RUS | ENG | All
Enter the email or login, that you used for registration.
If you do not remember your password, simply leave this field blank and you will receive a new, along with a link to activate.

Not registered yet?
Welcome!

2020-03-02 13:05:00

OIL PRICE: NEAR $51 ANEW

OIL PRICE: NEAR $51 ANEW

REUTERS - MARCH 2, 2020 - Oil prices jumped more than 4%, up from multi-year lows hit earlier on Monday, as hopes of a deeper cut in output by OPEC and stimulus from central banks countered worries about damage to demand from the coronavirus outbreak.

Brent crude LCOc1 was at $51.91 a barrel, up $2.24 or 4.5%, by 0812 GMT, off $48.40, the lowest since July 2017.

Across the Atlantic, U.S. West Texas Intermediate crude CLc1 hit a 14-month low of $43.32, before recovering to $46.65, up $1.89, or 4.2%.

Both benchmarks marked their first gain after six sessions of losses amid virus worries. The coronavirus, which originated in China, has killed nearly 3,000 and roiled global markets as investors brace for a steep knock to world growth. Equities last week marked their biggest rout since the 2008 financial crisis.

"The unprecedented disruption to economic activity in China has resulted in an estimated 4 million b/d of lost oil demand compared to 5 million b/d during the Great Recession in 2008/09," Jeffery Currie, head of global commodities research at Goldman Sachs, said in a note.

"And finite storage capacity in China - though large - is filling up quickly, presenting further downside risk if storage is ultimately breached."

Currie added that the continued tension between economic stimulus and surplus inventory would likely create commodity price volatility.

Dragging on oil prices earlier in the day was data unveiled over the weekend by China, the world's top energy consumer.

Factory activity in the country shrank at the fastest pace ever in February, underscoring the colossal damage from the outbreak on its economy.

"On the one hand, it's pretty negative on worldwide crude oil and product demand," said Lachlan Shaw, head of commodity research at the National Australia Bank.

But then there is news that Saudi Arabia is pushing for a million barrels per day cut, while central banks are increasingly signalling an appetite to intervene and support markets by cutting interest rates, he said.

"So it's a balance, and it's going to be pretty volatile."

Several key members of the Organization of the Petroleum Exporting Countries (OPEC) are mulling the additional production cut in the second quarter amid fears the virus outbreak will erode oil demand. The previous proposal was for an additional output cut of 600,000 bpd.

Oil prices are down more than 20% since the start of the year despite OPEC and its allies including Russia, a grouping known as OPEC+, curbing oil output by 1.7 million bpd under a deal that runs to the end of March.

"Inaction by OPEC+ would likely trigger another potentially severe bout of selling," analysts at Fitch Solutions have said.

Also, current prices would incentivize Russia to agree to further output cuts although "any cut will likely be of a short duration, for example, three months, with the barrels brought immediately back to market thereafter," Fitch analysts said.

----- 


Earlier:

OIL PRICE: NEAR $51 ANEW
2020, February, 28, 15:45:00
OIL PRICE: NEAR $51
Brent was down $1.74, or 3.3%, at $49.99 a barrel, WTI fell $1.89, or about 4%, to $45.20.
OIL PRICE: NEAR $51 ANEW
2020, February, 26, 10:35:00
OIL PRICE: NEAR $55
Brent rose 33 cents, or 0.6%, to $55.28 a barrel, WTI gained 41 cents, or 0.8%, to $50.31 a barrel.
OIL PRICE: NEAR $51 ANEW
2020, February, 24, 10:50:00
OIL PRICE: NEAR $57
Brent fell by $1.42, or 2.4%, to $57.08 a barrel, WTI fell by $1.26, or 2.4%, to $52.12.
OIL PRICE: NEAR $51 ANEW
2020, February, 21, 12:30:00
OIL MARKET: NOTHING URGENT
Despite the partial recovery, oil prices are still far below the level many OPEC members need for their budgets to balance.
OIL PRICE: NEAR $51 ANEW
2020, February, 19, 11:55:00
GLOBAL OIL DEMAND 2020: 100.73 MBD
Oil demand growth in 2020 is revised down by 0.23 mb/d from the previous month’s assessment. With this, global oil demand is now forecast to grow by 0.99 mb/d and average 100.73 mb/d for 2020,
OIL PRICE: NEAR $51 ANEW
2020, February, 19, 11:50:00
GLOBAL PETROLEUM DEMAND WILL UP BY 1.0 MBD
EIA now expects global petroleum and liquid fuels demand will rise by 1.0 million b/d in 2020, which is lower than the forecast increase in the January STEO of 1.3 million b/d in 2020, and by 1.5 million b/d in 2021.
OIL PRICE: NEAR $51 ANEW
2020, February, 14, 12:10:00
CHINA'S CORONAVIRUS: NO AFFECT
The coronavirus epidemic in China has had a marginal impact on energy markets and is unlikely to dramatically affect oil prices even if Chinese demand falls by 500,000 barrels per day, U.S. Energy Secretary Dan Brouillette told
All Publications »
Tags: OIL, PRICE, BRENT, WTI
Chronicle:
OIL PRICE: NEAR $51 ANEW
2022, August, 9, 14:14:00
6TH ANNUAL LNG SUMMIT USA
The 6th Edition of Wisdom’s Much Acclaimed Annual LNG Summit Will Be Held Live in Houston - PREPARING THE INDUSTRY FOR THE RISE IN DEMAND FOR LNG
OIL PRICE: NEAR $51 ANEW
2022, August, 9, 14:13:00
2022 SAUDI PIPELINES INTERNATIONAL CONFERENCE & EXIBITIONS
Eventat Co (a Saudi local company) is hosting the first-ever “2022 Saudi Pipelines International Conference & Exhibitions” from 4-6 October, 2022 at the Dhahran Expo, Dammam (Eastern Province), Kingdom of Saudi Arabia. The three-day conference and exhibition are dedicated to bringing together over “50+ Regional/International speakers, 100+ Sponsors/Exhibitors, 1000+ Delegates and 3000+ Visitors” from around the globe who carry significant interest in enhancing the pipelines lifecycle for the current and future.
OIL PRICE: NEAR $51 ANEW
2022, August, 9, 14:12:00
9TH INTERNATIONAL LNG CONGRESS LNGCON 2023
9th International LNG Congress (LNGCON 2023) 6-7 March, 2023 Link to the Congress website: https://bit.ly/3tXVmr7
OIL PRICE: NEAR $51 ANEW
2022, August, 9, 14:10:00
RUSSIA FOR ITER FUSION
The 25th batch of Russian electrical equipment was successfully delivered to the construction site of the international thermonuclear experimental reactor Iter in France,
OIL PRICE: NEAR $51 ANEW
2022, August, 8, 12:50:00
OIL PRICE: BRENT ABOVE $94, WTI ABOVE $88
Brent were down 51 cents, or 0.5%, at $94.41 a barrel, WTI was at $88.58 a barrel, down 43 cents, or 0.5%.
OIL PRICE: NEAR $51 ANEW
2022, August, 8, 12:45:00
OPEC OIL PRICE: $100.01
The price of OPEC basket of thirteen crudes stood at $100.01 a barrel
OIL PRICE: NEAR $51 ANEW
2022, August, 8, 12:40:00
РАЗВИТИЕ ЭНЕРГЕТИКИ РОССИИ, ТУРЦИИ
Особое место в двустороннем взаимодействии занимает сфера энергетики: успешно функционируют газопроводы «Турецкий поток» и «Голубой поток», продолжается строительство первой турецкой АЭС «Аккую».
All Publications »