Saudi Arabia 'Pumps' Oil Prices Higher

Oil Refinery

Talk that Saudi Arabia has its sights on $80-$100 United States a barrel oil again and of more USA sanctions on Russian Federation ignited a rally in commodities and resource stocks on Thursday, though the potential boost to inflation hit fixed-income assets.

Brent crude oil futures rose $1.52, or 2.1 percent, to $73.10 a barrel by 10:50 a.m. ET (1450 GMT), taking out last week's three-year high of $73.09. US shale producers are likely to keep pumping at record levels as prices rise to exploit spreads between West Texas Intermediate and Brent prices.

US crude oil inventories fell 1.071 million barrels to 427.567 million barrels for the week ended April 13, according to data from the US Energy Information Administration on Wednesday.

Crude futures were already higher ahead of the release after the American Petroleum Institute reported a 1-million-barrels drop on Tuesday afternoon.

Led by Saudi Arabia, the Organization of the Petroleum Exporting Countries (OPEC) and a group of other producers that includes Russian Federation started to withhold output in 2017 to rein in oversupply that had depressed prices since 2014. Iran, once a keen OPEC price hawk, now wants lower prices than Saudi Arabia.

A surprised jump in gasoline demand also helped drive prices higher. The meeting will play out against a backdrop of geopolitical tensions that have lifted prices and risk encouraging more US supply.

Gabrielle Union hints at playoff reward for Dwyane Wade
If Hart really caused Wade's big game, the Heat should offer him a courtside seat in Game 3 on Thursday night. The Spurs host game three on Thursday. "Just taking time to think, that's all I'm doing", Wade said.

"The idea of bearish USA production just getting dumped onto the open market and taking down oil prices is getting some reprieve for now". Oil was trading above $74 on Thursday, having reached its highest since November 2014.

The beginning of summer may herald the end of a boom for the fuel that underpinned crude's rally into a bull market a year ago. OPEC will then meet on June 22 to review its oil production policy.

"If oil prices were to move toward $80 a barrel and euro weakened a bit, there could be some inflation pressure", said Rabobank's head of macro strategy Elwin de Groot.

The impression is that oil prices are seen as not yet high enough to encourage sufficient oil investment.

Meanwhile, production continues to decline in Venezuela, where economic crisis has paralyzed the nation's lifeblood oil industry.

OPEC's Joint Ministerial Monitoring Committee will recommend to OPEC whether the deal should be extended into 2019.

Related:

  • Love expected to play through thumb injury

    Love expected to play through thumb injury

    He made a 3-pointer 5:25 seconds into the contest, becoming the first Cavaliers player other than James to make a basket. Despite Cleveland's mission to even the series, the Pacers have shown that they are not intimidated and won't back down.
    Giants select Saquon Barkley in Albert Breer's mock draft 4.0

    Giants select Saquon Barkley in Albert Breer's mock draft 4.0

    That said, the team should have more than enough time to develop Mayfield before he will be truly needed under center. Said one executive, "That's all amusing when you're not getting 50 people fired if you miss on a quarterback".
    SEGA Announces Shenmue 1 & 2 Remasters

    SEGA Announces Shenmue 1 & 2 Remasters

    The physical and digital editions will be available to pre-order from first party stores, Steam and USA and EMEA retailers soon. The Shenmue 1 & 2 remasters will be landing both digitally and physically on Xbox One, PS4, and PC.
  • Qualcomm Slashes Jobs As It Looks To Stem Costs

    Qualcomm Slashes Jobs As It Looks To Stem Costs

    The company filings show that as of September 2017, Qualcomm had 33,800 employees, in both full and part time positions. Besides, the company is also offering packages to the employees involved in the layoffs.
    Telegram Retains Users After Russia's Ban Amid Internet Chaos

    Telegram Retains Users After Russia's Ban Amid Internet Chaos

    Durov said last week the latest version would have "built-in" features that would be able to circumvent the ban. He also thanked Apple , Google, Amazon and Microsoft "for not taking part in political censorship".
    NIA judge who delivered verdict in Mecca Masjid blast case resigns

    NIA judge who delivered verdict in Mecca Masjid blast case resigns

    However, in 2017 April, Jaipur court acquitted Swamy Aseemananda and six others in a case connected to Ajmer Dargah blast case. Seven years down the line and after examining over 200 witnesses the judge Janardhan Reddy acquitted all the five accused.
  • ZTE, Huawei bans: Genuine security concerns or part of China trade spat?

    ZTE, Huawei bans: Genuine security concerns or part of China trade spat?

