Wednesday, December 2

Oil

Oil gains after stockpile draw amid hopes for coronavirus vaccine
Oil

Oil gains after stockpile draw amid hopes for coronavirus vaccine

By Administrator_India Capital Sands Oil futures rose on Wednesday after an industry report showed that U.S. crude inventories fell by more than expected as prices continued to be supported by news of successful trials of a vaccine for coronavirus. Brent crude was up 31 cents, or 0.7%, at $43.92 a barrel by 0213 GMT, while U.S. oil gained 36 cents, or 0.9%, to $41.72 a barrel. Crude stockpiles fell by 5.1 million barrels last week to about 482 million barrels, industry group data showed on Tuesday, compared with analysts' expectations in a Reuters poll for a reduction of 913,000 barrels. [API/S] "Defying analysts' expectations again, the American Petroleum Institute (API) reported on Tuesday a significant 'draw' in crude oil inventories," said Stephen Innes, chief market str...
Oil Pipeline Operators Offer New Discounts as Demand Craters
Oil

Oil Pipeline Operators Offer New Discounts as Demand Craters

By Administrator_ India Capital Sands U.S. oil pipeline operators are slashing fees to encourage customers in Texas to keep using their networks to ship barrels to the Gulf Coast as the pandemic wreaks havoc on profits. Kinder Morgan Inc (NYSE:KMI). is offering discounts of about 50% on the Eagle Ford pipeline for some existing customers, according to people familiar with the matter. Magellan Midstream (NYSE:MMP) Partners LP is negotiating lower tariffs on the Permian’s Bridge Tex system for certain users whose contracts are up for renewal at the end of 2020, they said. Energy Transfer (NYSE:ET) LP plans a volume incentive program for those who qualify on its Permian Express 2 and 3 pipelines. The discounts reflect efforts by pipeline companies to combat sluggish oil consumptio...
Oil Slumps on COVID Fears, Oversupply, U.S. Elections
Oil

Oil Slumps on COVID Fears, Oversupply, U.S. Elections

By Administrator_India Capital Sands Oil was down on Wednesday morning in Asia, continuing major overnight losses. Oversupply fears were the main driver of the fall, with U.S. refineries beginning to shed labor. Brent oil futures slid 1.13% to $41.09 by 11:29 AM ET (3:29 AM GMT) and WTI futures were down 0.94% to $38.92. Heavy falls in the previous trading session continued to drag on the Asian markets in morning trade; WTI futures fell back below the $40 mark, with both benchmarks losing more than 3%. The major drivers were poor economic forecasts for future consumption amid the COVID-19 pandemic and continued oversupply issues. Heads of major energy trading companies were downbeat about future oil prices, with low expectations of future demand and little movement in price ...
Oil Inched Up On Libya Supply, Another U.S. Storm
Commodity, Oil

Oil Inched Up On Libya Supply, Another U.S. Storm

By Administrator_India Capital Sands Oil inched up on Monday morning in Asia, with concerns about new supply from reopening Libyan reserves balanced out by news of yet another shutdown on the way for U.S rigs in the Gulf of Mexico, due to Tropical Storm Beta. Brent oil futures inched up 0.05% to $43.17 by 12:38 PM ET (5:38 AM GMT) and WTI futures inched up 0.05% to $41.34, maintaining their gains of the previous week. The WTI futures contract rolled over to the November contract on September 20. Libyan commander Khalifa Haftar promised to lift his eight-month blockade of oil exports, prompting Libya’s National Oil Corp to lift the force majeure declaration over ports and facilities where there are no longer any fighters. As yet, it is unclear as to which facilities fit the defi...
Oil Down Over Continuous Fuel Demand Recovery Concerns
Oil

Oil Down Over Continuous Fuel Demand Recovery Concerns

By Administrator_India Capital Sands Oil was down on Thursday morning in Asia, giving up some gains from the previous session over continuous weaker fuel demand concerns. Brent oil futures were down 0.66% to $41.94 by 11:42 PM ET (4:42 AM GMT) and WTI futures fell 0.82% to $39.83, after both benchmarks saw gains of up to 5% during the previous session. Hurricane Sally, the second hurricane to hit the Gulf of Mexico area in less than a month, making landfall on Wednesday and weakened into a tropical depression. Energy companies are slowly returning crews to offshore oil platforms in the storm’s aftermath, but almost 500,000 barrels per day (bpd) of the area’s output was shut ahead of Sally’s arrival. Meanwhile, the U.S. Energy Information Administration on Wednesday announced...
Oil

Indian refineries scale back output as virus chokes demand

By Administrator_India Capital Sands India’s crude processing in March fell 5.7% from a year earlier, its biggest drop since September, as the coronavirus crisis and travel restrictions to curb its spread dented fuel demand and forced refineries to cut output. Refiners processed about 21.20 million tonnes, or 5.01 million barrels per day (bpd), of oil last month, provisional government data showed on Wednesday. That was lower than the 5.32 million bpd processed in February and in March 2019. Crude production also declined 5.5% in March from a year earlier to around 2.70 million tonnes or 0.64 million bpd. Many refineries have curbed output with fuel demand hammered by travel restrictions as the pandemic forced people to stay home and stalled economic activity. India on M...
Commodity Broker, Oil

Oil prices recover ground after market turmoil fuels price plunge

By Administrator_India Capital Sands Oil prices found some respite on Wednesday as U.S. oil futures rose more than 20% and Brent prices steadied after a two-day price plunge, as markets struggle with a massive crude glut amid the coronavirus outbreak. After falling into negative territory for the first time in history amid record trading volumes, U.S. crude futures rose 20% as contracts for May delivery expired and the June contract became the front month. West Texas Intermediate was up $2.05, or 18%, at $13.62 a barrel by 0034 GMT. Brent crude, which settled down 24% in the previous session, was up 4 cents at $19.37 a barrel after rising more than $1 earlier. “Global markets are struggling mightily with a temporary but overwhelming demand drop due to the coronavirus pan...