By Srinivas Chowdary Sunkara // petrobazaar // 3rd June, 2022.
Brent oil August futures traded $1.32 or 1.14 pct up to close at $117.61 a barrel on London based ICE futures Europe exchange while U.S crude oil, WTI futures prices rose $1.61 or 1.4 % to settle at $116.87 a barrel on NYMEX last night. In Shanghai, Crude oil main contract futures prices went down 20.4 Yuan to 714.5 Yuan/bbl while MCX crude oil front month futures prices surged Rs.66 or 0.73 pct to Rs.9052 a barrel yesterday. Brent traded at a premium of 74 cents over WTI during the session.
The world crude oil price index curves demonstrated upside momentum after turning down in the early trading yesterday. Both the benchmarks prices were buoyed up by bullish U.S weekly numbers that showed high demand for fuel. EU sixth package of sanctions against Russia, which will include an immediate ban on new insurance contracts for ships carrying Russian oil shrugged off OPEC+ group decision to agree to boost 648Kbpd to offset missing barrels from Russia to ease surging oil prices and inflation. Although producers group increase a little bit higher than market expectations, In reality, It will add a very little to existing supplies. Oil complex has been also supported by China's gradual emergence from Covid restrictions. Today, Asian markets opened in red, Clawing back some of yesterday's gains. U.S weekly rig numbers are due later today. Oil futures are marching towards another weekly gains.
Good day to all.
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