By Srinivas Chowdary Sunkara // Petrobazaar // 28th Jan, 2022.
Brent oil March futures prices slipped 62 cents or 0.69 pct to close at $89.34 a barrel on London based ICE futures Europe exchange. WTI oil futures prices for April delivery went down 74 cents or 0.85% to settle at $86.61 a barrel on NYMEX last night. In Shanghai, Crude oil main contract futures prices rose 3.5 Yuan to 542.6Yuan/bbl while MCX crude oil front month futures prices traded Rs.159 higher at Rs.6537 a barrel yesterday. Brent traded at a premium of $2.73 a barrel over WTI during the session.
The world crude oil price index curves continued to hover at seven year's high levels after touching above $90 during the week. Both the benchmark prices slid yesterday in a volatile trade with both contracts see-sawing between positive and negative territory. Prices surged in the previous session amid tensions between Russia and the West over Ukraine. Biden warned Ukraine's president that there is a “distinct possibility” Russia could take military action against Ukraine in Feb. Russia said that doors kept open for dialogue. The market is very erratic on headlines on the Russia-Ukraine situation. Uncertainty prevailed across the market on the above issue. U.S federal reserve likely to increase interest rates, Strong dollar Kept weigh on oil prices. Today, Oil futures are trading in green, clawing back some of yesterday's losses. Both the benchmarks are set to log in sixth weekly gain. Baker Hughes numbers are due later today. Markets keep eye on OPEC scheduled meeting on Feb 2nd.
Good day 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
