Oversupply risks drag down Oil
05/12/2014 09:29
Crude oil futures tumbled in the domestic market on Thursday as investors and speculators exited positions in the energy commodity tracking a bearish trend in the overseas market amid concerns over a widening supply glut in the global oil market after the OPEC decided against cutting production. Saudi Arabia’s state-run oil company reportedly said that it will offer the deepest discounts to its Asian buyers in atleast 14 years. US oil output rose to 9.08 million barrels per day in the week ended November 28, 2014, the highest since weekly records began in 1983. Investors cast aside a dip in US jobless claims last week, signaling an improvement in the labour market of the world’s biggest economy. The number of Americans seeking applications for unemployment benefits fell by 17,000 to 297,000 in the week ended November 29, 2014. Crude oil futures may fall today amid speculation of oversupplies in the global oil market. At the MCX, Crude Oil futures, for the December 2014 contract, closed at Rs 4,136 per barrel, down by 1.22 per cent, after opening at Rs 4,200 against a previous close of Rs 4,187. It touched an intra-day low of Rs 4,103.
05/12/2014 09:29
Crude oil futures tumbled in the domestic market on Thursday as investors and speculators exited positions in the energy commodity tracking a bearish trend in the overseas market amid concerns over a widening supply glut in the global oil market after the OPEC decided against cutting production. Saudi Arabia’s state-run oil company reportedly said that it will offer the deepest discounts to its Asian buyers in atleast 14 years. US oil output rose to 9.08 million barrels per day in the week ended November 28, 2014, the highest since weekly records began in 1983. Investors cast aside a dip in US jobless claims last week, signaling an improvement in the labour market of the world’s biggest economy. The number of Americans seeking applications for unemployment benefits fell by 17,000 to 297,000 in the week ended November 29, 2014. Crude oil futures may fall today amid speculation of oversupplies in the global oil market. At the MCX, Crude Oil futures, for the December 2014 contract, closed at Rs 4,136 per barrel, down by 1.22 per cent, after opening at Rs 4,200 against a previous close of Rs 4,187. It touched an intra-day low of Rs 4,103.
