Oil plunges on OPEC battle to retain market
share
12/12/2014 11:43
Crude oil futures slumped in the domestic market on Friday as investors and speculators exited positions in the energy commodity tracking a bearish trend in the overseas market where prices fell below USD 60 per barrel as deep discounts by OPEC members such as Saudi Arabia, Iraq and Kuwait signaled that the cartel’s members are defending market share as US output rises to the highest level in three decades.
At the same time, the OPEC sees demand for the crude falling to the lowest level in 12 years in 2015 even as it sticks to its 30 million barrels per day output target, raising the prospects of a supply glut.
At the MCX, Crude Oil futures, for the December 2014 contract, is trading at Rs 3,724 per barrel, down by 2.41 per cent, after opening at Rs 3,800, against a previous close of Rs 3,816. It touched an intra-day low of Rs 3,710. (At 11:26 AM).
12/12/2014 11:43
Crude oil futures slumped in the domestic market on Friday as investors and speculators exited positions in the energy commodity tracking a bearish trend in the overseas market where prices fell below USD 60 per barrel as deep discounts by OPEC members such as Saudi Arabia, Iraq and Kuwait signaled that the cartel’s members are defending market share as US output rises to the highest level in three decades.
At the same time, the OPEC sees demand for the crude falling to the lowest level in 12 years in 2015 even as it sticks to its 30 million barrels per day output target, raising the prospects of a supply glut.
At the MCX, Crude Oil futures, for the December 2014 contract, is trading at Rs 3,724 per barrel, down by 2.41 per cent, after opening at Rs 3,800, against a previous close of Rs 3,816. It touched an intra-day low of Rs 3,710. (At 11:26 AM).
