Oil price

Oil prices tumbled Tuesday with the U.S. benchmark falling below $100 as recession fears grow, sparking fears that an economic slowdown will cut demand for ...

Goldman has a $140 target on Brent. "We're at critically low inventories across the space," he said. "Recessions don't have a great track record of killing demand. The national average has since pulled back amid oil's decline, and sat at $4.80 on Tuesday. At one point WTI slid more than 10%, trading as low as $97.43 per barrel. "[T]he oil market appears to be homing in on some recent weakening in apparent demand for gasoline and diesel," the firm wrote in a note to clients.

Oil prices dropped as concerns over a possible recession affecting fuel demand eclipsed supply disruption fears.The latest hike in gas and fuel prices have ...

U.S. West Texas Intermediate (WTI) crude fell 15 cents, or 0.1%, to $108.28 a barrel, from Friday's close. The strike is expected to reduce oil and gas output by 89,000 barrels of oil equivalent per day (boepd), of which gas output makes up 27,500 boepd, Norwegian producer Equinor has said. In South Korea, inflation in June hit a near 24-year high, adding to concerns of slowing economic growth and oil demand. "Oil is still struggling to break out from its current recessionary malaise as the market pivots away from inflation to economic despair," Stephen Innes of SPI Asset Management said in a note. Oil prices slipped on Tuesday, reversing earlier gains, as concerns of a possible global recession curtailing fuel demand outweighed supply disruption fears, highlighted by an expected production cut in Norway. The latest hike in gas and fuel prices have also added to worries about a recession

But while Saudi Arabia lifted the August price for its flagship crude grade to Asia, Arab Light, by $2.80 per barrel, the price of Brent and WTI crude fell ...

But while Saudi Arabia lifted the August price for its flagship crude grade to Asia, Arab Light, by $2.80 per barrel, the price of Brent and WTI crude fell sharply. Also on Tuesday , a Citi report suggested that oil prices could fall to as low as $65 per barrel by the end of this year and as low as $45 by the end of next year if the world enters a recession and demand tanks. The price of WTI crude oil slipped $9.01 per barrel by 12:37 pm ET below $100 per barrel to $99.42 (-8.31%), while Brent crude sank $10.41 per barrel to $103.10 (-9.17%). Saudi Arabia sets the pricing trend for most of the Middle Eastern oil exporters and is typically seen as a bellwether for the state of the oil market. The plummeting price action comes as Saudi Arabia announced a price hike for all its crude grades in August to its prized market, Asia. Saudi Arabia’s price hike comes mostly as expected by the market on strong refining margins and expectations of strong demand. Crude oil prices fell by nearly 7% on Tuesday as fears of a recession mount—a scenario that could put a dent in oil demand.

Oil steadied near $100 a barrel as banks including Goldman Sachs Group Inc. said a plunge driven by fears a recession will hurt demand was overdone, ...

Slowing demand and recession fears helped bring the benchmark U.S. oil price below $100 a barrel Tuesday, continuing a rapid turnaround from soaring levels ...

Oil prices shot higher earlier this year as war in Ukraine disrupted supply lines and the world-wide postpandemic reopening lifted demand. The growth outlook is darkening as central banks work to get inflation under control by cooling economic activity, pulling down traders’ forecasts for oil demand. Slowing demand and recession fears helped bring the benchmark U.S. oil price below $100 a barrel Tuesday, continuing a rapid turnaround from soaring levels in recent months.

KUALA LUMPUR :Oil prices rose as much as nearly 3 per cent on Wednesday before paring some gains as investors piled back into the market after a heavy rout ...

Advertisement More G10 central banks raised interest rates in June than in any month for at least two decades, Reuters calculations showed. Worries about a recession, however, have continued to weigh on markets. Advertisement Advertisement

Global benchmark Brent crude LCOc1settled at US$102.77 a barrel, losing $10.73, or 9.5%. U.S. West Texas Intermediate (WTI) crude CLc1ended8.2%, or $8.93, lower ...

