By Srinivas Chowdary Sunkara // petrobazaar // 16th Nov, 2022.
Brent oil futures for Jan delivery rose 72 cents or 0.77 pct to $93.86 a barrel on London based ICE futures Europe exchange while WTI oil Dec futures prices went up $1.05 or 1.22 pct to settle at $86.92 a barrel on NYMEX last night. In Shanghai, Crude oil main contract futures prices sank 13.5 Yuan to 659.1 Yuan/bbl where as MCX crude oil front month futures traded down Rs.58 or 0.83 pct to close at Rs,7041 a barrel yesterday. Brent traded at a premium of $6.94 a barrel during the session.
The world crude oil price index curves tilted towards bullishness on Optimism over subsiding U.S inflation that may subdue Federal Reserve to act on increase in interest rates. Oil benchmarks moved up along with other riskier assets and the strength was compounded with weak greenback. Analysts are in the opinion that oil prices are too shaky now a days as the investors are grappled with specific fundamental factors like recession in Europe, Covid in China and weak demand. On the data front, API reported that U.S crude stocks are expected to fell by 5.8Mbpd while gasoline and distillate stocks are predicted to be piled up. EIA will confirm numbers later today. Turning supply side, Scheduled output cuts by OPEC+ and disruption stemming from the price cap on Russia's crude exports from Dec 5 are expected to more than offset the reduction in forecast consumption. Today Asian markets are opened in red, Trading low at the time of reporting.
Good day to all.
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