2022-03-31 14:10:00
OIL PRICE: BRENT BELOW $107, WTI BELOW $102
REUTERS - March 31 - Oil prices plunged on Thursday on news that the United States was considering the release of up to 180 million barrels from its Strategic Petroleum Reserve, the largest in the near 50-year history of the SPR.
Brent crude futures for May fell $4.87, or 4.3%, to $108.58 a barrel by 0855 GMT. The May contract expires on Thursday and the most actively traded June futures were down $5.08 at $106.36, having earlier slid by more than $6.
U.S. West Texas Intermediate futures for May delivery fell $5.90, or 5.5%, to $101.92 a barrel after touching a low of $100.53.
U.S. President Joe Biden will speak later on Thursday regarding his administration's actions aimed at lowering gasoline prices that have risen to record highs since Russia began its invasion of Ukraine.
"Desperate times, clearly call for desperate measures and clearly the Biden administration believes the spike in oil prices warrants this move to eat into the country’s emergency supplies," said Susannah Streeter, senior investment and markets analyst at Hargreaves Lansdown.
"A drip release of 1 million barrels of oil is on the cards for the next six months, a sign that there is not expected to be a quick resolution to the crisis in Ukraine, which has squeezed oil supplies."
Goldman Sachs analysts said the move would help the oil market to rebalance in 2022 but was not a permanent fix.
"This would remain, however, a release of oil inventories, not a persistent source of supply for coming years. Such a release would therefore not resolve the structural supply deficit, years in the making."
International Energy Agency (IEA) member countries are due to meet on Friday at 1200 GMT to decide on a potential collective oil release, a spokesperson for New Zealand's energy minister said on Thursday.
The Organization of the Petroleum Exporting Countries (OPEC) and allies including Russia meet on Thursday and are expected to stick with a planned increase in their May output target.
Oil rose by around 3% on Wednesday as peace talks stalled between Ukraine and Russia, the world's second-largest oil exporter.
Western financial sanctions imposed on Moscow over its invasion of Ukraine have disrupted its crude oil and oil product exports. Russia calls its actions in Ukraine a "special operation".
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Earlier:
2022, March, 30, 11:00:00
OIL PRICE: BRENT BELOW $113, WTI BELOW $107
Brent were up $2.6, or 2.4% at $112.81, WTI rose $2.7, or 2.5%, to $106.84 a barrel.
2022, March, 30, 10:55:00
OPEC+ WITHOUT POLICIES
Commenting on the Russia-Ukraine conflict, Saudi Arabia’s Prince Abdulaziz bin Salman said that OPEC puts political differences aside when its ministers meet and OPEC+ is doing the same.
2022, March, 30, 10:50:00
OPEC+ RUSSIA SUPPLY THE MARKET
Russian deputy prime minister Alexander Novak said March 23 that it was too early to talk about an adjustment to Russia's quota under the agreement, as Russia continues to supply the market.
2022, March, 29, 13:45:00
OIL PRICE: BRENT BELOW $114, WTI BELOW $107
Brent rose $1.41, or 1.3%, to $113.89 a barrel, WTI was up 95 cents, or 0.9%, at $106.91.
2022, March, 29, 13:40:00
OPEC OIL PRICE: $113.39
The price of OPEC basket of thirteen crudes stood at $113.39 a barrel on Monday
2022, March, 28, 12:00:00
OPEC OIL PRICE: $118.72
he price of OPEC basket of thirteen crudes stood at $118.72 a barrel on Thursday
2022, March, 28, 11:50:00
RUSSIAN ASSETS WITHOUT RISKS
"Currently the company's operations and business in Russia are largely running smooth and there are no signs of asset impairment," Sinopec's President Yu Baocai told investors and reporters during a call following its 2021 earnings release.
