oil rises as output cut extension expected
Last Updated : GMT 06:49:16
Arab Today, arab today
Arab Today, arab today
Last Updated : GMT 06:49:16
Arab Today, arab today

Oil rises as output cut extension expected

Arab Today, arab today

Arab Today, arab today Oil rises as output cut extension expected

An oil pump
London - Arab Today

Oil prices rose on Friday on growing expectations that big crude exporters will extend output cuts to curb a persistent glut in inventories.
Brent crude was up 77 cents at $53.28 at 1328 GMT, its highest since April 21, while US benchmark crude oil was up 67 cents at $50.02.
Since the start of March, the Brent price has swung from more than $56 a barrel to less than $47 as opinion swayed over whether cuts by the Organization of the Petroleum Exporting Countries (OPEC) and other producers will offset rising US output.
“The battle between bulls and bears is raging on oil,” said Greg McKenna, chief market strategist at futures brokerage AxiTrader.
“On the one hand, you have traders who worry about the efficacy of OPEC’s oil cuts on inventory levels. On the other, there are those who are focused on the real drawdowns that have started to occur in US oil stocks over the past month or so,” he said.
Saudi Arabia and non-OPEC Russia have said they see a need for an extension to output reductions. The initial agreement between OPEC and other producers was for cuts of 1.8 million barrels per day (bpd) to run through the first half of 2017.
OPEC and other producers are due to discuss an extension during an OPEC meeting on Thursday.
“One of the biggest difficulties facing OPEC, however, is that there is a lag between output cuts and inventory changes,” Bank of America Merrill Lynch said in a note.
It said OPEC-led cuts take about three quarters to start drawing down inventories but US shale producers can ramp up output in just four quarters to fill in the gap left.
Russia’s largest oil producer Rosneft said on Thursday it was ready to stick to crude output agreements with OPEC.
“I think the cuts are enough to stabilize the market. I think they will likely bring some stock draws but I don't think it will bring the stock draws that OPEC is hoping for,” said Olivier Jakob, managing director at Petromatrix.

Source: Arab News

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

oil rises as output cut extension expected oil rises as output cut extension expected

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

oil rises as output cut extension expected oil rises as output cut extension expected

 



GMT 03:28 2018 Tuesday ,09 January

Dior Paris fashion exhibition breaks

GMT 21:23 2017 Friday ,28 July

US State Secretary arrives in Kuwait

GMT 23:54 2017 Wednesday ,27 September

DEWA to give away great prizes during GITEX 2017

GMT 19:22 2017 Thursday ,05 October

PM confers with AFDB delegation on ways

GMT 14:52 2017 Thursday ,19 October

Goalkeeping gaffe hands Man Utd win

GMT 14:42 2018 Wednesday ,26 September

Ukrainian leader stumbles into Russian delegation’s room

GMT 07:46 2018 Wednesday ,26 September

HRH Premier to address UN high-level health meetings

GMT 13:50 2017 Wednesday ,27 December

WAM to launch ‘Kids' Bulletin

GMT 12:36 2017 Sunday ,05 February

Nadia Murad calls Trump for not closing his country

GMT 14:26 2017 Friday ,13 October

UAE’s first hydrogen station opened

GMT 16:16 2017 Thursday ,23 February

Argentine, Spanish leaders discuss how to boost ties

GMT 14:09 2017 Thursday ,02 November

Tillerson touts US-India partnership on South Asian tour
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2025 ©

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2025 ©

arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday