Oil scripts sharp rebound on Saudi comments
10/04/2015 09:33
Crude oil futures surged in the domestic market on Thursday as the hefty losses in the previous session amidst a record US stockpile glut, offered good bargain buying opportunity to investors, in the energy commodity, at existing levels.
Further, a Saudi Arabian oil official termed the current decline in oil prices as “temporary” with crude seen stabilizing at USD 55- USD 60 per barrel amid stronger demand. “I’m very optimistic about recovery of oil prices. The world’s current political, economic or petroleum problems are temporary and their effect on the whole world system is limited”, said al-Muhanna, a senior adviser to the Saudi oil minister, Ali al-Naimi.
A sustained progress in the labour market of the world’s biggest economy also lifted the demand outlook for the fuel. Firings in the US slumped to a 15-year low over the past month as average jobless claims in the four weeks ended April 4 stood at 282,250, the lowest since June 2000. Unemployment claims rose by 14,000 to 281,000 last week, lagging estimates of a rise to 283,000.
Oil may extend gains today amid uncertainty over negotiations related to Iran’s nuclear program.
At the MCX, Crude oil futures, for the April 2015 contract, closed at Rs 3,215 per barrel, up by 1.04 per cent, after opening at Rs 3,195, against the previous close price of Rs 3,182. It touched an intraday high of Rs 3,250 till the closing.
10/04/2015 09:33
Crude oil futures surged in the domestic market on Thursday as the hefty losses in the previous session amidst a record US stockpile glut, offered good bargain buying opportunity to investors, in the energy commodity, at existing levels.
Further, a Saudi Arabian oil official termed the current decline in oil prices as “temporary” with crude seen stabilizing at USD 55- USD 60 per barrel amid stronger demand. “I’m very optimistic about recovery of oil prices. The world’s current political, economic or petroleum problems are temporary and their effect on the whole world system is limited”, said al-Muhanna, a senior adviser to the Saudi oil minister, Ali al-Naimi.
A sustained progress in the labour market of the world’s biggest economy also lifted the demand outlook for the fuel. Firings in the US slumped to a 15-year low over the past month as average jobless claims in the four weeks ended April 4 stood at 282,250, the lowest since June 2000. Unemployment claims rose by 14,000 to 281,000 last week, lagging estimates of a rise to 283,000.
Oil may extend gains today amid uncertainty over negotiations related to Iran’s nuclear program.
At the MCX, Crude oil futures, for the April 2015 contract, closed at Rs 3,215 per barrel, up by 1.04 per cent, after opening at Rs 3,195, against the previous close price of Rs 3,182. It touched an intraday high of Rs 3,250 till the closing.
