By Srinivas Chowdary Sunkara // petrobazaar // 28th Mar, 2019.
Brent futures prices dropped by 14 cents or 0.21% to $67.83 while WTI prices slipped by 53 cents or 0.88% to $59.41 a barrel yesterday. Shanghai crude oil main contract rose by 5.5 Yuan or 1.21% to 458.8 Yuan/barrel while MCX crude futures in India fell by Rs.31 to Rs.4119. Both the global crude markers sank after EIA reported slightly bearish weekly numbers. Venezuela plunged into energy crisis for the second month, Limited the price slump. Oil prices have been supported by OPEC cuts and gained around 25% during the year.
On the other hand, Uncertainty is on increase while the trade war with U.S is a note of the table. There is a general cooling period in the economy and recession risks are high compared to 2008. presently, 'Tight supply' is the news not the 'demand', as per an analyst.
Turning to weekly data, EIA reported that there was a little build of 2.8Mbpd of crude supplies while gasoline and distillates stocks were drawn by 2.9Mbpd and 2.1Mbpd respectively during the last week. Asian markets opened under pressure today and markets will look into rig numbers to move further.
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