By Srinivas Chowdary Sunkara // petrobazaar // 28th Oct, 2019.
Brent oil prices rose 35 cents to $62.02 and WTI oil futures gained 43 cents to $56.66 a barrel on late week. In Shanghai, Crude oil main contract futures prices dropped by 1.2 Yuan or 0.27% to 447.3 Yuan/barrel while MCX crude futures for Nov delivery settled Rs.13 up at Rs.4021. Brent traded at a premium of $5.36 to WTI on Friday.
The world crude bench mark futures registered strong weekly gains last week. The energy complex derived support from optimism surrounded by the progress in U.S-China trade talks and prospectus of possible rein in supplies by producer's club. Surprise drawings in U.S inventories outweighed ongoing broader economic concerns. Turning to weekly numbers, Checking rig count is the ideal method to understand the flow of hydrocarbons. U.S drilling activities continued to be hit hard with as the drillers took out another 17 oil rigs from the operation. Analysts says that it is not good sign to oilfield services companies and to the workforce. The decline might be due to price volatility with no guaranteed uptick near future.
Today morning, Oil indices opened in green during Asian hours, continuing last week's gains on Russia reaffirm pledge to rein in supplies in cooperation with OPEC+. Bulls festival may continue amid positive vibes across the market.
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