    Officials at two US wireless carriers said on Wednesday that they were still assessing how the ban would affect their customers. On the other hand, Android is an irreplaceable core part of ZTE's devices, and losing it would be a huge deal.
    Syria Says False Alarm Set Off Its Air Defenses

    Syria Says False Alarm Set Off Its Air Defenses

    Near Damascus , pro-regime media had reported that three missiles had been launched at the Damir air base close to the capital. The reports claimed that six missiles targeted the Shayrat airbase in the province of Homs, but majority were intercepted.
    Queen Elizabeth's last corgi dies, marking the end of a canine dynasty

    Queen Elizabeth's last corgi dies, marking the end of a canine dynasty

    The last living royal corgi, 14-year-old Willow, was reportedly put to sleep over the weekend after a long battle with cancer. In 2015, it emerged that she had stopped breeding Pembroke Welsh corgis over fears she might trip over them and hurt herself.
  • Ariana Grande teases new music: 'no tears left to cry'

    Ariana Grande teases new music: 'no tears left to cry'

    Whilst you're here, remind yourself of the touching moment Ariana comforted a crying school girl at the One Love Manchester show. The singer, who hasn't posted since 1 January, also told her 56.8m followers " miss you " before posting a tear drop emoji.
    Rangers suspend Miller, captain Wallace

    Rangers suspend Miller, captain Wallace

    It is said that Wallace is likely to have played his last game for the club even though he has a year remaining on his contract. Both are senior figures in the Rangers side and they made their feelings towards Murty a little bit too clear.
    Russian Communications Watchdog Reportedly Hit by DDoS Attack After Telegram Ban

    Russian Communications Watchdog Reportedly Hit by DDoS Attack After Telegram Ban

    Repeatedly ignoring these orders, Telegram filed a lawsuit against the regulator and Russian government a few months ago. Telegram says the way the app is made means the service itself does not have access to the encryption keys.

Comments

Latest news

Russia clashes again with US and allies over Syria attacks
Uzumcu said on Monday that the Syrian government and its ally Russian Federation were blocking his team from visiting Douma. The U.S. military has said there was "probably" chlorine and "possibly" sarin at "possibly" all the sites.

Cuban MPs meet to choose new President
The proposal is subject to a vote later in the day by the national assembly and the result will be formally announced on Thursday. Trump has cast a cloud over the detente reached in 2014 between Raul Castro and former US President Barack Obama.

The Entire Island Of Puerto Rico Just Lost Power Again
Concerns about the island's power grid mounts as June 1, the start of the 2018 Atlantic hurricane season, approaches. PREPA attributed the blackout to a failure in a line that begins in the island's largest power plant.

People who know Brady aren't sure he'll play in 2018
The answer apparently as easy as it seemed after the Patriots lost in the Super Bowl to the Philadelphia Eagles. There's also been some reported friction between the future Hall of Fame quarterback and coach Bill Belichick .

Wild Fires destroy homes evacuations
Oklahoma Forestry companies claims constructions are ruined, but they are unable to assess damage as the flame is still burning. Days after a fire ravaged the small town of Martha, cleanup continues, along with efforts to help victims recover.

Today's Cubs-Cardinals game postponed and rescheduled for Thursday
The second of a two-game series between the Cardinals and Cubs was postponed to Thursday due to inclement weather. He's so serious about this that the Chicago Cubs first baseman said he would take less money to do so.

Amazon, Best Buy partner to sell Fire smart TVs
The devices will be sold exclusively through Best Buy and Amazon.com and via the retailer's chain of brick-and-mortar stores. Starting this summer, Best Buy will launch more than 10 4K and HD Fire TV Edition models made by Toshiba and Insignia .

Fox News' Judicial Analyst Absolutely Shreds Hannity's Cohen Claim
But prosecutors also have said in court documents that they can't reveal anything about this case at this point in time. In a statement, Hannity sought to minimize his relationship with Cohen, saying he had never retained him as a lawyer.

UAE works on breaking up with Saudi Arabia, according to diplomatic leaks
In this April 17, 2018 photo, people gather at the King Abdullah Financial District Theater in Riyadh, Saudi Arabia . However, on the bright side recently Crown Prince Mohammed bin Salman said that abaya is not mandatory in Islam.

National Weather Service Talks April Storm Numbers
Strong winds damaged the roof just days after police said a drunk driver intentionally crashed through the front entrance. County workers have cleared debris off roadways but still need to pick it up off the sides of county roads, he said.

Miranda Lambert's ACM Awards Guitar Had an Inscription From Loretta Lynn
The show opened with with a solemn tribute to the victims of last year's Route 91 Harvest Festival shooting in Las Vegas . He said, "The more time that goes by, I guess, the closer you'd be getting to that".

Dry ATMs: Rahul takes a dig at govt
Addressing a farmers' convention, Chouhan said, "The currency worth Rs 15,00,000 crore was in circulation before demonetisation ". Finance Minister , Arun Jaitley , however, said that more than adequate currency is in circulation.

India to grow at 7.4 per cent in 2018
According to the IMF's World Economic Outlook (WEO), the country's economic growth is expected to be 7.8 per cent in 2019. The IMF has also strongly criticised the approach of the Trump administration to trade deficits.

Vladimir Putin condemns US-led airstrikes on Syria
The Washington Post editorial board was of the opinion that "Chemical attacks should be answered with cruise missiles". Trump, she said, has "talked to our allies and said they need to step up more ".

Narendra Modi Sweden visit: 10 things on PM's agenda
While returning from Britain on April 20, he will stop over in Germany where he will a meet German Chancellor Angela Merkel. Prime Minister Modi particularly highlighted the importance India attaches to the cooperation in defence sector.

Other news