Published: Thu, April 26, 2018
Money | By Wilma Wheeler

Crude oil futures tick lower on API stock data

Crude oil futures tick lower on API stock data

The British bank, which revised its forecasts for the first time in nearly a year, saw Brent and WTI crude prices averaging $71 a barrel and $68 a barrel respectively this year.

US gasoline prices are at $2.77 on average and well above $3 a gallon on the West Coast. "No good and will not be accepted!" The previous round of sanctions reduced Iran's oil output by about 1 million bpd.

Dugan avoided making any hard forecasts about how crude might perform if US president Donald Trump cancels the Iran nuclear deal next month after all and imposes sanctions, preferring only to state that such sanctions could have "a range of outcomes whether it's hard or soft".

"Looks like Opec is at it again", he tweeted.

The oil for delivery in June also gained Rs 35, or 0.77 per cent, to Rs 4,606 per barrel in 269 lots. "Oil at $100 would essentially amount to a doubling of the price from the past few years, which would quickly put an end to high demand growth rates", ET said.

Oil has surged more than 7% this month on concern geopolitical risk in the energy-rich Middle East is intensifying, with Trump set to decide whether to extend Iran's sanctions relief on May 12. "The risk of the USA walking away from the Iran nuclear deal may well have increased after Trump replaced his Secretary of State and National Security Adviser with known hawks on Iran, Venezuela, and North Korea".

We at SAFE agree are encouraged by the president highlighting OPEC's market influence and believe the administration should remain focused on solutions to mitigate OPEC's actions and their impact on USA consumers and the global economy as gasoline prices continue to rise. They are now trading at $73 and $67.8 a barrel respectively.

Meeting were ongoing in Saudi Arabia while Trump was tweeting.

Admittedly, the rise in fuel costs will eventually weigh on the disposable income of consumers and the profits of non-oil businesses. Conventional thinking over the past several years revolved around the belief that OPEC was powerless and shale's massive growth could prevent future price spikes and solve longstanding energy security problems. Saudi officials want more revenues for their budget and a higher oil price to bolster the valuation of the Aramco IPO.

Macron's remarks at a White House news conference with President Donald Trump came after Trump earlier warned Iran not to restart its nuclear program even if the US withdraws from the 2015 nuclear accord with the Islamic Republic.

Crude prices had settled lower during Tuesday's trading session after hitting fresh highs, as talks between French President Emmanuel Macron and US President Donald Trump were seen as raising the odds of preserving the 2015 Iran nuclear agreement.

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