By Srinivas Chowdary Sunkara // petrobazaar // 20th Sep, 2022.
Brent oil prices for Nov delivery rose 65 cents or 0.71 pct to settle at $92 a barrel on London based ICE futures Europe exchange while WTI oil Oct futures prices inched up 62 cents or 0.73 pct to close at $85.73 a barrel on NYMEX last night. In Shanghai, Crude oil main contract futures prices slipped 28.8 Yuan to 634.7 Yuan/bbl where as MCX crude oil front month futures prices closed Rs.21 up to Rs.6825 a barrel yesterday. Brent premium over WTI widened to $6.27 a barrel during the session.
The world crude oil price index curves moved up for the second session after fall last week. Both the benchmarks traded up marginally as worries of tight oil supplies outweighed economic fears. On the supply side, OPEC+ fell short of its oil production by 3.583 Mbpd in August as per the internal doc. Surveys of group's production so far showed that producers will not be able to meet any increase in demand. Iran is ready to slash prices to counter Russia's growth in sales. Central banks across the world are ready to increase interest rates this week to tame high inflation which will in turn strengthen the dollar that makes oil costly. Many traders are sidelines to wait till Fed news comes out. Easing Covid-19 restrictions in China could also provide some optimism to oil complex. Today, Asian markets opened in green, Taking back some of the losses in previous sessions. Fed news is awaited apart from weekly data.
Good day to all.
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