There was no WTI settlement on Monday because of a U.S. holiday. Meanwhile, Russia's former President Dmitry Medvedev said a reported proposal from Japan to cap the price of Russian oil at about half its current level would mean less oil on the market and could push prices above $300-$400 a barrel.- Reuters Late in the session, the Norwegian government intervened to stop the strike that had cut oil and gas output, a labour union leader told Reuters. If a recession does hit, and takes a significant bite out of energy demand, more wild swings to the downside could be in store, said Andy Lipow, president of consultancy Lipow Oil Associates. In South Korea, inflation hit a near 24-year high in June, adding to concerns about slowing economic growth and oil demand. NEW YORK: Oil price plummeted about 9% on Tuesday in the biggest daily drop since March on growing fears of a global recession and lockdowns in China that could slash demand.

Brent crude futures rose as much as $3.08, or 2.9%, to $105.85 a barrel in early trade after plunging 9.5% on Tuesday, the biggest daily drop since March. It ...

Worries about a recession, however, have continued to weigh on markets. More G10 central banks raised interest rates in June than in any month for at least two decades, Reuters calculations showed. Brent crude futures rose as much as $3.08, or 2.9%, to $105.85 a barrel in early trade after plunging 9.5% on Tuesday, the biggest daily drop since March. It was last up 92 cents, or 0.9%, at $103.69 a barrel at 0243 GMT. U.S. West Texas Intermediate crude climbed to a session high of $102.14 a barrel, up $2.64, or 2.7%, after closing below $100 for the first time since late April. It was last up 46 cents, or 0.5%, at $99.96 a barrel. Oil prices rose as much as nearly 3% on Wednesday before paring some gains as investors piled back into the market after a heavy rout in the previous session, with supply concerns returning to the fore even as worries about a global recession linger. - Brent crude futures rose as much as $3.08, or 2.9%, to $105.85 a barrel in early trade after plunging 9.5% on Tuesday, the biggest daily drop since March. It was last up 92 cents, or 0.9%, at $103.69 a barrel at 0243 GMT. - U.S. West Texas Intermediate crude climbed to a session high of $102.14 a barrel, up $2.64, or 2.7%, after closing below $100 for the first time since late April. It was last up 46 cents, or 0.5%, at $99.96 a barrel. - Oil prices rose as much as nearly 3% on Wednesday before paring some gains as investors piled back into the market after a heavy rout in the previous session, with supply concerns returning to the fore even as worries about a global recession linger.

U.S. gasoline refineries have been operating at near-maximum utilization levels as demand continues to climb.

For the 2022 hurricane season, NOAA is forecasting a likely range of 14 to 21 named storms, of which 6 to 10 could become hurricanes, including 3 to 6 major hurricanes. In its June Short-Term Energy Outlook (STEO), the administration forecast that U.S. refinery utilization would be relatively high this summer in response to strong wholesale prices for petroleum products. The EIA expects America’s refinery utilization to reach a monthly average level of 96% twice this summer, “near the upper limits of what refiners can consistently maintain.” In the week of June 24, the average U.S. refinery utilization rate stood at 95%, with the East Coast and Gulf Coast rates at 98%, per EIA’s latest weekly report. It should also be noted that operable capacity across America’s refineries is now 17.944 million bpd, down by 1 million bpd compared to 18.976 million bpd two years ago. As these trends continue, drivers will likely continue to see relief at the pump,” AAA said last week, just before the July 4 holiday weekend. If one or more of those expected major hurricanes make landfall along the U.S. Gulf Coast, where a lot of refining capacity is located, some refiners could be forced to preventively shut down or could be at risk of flooding, which would additionally tighten the fuel market in the United States. Analysts are of the same opinion, too. The trend of high gasoline production is set to continue in the near future as refiners run at full tilt to take advantage of the high refining margins. Refiners are running crude processing at full tilt. Refinery utilization at 95% is at its highest since before COVID—September 2019. “Gas demand currently sits at 8.93 million b/d, which is lower than last year’s rate of 9.11 million b/d at the end of June. On the other hand, total domestic gasoline stocks increased by 2.6 million bbl to 221.6 million bbl.

For oil, the historical evidence suggests that oil demand goes negative only in the worst global recessions. But oil prices fall in all recessions to ...

If that’s the case, oil demand may be weakened from the downturn, but it should still see annual growth. But oil prices fall in all recessions to roughly the marginal cost,” Citi analysts said in a note. "Unless the war in Ukraine spills over to the rest of Europe, the next recession looks more likely to resemble that of 1990-1991 than of 2007-2008. West Texas Intermediate crude, the US oil benchmark, slid 8.4 per cent, or $9.14, to trade at $99.29 per barrel. In the meantime, Russia's former president Dmitry Medvedev said on Tuesday that a reported proposal from Japan to cap the price of Russian oil at around half its current price would lead to significantly less oil on the market and could push prices above $300-400 a barrel. The contract last traded under $100 on May 11.

