2020-09-18 12:40:00
OIL PRICE: NOT BELOW $43
REUTERS - SEPTEMBER 18, 2020 - Oil prices rose for a fourth day in a row on Friday, putting crude on track for a weekly gain of about 10%, after Saudi Arabia pressed allies to stick to production quotas and banks including Goldman Sachs predicted a supply deficit.
Brent crude LCOc1 was up 18 cents at $43.48 a barrel by 0756 GMT while U.S. oil futures CLc1 rose 17 cents to $41.14.
Both contracts are set for their strongest weekly gains since early June after Hurricane Sally cut U.S. production and OPEC and its allies laid out steps to address market weakness.
Goldman Sachs predicted the market would be in a deficit of 3 million barrels per day (bpd) by the fourth quarter and reiterated its target for Brent to reach $49 by the end of the year and $65 by the third quarter of 2021.
Swiss bank UBS also pointed to the possibility of undersupply in the oil market, forecasting Brent would rise to $45 a barrel in the fourth quarter and $55 by mid-2021.
Meanwhile, a tropical depression in the western part of the Gulf of Mexico could become a hurricane in the next few days, potentially threatening more U.S. oil facilities.
The Saudi Arabian energy minister said those who gamble on oil prices would be hurt “like hell”.
The Organization of the Petroleum Exporting Countries (OPEC) and other producers in OPEC+ are cutting 7.7 million bpd of output and the group stressed at a meeting on Thursday that it would take action against members not complying with the deal.
“We think (OPEC+) will put on hold plans to taper the cut down to 5.8 million bpd ... when the entire group convenes again in December,” RBC analysts said.
In the Gulf of Mexico, U.S. offshore drillers and exporters began a clear-up on Thursday after Hurricane Sally weakened to a depression and started rebooting idle rigs following their closure for five days.
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Earlier:
2020, September, 17, 17:05:00
OIL PRICE: NOT BELOW $41 YET
Brent was down 22 cents, or 0.5%, to $42.00 a barrel , WTI fell 28 cents, or 0.7%, to $39.88 a barrel.
2020, September, 16, 12:15:50
OIL PRICE: NOT BELOW $41 ANEW
Brent rose 85 cents, or 2.1%, to $41.38 a barrel, WTI rose 92 cents, or 2.4%, to $39.20.
2020, September, 15, 16:35:00
OIL PRICE: BELOW $40
Brent was up 44 cents, or 1.1%, at $40.05 a barrel, WTI were up 52 cents, or 1.4%, at $37.78 a barrel.
2020, September, 15, 16:30:00
U.S. PRODUCTION: OIL (-68) TBD, GAS (-428) MCFD
Crude oil production from the major US onshore regions is forecast to decrease 68,000 b/d month-over-month in September from 7,708 to 7,640 thousand barrels/day, gas production to decrease 428 million cubic feet/day from 81,026 to 80,598 million cubic feet/day .
2020, September, 15, 16:25:00
U.S. FOSSIL FUELS 80%
In 2019, 80% of U.S. domestic energy production was from fossil fuels, and 80% of domestic energy consumption originated from fossil fuels.
2020, September, 14, 10:30:00
OIL PRICE: NEAR $40
Brent gained 9 cents, or 0.2%, to $39.92 a barrel, WTI were up 18 cents, or 0.5%, at $37.51 a barrel
2020, September, 11, 12:20:00
OPEC+ PRODUCTION CUT
The OPEC+ agreement called for a decrease in crude oil output by a combined 9.7 million b/d in May and June, a combined decrease of 9.6 million b/d in July 2020, and a combined decrease of 7.7 million b/d in August
