By Srinivas Chowdary Sunkara // petrobazaar // 15th Sep, 2018.
Brent tested $79 yesterday and managed to close at $78.09 with a loss of 9 cents and WTI closed up with 40 cents at $68.99 a barrel on Friday. Finally both the crude bench marks closed with weekly gains after a volatile trade. Yesterday, The news of fresh U.S tariffs on China goods sparked a rally in the early hours which was cooled off after Trump's instruction to bring about $200 billion more of Chinese goods under tariff. Brent gained 1.68 pct and WTI posted 1.89% profit during the week.
On the supply front, Iran says that U.S can not bring Iran exports to zero since there is no spare capacity in the market. India is going to curb Iran imports in the month of Sep and Oct to comply with U.S sanctions as per reports. Turing to economic data, China released the data of industrial production for the month of August. China's crude production was inched up during the month apart from the growth in industrial production of 6.1 pct versus 6 pct previous. Turing to weekly data, U.S drillers added 7 oil rigs, indicating surge in U.S oil production.
After looking at this weekly trade pattern, I felt that the Speculators are keen on above $80 mark for Brent. Bulls, its your turn now. Happy week end and good day to all.
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