2019-07-09 17:20:00
OIL PRICE: NEAR $64
REUTERS - Oil edged further above $64 a barrel on Tuesday as OPEC supply cuts and Middle East tensions countered the U.S.-China trade dispute that has been dragging down the global economy and oil demand.
OPEC and its allies led by Russia agreed last week to extend their supply-cutting deal until March 2020. Brent has risen almost 20% in 2019 supported by the pact and also tensions in the Middle East, especially concerns about the row over Iran's nuclear program.
Benchmark Brent crude rose 15 cents to $64.26 a barrel by 1325 GMT. U.S. West Texas Intermediate crude was up 9 cents to $57.75.
"OPEC and its allies are doing their best to support the market," said Tamas Varga, an analyst with PVM.
"Oil prices are to hold up reasonably well during coming months or at least they are not to fall out of bed."
Rising tensions between Iran and the United States have brought the two countries close to conflict. Last month, President Donald Trump called off air strikes at the last minute in retaliation for Iran shooting down a U.S. drone.
The European Union on Tuesday urged Iran to reverse its scaled up uranium enrichment that breaches a nuclear deal it agreed in 2015 with world powers. Washington withdrew from the accord last year and re-imposed sanctions.
Oil also gained support from reports expected to show a drop in U.S. crude inventories.
U.S. crude stockpiles are forecast to fall 3.6 million barrels. The first of this week's two supply reports is due at 2030 GMT from the American Petroleum Institute, an industry group.
Russian oil output fell close to a three-year low in early July, industry sources told Reuters, dragged down by declining output from the largest producer Rosneft.
The decline follows the discovery of contaminated Urals crude that affected the Druzhba pipeline to Europe.
"The Russian story definitely supports prices today. Market participants remain concerned that Russian compliance could deteriorate again, and lower Russian output together with elevated compliance from OPEC nations should rebalance the oil market faster," said Giovanni Staunovo, oil analyst for UBS.
While supply and security concerns supported the market, gains were capped by the U.S.-China trade war that has dampened prospects for global economic growth.
The world's two largest oil consumers are set to relaunch trade talks this week, although there are few signs their differences have narrowed a year after the dispute erupted.
-----
Earlier:
2019, July, 8, 13:05:00
OIL PRICE: ABOVE $64
Brent crude futures were up 34 cents by 0908 GMT at $64.57. U.S. West Texas Intermediate (WTI) was up 18 cents at $57.69 a barrel.
2019, July, 5, 11:45:00
OIL PRICE: NEAR $63
U.S. West Texas Intermediate (WTI) crude futures CLc1 were down $0.79 at $56.55 per barrel by 0754 GMT. There was no settlement price on Thursday because of the Independence Day holiday in the United States. Front-month Brent crude futures LCOc1 were down $0.23 at $63.07 per barrel. Both benchmarks were set for their biggest weekly falls in five weeks.
2019, July, 4, 16:50:00
OIL PRICE: ABOVE $63
Front-month Brent crude futures LCOc1, the international benchmark for oil prices, were down 31 cents or 0.49% at $63.51 per barrel by 1320 GMT. Brent closed up 2.3% on Wednesday. U.S. West Texas Intermediate (WTI) crude futures CLc1 were down 51 cents or 0.89% at $56.83 per barrel. WTI closed up 1.9% on Wednesday.
2019, July, 3, 11:55:00
OIL PRICE: NEAR $62
Brent crude futures LCOc1 for September delivery were trading up 12 cents, or 0.2%, at $62.52 a barrel, U.S. crude futures for August CLc1 were up 16 cents, or 0.3%, at $56.41 a barrel.
2019, July, 2, 15:00:00
OIL PRICE: NEAR $65 YET
Brent crude futures LCOc1 were down 15 cents, or 0.23%, at $64.91 a barrel , U.S. crude futures for August CLc1 were down 12 cents, or 0.20%, at $58.97 a barrel
2019, July, 1, 12:05:00
OIL PRICE: ABOVE $66
Front-month Brent crude futures touched an intraday high of $66.75 a barrel and were up $1.80 at $66.54 a barrel by 0834 GMT. U.S. crude futures for August climbed $1.57 to $60.04 a barrel, after earlier hitting their highest in over five weeks at $60.28.
2019, June, 25, 12:50:00
U.S. FINANCIAL RISKS UP
In addition, a number of medium-term risks are growing. The financial system appears healthy but vulnerabilities in leveraged corporates and, potentially, in the nonbank system are elevated by historical standards. An abrupt reversal of the recent supportive financial market conditions or a deepening of ongoing trade disputes represent material risks to the U.S. economy, with concomitant negative outward spillovers. The U.S. public debt-to-GDP ratio is on an unsustainable path and is expected to continue rising throughout the medium-term, as aging related spending rises.
