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!

2021-05-05 16:45:00

OIL PRICE: NEAR $70

OIL PRICE: NEAR $70

REUTERS - MAY 5, 2021 - Oil prices rose for a third day on Wednesday as easing of lockdowns in the United States and parts of Europe heralded a boost in fuel demand in summer season and offset concerns about the rise of COVID-19 infections in India and Japan.

Brent crude rose 75 cents, or 1.1%, to $69.63 a barrel at 1155 GMT. U.S. West Texas Intermediate (WTI) crude was up 67 cents, or 1%, to $66.36 a barrel.

Both contracts hit the highest level since mid-March in intra-day trade.

"A return to $70 oil is edging closer to becoming reality," said Stephen Brennock of oil broker PVM.

"The jump in oil prices came amid expectations of strong demand as western economies reopen. Indeed, anticipation of a pick-up in fuel and energy usage in the United States and Europe over the summer months is running high," he said.

Crude prices were also supported by a large fall in U.S. inventories.

The American Petroleum Institute (API) industry group reported crude stockpiles fell by 7.7 million barrels in the week ended April 30, according to two market sources. That was more than triple the drawdown expected by analysts polled by Reuters. Gasoline stockpiles fell by 5.3 million barrels.

Traders are awaiting data from the U.S. Energy Information Administration due at 10:30 a.m. EDT (1430 GMT) on Wednesday to see if official data shows such a large fall.

"If confirmed by the EIA, that would mark the largest weekly fall in the official data since late January," Commonwealth Bank analyst Vivek Dhar said in a note.

The rise in oil prices to nearly two-month highs has been supported by COVID-19 vaccine rollouts in Europe and the United States where more than 40% of U.S. adults have received a vaccine. 

Euro zone business activity accelerated last month as the bloc's dominant services industry shrugged off renewed lockdowns and returned to growth.

"The partial lifting of mobility restrictions, the expectation that tourism will return in the near future, and the lure of the psychologically important $70 mark are all likely to have contributed to the price rise," Commerzbank analyst Eugen Weinberg said.

This has offset a drop in fuel demand in India, the world's third-largest oil consumer, which is battling a surge in COVID-19 infections.

"However, if we were to eventually see a national lockdown imposed, this would likely hit sentiment," ING Economics analysts said of the situation in India.

-----


Earlier:

OIL PRICE: NEAR $70
2021, May, 4, 12:40:46
OIL PRICE: ABOVE $68
Brent were 65 cents, or 0.96%, higher at $68.21 a barrel. WTI ticked up 62 cents, or 0.1%, to $65.11 a barrel.
OIL PRICE: NEAR $70
2021, May, 4, 12:35:00
RUSSIA'S OIL PRODUCTION UP TO 10.46 MBD
Daily average production was up 2% from 10.26 million b/d in March. Total output in March was 43.4 million mt. Increases in month-on-month output volumes in early 2021 reflect gradual increases in Russia's crude production quota agreed under the OPEC + deal from the beginning of the year.
OIL PRICE: NEAR $70
2021, April, 23, 11:40:00
OIL PRICE: NEAR $66
Brent rose 42 cents, or 0.6%, to $65.82 a barrel. WTI jumped 51 cents, or 0.8%, to $61.94 a barrel.
OIL PRICE: NEAR $70
2021, April, 20, 13:55:00
OIL PRICE: ABOVE $67 YET
Brent was up 64 cents, or 1%, at $67.69 a barrel. WTI gained 60 cents, or 1%, to $63.98.
OIL PRICE: NEAR $70
2021, April, 19, 16:55:00
OIL PRICE: NEAR $67
Brent was down 2 cents at $66.75 a barrel. WTI was up 1 cent at $63.14 a barrel.
OIL PRICE: NEAR $70
2021, April, 19, 16:45:00
RUSSIAN OIL FOR U.S. 8%
Russian oil imports as a share of US total oil imports hit a record high of 8% in January 2021, according to data from the US Energy Information Administration, up from 4% during 2018.
OIL PRICE: NEAR $70
2021, April, 16, 12:20:00
OIL PRICE: ABOVE $67
Brent rose 28 cents, or 0.4%, to $67.22 a barrel. WTI added 20 cents, or 0.3%, to $63.66.
All Publications »
Tags: OIL, PRICE, BRENT, WTI