Subscribe to our free daily newsletters
  Oil and Gas News from OilGasDaily.Com  

Subscribe to our free daily newsletters

Oil prices move up on good data, but ceiling may be approaching
by Daniel J. Graeber
Washington (UPI) Aug 16, 2017

Crude oil prices were relatively steady early Wednesday as reports of a decline in U.S. crude oil inventories balanced against sentiment of an emerging ceiling.

Crude oil prices were moving higher in overnight trading after the American Petroleum Institute reported U.S. crude oil inventories declined a whopping 9.2 million barrels last week. Traders keep a close watch on inventory levels to get an indication of market tightening as the glut of oil on the global market acts as a governor on the price of oil.

Oil prices dropped below $30 per barrel last year under the dual strains of robust U.S. crude oil production and a strategy from the Organization of Petroleum Exporting Countries to defend their market share with more oil. OPEC in January enacted a measure that aims to ease the supply strains with managed production declines.

Ole Hanson, the head of commodity strategy at Saxo Bank, said in an emailed newsletter crude oil prices have lost ground since June and the possibility that crude oil prices move much higher than $50 per barrel is unlikely because OPEC is struggling to clear the oversupply.

The price for Brent crude oil was up 0.26 percent from the previous close to $50.95 per barrel at 9:15 a.m. EDT. West Texas Intermediate, the U.S. benchmark for the price of oil, was up 0.25 percent to $47.67 per barrel.

Markets will be influenced late Wednesday morning when the U.S. Energy Information Administration releases official figures on crude oil and gasoline inventories. Traders may already be looking further ahead, however, as the late September end to the official U.S. summer travel season ends.

"A potential second counter-seasonal increase in gasoline stocks could have a dampening impact on what is expected to be the seventh consecutive weekly drop in oil stocks," Hanson said.

API figures tend to be considerably more bullish than official EIA figures. A survey of analyst sentiments compiled early this week by S&P Global Platts revealed expectations of a 3.6 million drop in U.S. crude oil inventories and a 400,000 barrel decline for gasoline. For crude oil inventories, that leaves the surplus at 23 percent above the five-year average, down from the 34 percent reported at the end of March.

For the broader markets, the U.S. Commerce Department reported new home construction dropped 4.8 percent from June and 5.6 percent lower than the same time last year.

In the European Union, meanwhile, data for the 19 countries that use the euro currency show gross domestic product increased 0.6 percent during the second quarter for 2.2 percent growth. That's slightly higher than the latest GDP growth estimate from the United States.

Capital push under way for Cuban oil campaign
Washington (UPI) Aug 15, 2017
Proceeds from an effort to raise new capital will be used primarily to start planning for a drilling program in Cuba next year, Melbana Energy announced. The company, which has headquarters in Australia, is one of the few with an established footprint in Cuba. Though a placement and entitlement offer, Melbana said it could raise as much as $6 million to finance operations at the island ... read more

Related Links
All About Oil and Gas News at

Thanks for being here;
We need your help. The SpaceDaily news network continues to grow but revenues have never been harder to maintain.

With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords.

Our news coverage takes time and effort to publish 365 days a year.

If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.

SpaceDaily Contributor
$5 Billed Once

credit card or paypal
SpaceDaily Monthly Supporter
$5 Billed Monthly

paypal only

Comment using your Disqus, Facebook, Google or Twitter login.

Share this article via these popular social media networks DiggDigg RedditReddit GoogleGoogle

Additive selectively converts CO2 to multicarbon fuels

New light-activated catalyst grabs CO2 to make ingredients for fuel

Biochar could clear the air in more ways than one

Algae cultivation technique could advance biofuels

ABB wins $30 million order to support integration of renewables in Germany

Solar glasses generate solar power

New method enhances broadband light absorption in solar cells

Lightweight catalyst for artificial photosynthesis

Night vision for bird- and bat-friendly offshore wind power

Norway's Statoil reshapes hold of giant wind farm off the British coast

Vertical axis wind turbines can offer cheaper electricity for urban and suburban areas

Annual wind report confirms tech advancements, improved performance, low wind prices

Analysis highlights failings in US's advanced nuclear program

RWE optimistic for 2017, boosted by nuclear tax refund

Clashes at anti-nuclear demo in France

The Roadmap for Increased Safety and Viability of Nuclear Power Plants

UNEP chief urges China to do more on climate

Warm periods in the 20th century are not unprecedented during the last 2,000 years

Can poor air quality mask global warming's effects

US to join climate talks despite Paris accord exit

Uber board spat over ex-chief Kalanick goes public

Shares of Fiat Chrysler surge on report of Chinese suitors

Electric vehicles to eat into global oil demand by 6 million barrels

Czech Republic aims for nation-wide vehicle charging points

Canada to contribute policing to liberated Iraq city

Conviction, sentences upended in Blackwater case

Iraq faces vast challenges securing, rebuilding Mosul

Two killed in IS-claimed attack on Iraq embassy in Kabul

Trump keeps Iran deal, but threatens more sanctions

S. Korea seeks rare talks with North to ease military tensions

US sending mixed messages on Iran nuclear deal: Zarif

US-China citizen gets 10 years for spying in Iran; 2 Iranians charged in US over hacking

Memory Foam Mattress Review
Newsletters :: SpaceDaily :: SpaceWar :: TerraDaily :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News

The content herein, unless otherwise known to be public domain, are Copyright 1995-2017 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement