By Srinivas Chowdary Sunkara // petrobazaar // 24th July, 2019.
Brent oil prices rose 57 cents to $63.83 and U.S crude oil futures edged up 55 cents to $56.77 a barrel last night. Shanghai crude oil main contract futures closed 7.5 Yuan up at 436.7 Yuan/barrel while MCX crude futures closed Rs.22 higher at Rs.3916 yesterday.
Both the benchmark futures indexes traded flat most of the yesterday's session and brent climbed to near $64 late in the session. News from Persian gulf stoked tensions which offset the IMF's weaker global economic outlook yesterday. U.S claimed that they brought down Iranian drone but Tehran said that they have no clue. Turning to weekly data, API predicted fall in U.S stocks last week which could be bullish for oil despite of glut. If U.S govt. confirms the numbers today, Oil markets will be further supported. Coming supplies, Libya restarted production from its largest oil field, Sharara. Kashagan field from Kazakhstan could expand production from 370Kbpd to 450kbpd which could exacerbate the global glut, could hold back prices. Asian markets opened in green today on inventory news from API. Weekly inventory numbers and Persian gulf news are the driving factors today. Good day.
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