By Srinivas Chowdary Sunkara // petrobazaar //21418
Crude oil prices remains firm
Yesterday, Crude oil prices changed a little and remains at late 2014 high levels. During the week, Both the oil futures touched record high levels after 2014. WTI recorded second weekly gain continuously while Brent added above 1.5% during week. Strong demand backed the oil prices while Geo-political issue of expiration of the current U.S waive of key sanctions against Iran extended support to oil prices. Russia's statement of easing output restrictions, Rising U.S production are the factors weigh on oil prices. There was a profit booking on Friday after hefty buying on Thursday. Baker Hughes reported another round of rise in U.S.oil rigs.
Additional rigs are reported in U.S
Baker Hughes reported that U.S added another 5 oil rigs into drilling operations, bringing oil rig count to 820 nos.. 132 rigs were added up since last year. The over all rig count was increased by five rigs while West Texas' Permian basin alone accounted for a jump with 8 rigs during the week. Cana Woodford, Dj-Niobrara, Granite Wash, Utica and Williston basins lost small number of rigs.
Crude oil price update
U.S crude futures, WTI for the month of May lost 40 cents to $68.38 per barrel on Nymex while Brent futures to be delivered in June increased 28 cents to close at $74.06 or 0.38% on London based ICE futures Europe exchange. Crude futures on INE for Sep delivery lost 0.4 yuans while In India Mcx traded with Rs.130 gains during the week.
News of Increase in rig count will weigh on oil prices. Trump tweet on high oil prices will have bearish impact on prices. JMMC meeting outcome is to be considered to bet on Monday.
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