ministers stressed the need for full compliance with oil output targets and called for overproducers to submit plans by April 15 to compensate for pumping too much. On the geopolitical front, Iran on Sunday rejected US demands that it hold direct nuclear talks or face strikes. Russia claimed to have captured Basivka in Ukraine's Sumy region and said its forces were attacking multiple nearby settlements.
Argaam
07-04-2025
- Business
- Argaam
Oil extends losses, drops over $2
Oil prices deepened their losses today, April 7, continuing their decline for a third consecutive day, as financial markets in Asia fell broadly amid concerns that the US-led trade war could push the global economy into recession. Brent crude was trading near the lowest level in four years as it fell 3.6% at $63.22 a barrel, at 9:40 am Makkah time. West Texas Intermediate (WTI) crude plunged 3.73% to $59.68 a barrel. Oil prices were hammered last week, falling nearly 7% on April 3 after China raised tariffs on American goods, escalating the trade war between the world's two largest economies and reinforcing fears of a recession. 'Markets are beginning the week still in the throes of panic,' said Vandana Hari, Founder of Vanda Insights, according to Bloomberg. 'No one dares pick a bottom' and 'stand in the way of the selling tsunami,' she said. Hari expects this situation to persist for all risk assets until Trump clarifies or signals something that will cause investors to pause and reassess their recession fears. Meanwhile, over the weekend, OPEC+ ministers emphasized the need to fully adhere to their oil production targets and called on members that are overproducing to submit plans by April 15 to compensate for the over-pumping.
