Bearish US supplies data hits Oil
26/12/2014 09:46
Crude oil futures slumped in the domestic market on Wednesday as investors and speculators exited positions in the energy commodity as US crude oil stockpiles rose at the fastest pace in two months, signaling weakening demand for the fuel in the world’s biggest oil consumer.
US crude oil stockpiles surged 7.27 million barrels to 387.2 million barrels in the week ended December 19, 2014, the EIA said. Analysts were expecting US supplies to rise 2.5 million barrels last week. Cushing supplies surged 973,000 barrels to 28.8 million barrels last week.
American refineries operated at 93.5 per cent of their capacity last week, unchanged from the previous week, signaling sluggish demand for the fuel in the world’s biggest oil consumer.
Investors shrugged off robust US jobless claims data which showed a drop in applications for claiming unemployment benefits to a seven-week low last week, signaling an improving labour market recovery in the world’s biggest economy. US jobless claims fell by 9,000 to the lowest level since early November at 280,000 in the week ended December 20, 2014.
Crude oil futures may rebound today amid speculation that Saudi Arabia, OPEC’s largest crude exporter is seen as signaling confidence in the oil market.
At the MCX, Crude oil futures, for the January 2015 contract, closed at Rs 3,550 per barrel, down by 1.63 per cent, after opening at Rs 3,612, against the previous close price of Rs 3,609. It touched an intraday low of Rs 3,525 till the closing.
26/12/2014 09:46
Crude oil futures slumped in the domestic market on Wednesday as investors and speculators exited positions in the energy commodity as US crude oil stockpiles rose at the fastest pace in two months, signaling weakening demand for the fuel in the world’s biggest oil consumer.
US crude oil stockpiles surged 7.27 million barrels to 387.2 million barrels in the week ended December 19, 2014, the EIA said. Analysts were expecting US supplies to rise 2.5 million barrels last week. Cushing supplies surged 973,000 barrels to 28.8 million barrels last week.
American refineries operated at 93.5 per cent of their capacity last week, unchanged from the previous week, signaling sluggish demand for the fuel in the world’s biggest oil consumer.
Investors shrugged off robust US jobless claims data which showed a drop in applications for claiming unemployment benefits to a seven-week low last week, signaling an improving labour market recovery in the world’s biggest economy. US jobless claims fell by 9,000 to the lowest level since early November at 280,000 in the week ended December 20, 2014.
Crude oil futures may rebound today amid speculation that Saudi Arabia, OPEC’s largest crude exporter is seen as signaling confidence in the oil market.
At the MCX, Crude oil futures, for the January 2015 contract, closed at Rs 3,550 per barrel, down by 1.63 per cent, after opening at Rs 3,612, against the previous close price of Rs 3,609. It touched an intraday low of Rs 3,525 till the closing.
