By Srinivas Chowdary Sunkara // petrobazaar // 7th Aug, 2021.
Brent oil futures prices for Oct delivery slid 59 cents or 0.83 pct to $70.7 a barrel on London based ICE futures Europe exchange. WTI oil Sep futures prices closed down 81 cents or 1.17% to $68.28 a barrel on NYMEX last night. In Shanghai, Crude oil main contract futures prices went up 11.8 Yuan or 2.8 pct to 433.2 Yuan/bbl while MCX front month futures prices settled Rs.24 down to Rs.5097 a barrel yesterday. Brent traded at a premium of $2.42 a barrel over WTI during the session.
The world crude oil price index curves turned down after a rise in the early session. Both the benchmarks logged in steepest weekly losses in months. For the week, Brent shed more than 6%, Its largest loss in four months, and WTI tumbled nearly 7% in its biggest weekly decline in nine months. Travel restriction by countries to curb the spread of the Delta variant of COVID-19 may derail oil demand, Bearish weekly numbers and discouraging Chinese factory growth numbers pushed markets to prefer sell-off during the week. As per analysts, The current price actions is really a function of the macro picture and The Delta variant is now started hitting home that made investor to prefer risk aversion. Turned to weekly numbers, U.S drillers added another 2 oil rigs to 387 this week as per Baker Hughes report.
Good day and happy week end to all.
Disclaimer: Views and opinions expressed here are personal. This commentary is for information purposes only and not an offer or a solicitation to sell or buy any physical commodities or financial instruments. The views and analysis are based on reliable public information available at the time of writing. This report and its content cannot be copied, redistributed or reproduced in part or whole without the prior written permission of petrobazaar.com
