By Srinivas Chowdary Sunkara // petrobazaar // 11th Nov, 2021.
Brent oil futures prices for Jan delivery dived $2.14 or 2.52 pct to close at $82.64 a barrel on London based ICE futures Europe exchange. In U.S, WTI oil Dec futures prices plunged $2.81 or 3.34% to settle at $81.34 a barrel on NYMEX last night. In Shanghai, Crude oil main contract futures prices rose 13.1Yuan to 538 Yuan/bbl while MCX crude oil front month futures prices traded Rs.130 or 2.09pct lower to Rs.6090 a barrel yesterday. Brent traded at a premium of $1.3 a barrel over WTI during the session.
The world crude oil price index curves demonstrated downside momentum after moving up during the early trading hours yesterday. Both the benchmark prices dropped sharply on dollar strengthening followed by U.S President Joe Biden statement that his administration is looking for options to reduce energy cost amid surge in inflation. Consumer price index on Wednesday showed that U.S prices were rising at a 6.2% year-over-year rate that spurred both the White House and U.S federal reserve to focus, That boosted dollar. Turning to EIA weekly data, U.S crude stocks rose 1 Mbpd while gasoline and distillates stocks were drawn by 1.6Mbpd and 2.6Mbpd respectively during last week. Domestic production remained unchanged at 11.5Mbpd while dip in net imports were compensated by a marginal increase in net exports. Refinery throughput went up with a moderate increase in operable capacity and percentage utilisation. Product draws indicates demand outlook. Cushing stocks remained unchanged during the last week. Today, Asian markets opened in green taking out some of the losses during the yesterday's session.
Good day to all.
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