By Srinivas Chowdary Sunkara // petrobazaar // 6th August, 2018.
Oil futures spent another week with mostly sideway movements. WTI opened strong on last Monday but quickly pushed back on Tuesday and continued struggling through out the week to reach previous week's closing price. Brent closed down at $73.21 with a weekly loss of around 2.1 pct and WTI posted 0.3% loss at $68.49 for straight fourth week. China rejecting the U.S plea to reduce Iran oil and continued tariff tensions weighed on oil prices. U.S drillers were looked to be discouraged with the latest quarterly results which spurred to cut rig activity for another week.
The Naval exercise of Iran near 'Straight of Hormuz' is really concerning and prices are expected to be in stress. Today morning, markets took a breath on a report of dip in Saudi's production for July month by 200,000 barrels while Russia and U.S continued to hike production. Today Asian markets are opened in green and trading mix at the time of reporting. Increasing demand for middle distillate products in global market might create some demand for crude oil. Turning to reports, IEA and OPEC monthly oil reports are due to release later this week. Good day.
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