Oil prices rebounded Friday after hitting their lowest settlement of 2017, but registered their fourth weekly loss in a row—the longest such streak of declines in nearly two years.
Data earlier in the week showing a rise in U.S. production and weak domestic gasoline demand fed concerns that the global energy market remains awash in surplus oil, keeping pressure on prices.
On Thursday, WTI settled at its lowest since Nov. 14, as “bearish investors exploited the unexpectedly large build in gasoline inventories to instigate renewed rounds of selling,” said Lukman Otunuga, research analyst at FXTM, in email commentary.
“The King Dollar’s return weighed heavily on the commodity by making it more expensive for buyers utilizing other currencies,”
With “oil displaying repeated signs of weakness,” despite the Organization of the Petroleum Exporting Countries and some non-OPEC producers cutting production by 1.8 million barrels a day, and with U.S. shale producers “pumping incessantly, there is a threat of price weakness becoming a recurrent theme,”
The output cuts, which have been extended through March of next year, have so far failed to bring global inventories down to OPEC’s targeted five-year average.
Earlier this week, the International Energy Agency offered a grim forecast that a gusher of new supplies from the U.S. stands to keep the market well-flushed for some time.
Petroleum-product prices on Nymex ended higher Friday. July gasoline RBN7, +1.29% was rose 1.9 cents, or 1.3%, at $1.455 a gallon—though finishing down about 3.1% on the week, and July heating oil HON7, +0.82% added 1.2 cents, or 0.9%, to $1.427 a gallon, paring its weekly loss to about 0.3%.
July natural gas NGN17, -0.85% shed 1.9 cents, or 0.6%, to $3.037 per million British thermal units. It lost less than 0.1% for the week.
Get Free Silver Tips With Accurate Calls By Our Expert Researcher, Amazing MCX Bullion Tips, Commodity Trading Tips, Crude Oil Tips...
For More Detail You Can Call On:- 0731-6669900, 6790000
0 comments:
Post a Comment