Brent crude futures rose by $1.62, or 1.58%, to $104.39 a barrel at 0839 GMT. U.S. West Texas Intermediate (WTI) crude climbed $1.04, or 1.05%, to $100.54 a ...

read more Brent's six-month market structure was in steep backwardation of $15.12 a barrel, up by just 70 cents from the previous day. read more read more read more

With crude prices under pressure from growing fears of a global recession while supply side threats hang over the market, the near term price forecasts for ...

06/06/2022 06/06/2022 The bank only gave the recession scenario a 10% chance of occurring, however. In May, the producer group fell short of its production targets by about 2.7 million b/d, according to its own assessments. For 2023, the Brent forecast gap widens further. The rout was the third-largest absolute price drop since Brent futures trading started in 1988.

HOUSTON — The global benchmark for oil dropped below $100 a barrel on Wednesday for the first time since late April as fears of a looming recession spread ...

Motorists are paying $1.65 a gallon more on average than a year ago. If Europe runs short of natural gas next winter, utilities will be forced to burn more oil, which could crimp supplies and raise crude prices. There is a sharp divergence of opinion among experts about where the oil price will go in the weeks and months ahead.

The Kremlin criticised Japan on Wednesday (Jul 6) over what it called a "very unfriendly position" towards Russia, saying this hampered the development of ...

"We discussed Mr Kishida's proposal yesterday and have said that this is only an initiative announced, there were no consolidated decisions taken," Peskov said. Advertisement Advertisement

Allies have been exploring several ways to limit Russias oil revenues while minimizing the impact on their own economies in discussions that began in the ...

Oil buyers would need access to lower prices and to the key services such as insurance that they need to transport the commodity. To work, the US-driven idea of an oil cap would need to create enough of an incentive for countries to want to participate. The Biden administration considers a cap of $40 to be too low, two of the people said. Oil buyers would need access to lower prices and to the key services such as insurance that they need to transport the commodity. The UK is also poised to introduce restrictions on its insurers and service providers, one of the people familiar said. G-7 countries and the EU have already agreed to phase out importing Russian oil. Biden administration officials are having multiple meetings a week on the price cap now, trying to push it into reality, one official said. To work, the US-driven idea of an oil cap would need to create enough of an incentive for countries to want to participate. The Biden administration considers a cap of $40 to be too low, two of the people said. The UK is also poised to introduce restrictions on its insurers and service providers, one of the people familiar said. G-7 countries and the EU have already agreed to phase out importing Russian oil. Biden administration officials are having multiple meetings a week on the price cap now, trying to push it into reality, one official said.

But sources told Bloomberg the Biden administration was concerned a price cap of $40 would be too low.

Discussions for a price cap emerged after the European Union agreed to phase in a partial ban on Russian oil. Russian crude traded at roughly $80 a barrel before benchmark prices sold off earlier this week. - Russian crude traded at roughly $80 a barrel before benchmark prices sold off earlier this week.

The Kremlin criticised Japan on Wednesday (6 July) over what it called a "very unfriendly position" towards Russia, saying this hampered the development of ...

President Vladimir Putin raised the stakes on 30 June in the economic war with the West and its allies with a decree that seizes full control of the Sakhalin-2 gas and oil project in Russia’s far east, a move that could force out Shell and Japanese investors. Japan has joined its Western allies in slapping sweeping economic sanctions on Russia over its actions in Ukraine. Moscow has also been annoyed by reports that Japanese Prime Minister Fumio Kishida has proposed capping the price of Russian oil at around half its current level. Commenting on Kishida’s reported comments, Russia’s former president Dmitry Medvedev warned on Tuesday that global oil prices might exceed $300-$400 per barrel if the price cap proposals were implemented.

Citi may not see a recession on the horizon, but the fear of a recession has cooled oil prices this week, with WTI now trading well under $100 per barrel at ...

The price is too high,” Morse said on Wednesday. “There’s no evidence that we’re going to see this summer surge in driving and summer surge in demand. Yesterday, a Citigroup report suggested that oil prices could tumble to $65 per barrel by the end of this year and to $45 per barrel by the end of next year, based on a global recession and lack of market intervention by OPEC+. Citi noted, however, that this case was not its base case, and that it did not foresee a global recession.

