Oil prices fell on Wednesday, dragged down by concerns about global economic growthas the U.S.-China trade dispute rumbled on, but receiving some support from tightened supply. An eight-month trade war between China and the United States has worried global markets already concerned by signs of a slowdown in economic growth this year. U.S.-China trade talks continue to present a binary risk for the oil market and other risky assets," BNP Paribas strategist Harry Tchilinguirian told the Reuters Global Oil Forum. Click Read More below for additional detail.
Oil prices were near 2019 highs on Tuesday, supported by supply cuts led by producer club OPEC. U.S. sanctions against oil producers Iran and Venezuela are also boosting prices, although traders said the market may be capped by rising U.S. output. "The OPEC+ deal has brought stability to crude prices and signs of an extension have taken crude higher," said Alfonso Esparza, senior market analyst at futures brokerage OANDA. Click Read More below for additional detail.
The Organization of the Petroleum Exporting Countries and its allies said Sunday they were deepening their production cuts beyond the 1.2 million barrels per day agreed to in December. But Saudi Arabia and Russia appeared to disagree on whether the reductions should be extended into the second half of the year. OPEC-plus is not likely to decide whether to extend its oil-production cuts until June, closer to their scheduled expiration, Saudi energy minister Khalid al-Falih said, according to S&P Global Platts. The coalition has already scheduled another meeting over June 25-26 in Vienna. Click Read More below for additional detail.
National Average Price for Regular Unleaded – Current: $2.534; Month Ago: $2.295; Year Ago: $2.532. National Average Price for Diesel – Current: $3.014; Month Ago: $2.920; Year Ago: $2.930.
American Dollar to Canadian Dollar = 0.750053; American Dollar to Chinese Yuan = 0.148963; American Dollar to Euro = 1.131730; American Dollar to Japanese Yen = 0.008953; American Dollar to Mexican Peso = 0.051944.
The WTI Crude Oil market rallied slightly during the trading session on Monday to kick off the week, but we are right at an area where the market had sold off drastically so I do not think it’s going to be easy to continue going higher. That being the case though, it looks as if the inverted head and shoulders pattern is trying to prove itself, and therefore I like the idea of buying a pullback near the $55 level, and it could send this market much higher. This is a market that will continue to get a bit of a boost due to the greenback falling, and I do believe that we are going to make a move towards the gap at the $60 handle above. However, there will be the occasional pullback to offer value.
Oil futures reached four-month highs on Thursday, but later dipped after a report that a meeting between the U.S. and Chinese presidents to resolve a trade dispute had been delayed. Bloomberg reported that U.S. President Donald Trump and Chinese President Xi Jinping may not meet until April at the earliest, after the Wall Street Journal said this month that Xi and Trump could meet around March 27. A continuation of the tariff war between the world’s top two economies could dent growth in fuel demand and dent prices. Click Read More below for additional detail.
Oil prices rose on Wednesday, buoyed by an official forecast showing slower-than-expected U.S. production, and as U.S. sanctions stall exports from Venezuela. The U.S. Energy Information Administration (EIA) said on Tuesday that U.S. crude production was expected to grow more slowly in 2019 than it had previously expected, averaging about 12.30 million barrels per day (bpd). The EIA revised down its projected 2020 production figure from 13.20 million bpd to 13.03 million bpd. Click Read More below for additional detail.
National Average Price for Regular Unleaded – Current: $2.460; Month Ago: $2.283; Year Ago: $2.534. National Average Price for Diesel – Current: $3.002; Month Ago: $2.923; Year Ago: $2.941.
American Dollar to Canadian Dollar = 0.743109; American Dollar to Chinese Yuan = 0.148732; American Dollar to Euro = 1.122320; American Dollar to Japanese Yen = 0.008998; American Dollar to Mexican Peso = 0.051090.