US supplies data sparks Oil rebound
18/12/2014 09:18
Crude oil futures surged in the domestic market on Wednesday as the sharp slump in prices in previous sessions offered investors good bargain buying opportunity in the fuel at existing levels. US crude stockpiles fell last week, signaling a pickup in fuel demand in the world’s biggest oil consumer. US oil supplies fell 847,000 barrels to 379.9 million barrels last week. US crude output rose for the fourth week on the trot, rising to 9.14 million barrels per day in the week ended December 12. Crude’s gains came even amidst Russia’s pledge that it may keep output steady near this year’s level of 10.6 million barrels per day in 2015. The US Federal Reserve upgraded its outlook for the labour market even as it vowed to be patient over interest rate increases, lifting the demand outlook for the fuel in the world’s biggest economy. US consumer prices fell the most since December 2008, down 0.3 per cent in November, raising bets that lower costs may prompt households to spend more on discretionary items and spur economic growth, supporting the demand outlook for the fuel. Crude oil futures may fall today after Iran pledged to retain market share, joining its OPEC peers who have cut prices to maintain market position amidst surging US output. At the MCX, Crude Oil futures, for the December 2014 contract, closed at Rs 3,672 per barrel, up by 2.77 per cent, after opening at Rs 3,552, against a previous close of Rs 3,573. It touched an intra-day high of Rs 3,715.
18/12/2014 09:18
Crude oil futures surged in the domestic market on Wednesday as the sharp slump in prices in previous sessions offered investors good bargain buying opportunity in the fuel at existing levels. US crude stockpiles fell last week, signaling a pickup in fuel demand in the world’s biggest oil consumer. US oil supplies fell 847,000 barrels to 379.9 million barrels last week. US crude output rose for the fourth week on the trot, rising to 9.14 million barrels per day in the week ended December 12. Crude’s gains came even amidst Russia’s pledge that it may keep output steady near this year’s level of 10.6 million barrels per day in 2015. The US Federal Reserve upgraded its outlook for the labour market even as it vowed to be patient over interest rate increases, lifting the demand outlook for the fuel in the world’s biggest economy. US consumer prices fell the most since December 2008, down 0.3 per cent in November, raising bets that lower costs may prompt households to spend more on discretionary items and spur economic growth, supporting the demand outlook for the fuel. Crude oil futures may fall today after Iran pledged to retain market share, joining its OPEC peers who have cut prices to maintain market position amidst surging US output. At the MCX, Crude Oil futures, for the December 2014 contract, closed at Rs 3,672 per barrel, up by 2.77 per cent, after opening at Rs 3,552, against a previous close of Rs 3,573. It touched an intra-day high of Rs 3,715.
