By Srinivas Chowdary Sunkara // petrobazaar // 1st Sep, 2022.
Brent oil futures prices for October delivery slid $2.82 or 2.84 pct to $96.49 a barrel on London based ICE futures Europe exchange while WTI oil Oct futures prices slipped $2.09 or 2.28% to close at $89.55 a barrel on NYMEX last night. In Shanghai, Crude oil main contract futures prices slumped 20.2 Yuan to 716.5 Yuan/bbl where as in India, MCX crude oil front month futures prices traded Rs.154 down to Rs.7177 a barrel yesterday. Brent traded at a premium of $6.94 a barrel over WTI during the session.
The world crude oil price index curves continued to demonstrate downside momentum as Chinese factory numbers flagged lackluster demand. Inflation fears after increasing interest rates in West, Compounded economic fears across the world. On the data side, EIA reported that U.S crude and gasoline stocks were drawn by 3.3 Mbpd and 1.2Mbpd respectively while distillates stocks were up by 0.1Mbpd during the last week. Although weekly numbers extended support to oil complex, Widening gap between paper and physical markets reversed the pattern. OPEC+ meet is scheduled on Sep 5th. Since some of the group members called for cuts, This meeting is in focus. Today, Asian markets opened in red extended previous session losses. Rig numbers are due during the week.
Good day to all.
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