The only specific suggestion was to tie oil prices to insurance, with Russia only being able to insure its oil cargos at a price below a certain level. The ...

Based on analysts’ comments, putting a price cap on Russia’s oil exports could well be even more counterproductive than some of the current policies. The EU will be effecting an embargo on all seaborne Russian oil imports at the end of the year. Russian oil already sells at an often steep discount to alternatives, and a further cut in half would put the price close to the level Russia uses for its federal budget. Sen also made a crucial remark in her comments on the oil price cap. This looks like a tough job: getting the whole of OPEC+, or even its biggest members, to turn on their partner Russia would certainly be easier said than done. The only specific suggestion was to tie oil prices to insurance, with Russia only being able to insure its oil cargos at a price below a certain level.

Oil prices have plummeted to below a psychologically important level of $100 as analysts grow increasingly worried about weakening demand.

One such bull is J.P. Morgan Chase, who last week warned global oil prices could climb to a "stratospheric" $380/bbl if G7 nations succeed in imposing caps on the price of Russian oil and prompt Vladimir Putin to inflict retaliatory production cuts. Citi analysts have warned that crude prices could collapse to $65/bbl this year in the event of a recession. Meanwhile, Harold Hamm, majority owner of shale exploration giant Continental Resources (NYSE:CLR), has gone on an all-out war to buy back the company's minority stake. Smart investors appear to agree: three energy gurus led by Warren Buffett himself have chosen to follow the Oracle's time-tested market wisdom of being fearful when others are greedy, and greedy when others are fearful. The Hamm Family collectively owns 83% of the total outstanding shares of common stock. However, such a drastic reduction would be bad news for oil consumers as it would push Brent crude prices to $380/bbl. In effect, Buffett now owns 25% of OXY, counting his warrants and total shares purchased. OPEC+ producers have limited room to increase output significantly, and so are unable to provide much relief to the market," says ING head of commodity strategy Warren Patterson. Oil prices nosedived alongside the broader market on Tuesday, with U.S. crude dipping to the psychologically important level of $100/bbl as growing recession fears coupled with concerns over weakening demand outweigh a fundamentally tight supply market. Between June 17 and June 22, Buffett bought 9 million shares of Occidental Petroleum (NYSE:OXY) for around $56 per share, which compares favorably with his previous purchase of OXY in the $50-58 range. At one point, WTI crumbled more than 10% to trade as low as $97.43. Meanwhile, front-month Brent crude fell by even more, losing 9.4% to $102.77/bbl, its lowest settlement since May 10. "The most obvious and likely risk with a price cap is that Russia might choose not to participate and instead retaliate by reducing exports," "It is likely that the government could retaliate by cutting output as a way to inflict pain on the West. The tightness of the global oil market is on Russia's side,"JPM analysts wrote.

West Texas Intermediate, or WTI crude futures slipped below $100 a barrel mark for the first time since May 11 on Tuesday. Is the era of high oil prices ...

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Oil sank again as concerns over a slowdown swept through global commodity markets and US industry estimates showed rising stockpiles.

Brent crude futures fell 94 cents, or 0.9 per cent, to $99.75 a barrel after tumbling to a session low of $98.50 earlier.

However, he added that it's hard to be overly bearish on oil prices as the Brent monthly spreads remain in wide backwardation, indicating tight supplies. WTI slid 8 per cent while Brent tumbled 9 per cent - a $10.73 drop that was the third biggest for the contract since it started trading in 1988. WTI crude futures slid 79 cents, or 0.8 per cent, to $97.74 a barrel.

Oil prices continued to fall in choppy trading on Wednesday—extending recent losses as growing recession fears wreak havoc on markets, but despite concerns ...

Despite recent declines, oil prices have still jumped over 10% this year—peaking at nearly $140 per barrel in early March after Russia’s invasion of Ukraine. Prices have been falling since early June, however, with markets hard-hit by rising recession fears in recent weeks. Analysts at Goldman Sachs, meanwhile, say that recent declines have been “overshot” since global supply remains tight. Many Wall Street firms still expect prices to rebound by later this year, with the likes of Barclays, Goldman Sachs, UBS and RBC all predicting oil will trade at between $110 and $130 per barrel by the end of 2022.