Home » Brent Oil
Category Archives: Brent Oil
The both crude Oil benchmarks are extending gains, with WTI rallying +0.95% to $ 38.11 while the Brent oil rises +0.75% to $ 40.14. Oil prices extend further into the green, territory, after having jumped over 5% on Wednesday, as oil markets cheer the surprisingly positive EIA crude reserves report, which revealed that the US crude stocks fell by 4.94 million barrels over the week to April 1, after seven straight weeks of expansion. While markets had predicted a rise of about 3 million barrels for last week.
Focus Doha Meeting.
Coming April 17 Doha meeting over the oil output freeze talks, also continues to underpin the sentiment around the black gold.
The both crude benchmarks are seen extending to the upside, with WTI rallying 2.45% to $ 36.77 while the Brent oil rises +1.64% to $ 38.49. Oil prices is seen trading with size-able gains this session as sentiment remains buoyed after the API inventory report revealed that the US crude reserves declined for the first time in three weeks, offering some respite to the oil bulls.
The American Petroleum Institute reported late on Tuesday that US crude inventories fell by 4.3 million barrels over the week to April 1. Analysts had expected growth of about 3.2 million barrels.
Moreover, rising expectations that the official EIA stockpiles report due later today will also show a withdrawal, collaborated to the upside in the black gold. Markets predict crude reserves in the US to have expanded by another 3.1 million barrels, following a rise of 2.3 million barrels a week before.
Focus 17th April’s Meeting & FOMC Minutes.
Markets believe that the output freeze talks may soon become reality as we head closer towards April 17 Doha OPEC producers meeting to discuss the oil output freeze deal, proposed earlier this year, in order to limit production at January levels. Meanwhile, the FOMC minutes will be also closely eyed for any further move on the USD priced-in oil.
The both crude benchmarks are seen hovering near two-week troughs, with WTI losing -1.15% to $ 37.87 while the Brent oil drops 1% to $ 39.67. Oil prices extend their losing streak into early Europe as resurgence of oversupply fears following a continued rise in the US crude stocks for the seventh straight week weighed on the sentiment around the black gold.
EIA weekly report showed stockpiles in the US expanded by 2.3 million barrels over the week to March 25, and hit a new record high of 534.8 million barrels.
The markets await crucial US macro releases in the upcoming sessions, while the US rigs count report due tomorrow is also eagerly awaited.
The both crude benchmarks are seen wavering in the green, with WTI up 0.97% to $ 38.65 while the Brent oil rises 0.78% to $ 40.15. Oil prices edged higher this Wednesday as a broadly weaker greenback aided the recovery in the black gold after a 5-day sell-off.
The American Petroleum Institute said that crude stocks rose 2.6 million barrels last week, above the 2.0 million barrels gain seen. Distillates stocks fell 95,000 barrels, while gasoline stock dropped 1.94 million barrels.
Markets now await the US ADP jobs report for further USD moves, while the official government stockpiles data by the EIA will be also closely eyed. Markets predict a rise of 2.27 million barrels.
The both crude benchmarks are seen adding to the previous losses, with WTI losing -0.74% to $ 39.10 while the Brent oil drops -0.93% to $ 40.49. Oil prices keep the red zone amid resurgence of supply overhang concerns as the US crude supplies are expected to rise for the seventh consecutive week. The US crude inventories are expected to expand for the seventh straight week in the week ended March 25, and hit a fresh record high.
Analysts at Barclays explained that oil prices may slip back the $30 levels if net inflows into commodities dissipate.
Focus API & EIA Report’s
Focus now remains on the API and official government (EIA) weekly stockpiles report for next direction on the oil prices.
The Brent Oil Futures currently trade around largely unchanged on the day around $41.30/barrel. Bullish momentum ran out of steam at a session high of $41.66 levels as the USD index ticked higher as bears squared off shorts ahead of the weekend.
Oil is likely to continue tracking the movement in the USD index ahead of the US oil rig count figures.
Brent Oil prices currently trade around $41.20, after having clocked a session high of $41.41 levels. USD is being sold across the board after Fed came out dovish. A weak dollar is making commodities costly.
Oil prices were already on the rise after having bounced off the 100-DMA support on Tuesday. Moreover, oil benchmarks are upbeat after OPEC and non-OPEC members decided to meet in April irrespective of whether Iran agrees to attend or not.