Oil plummets on Iran deal 06/04/2015

Oil plummets on Iran deal
06/04/2015 09:44
Crude oil futures plunged in the domestic and overseas market on Thursday after Iran and six global powers reached an accord over a landmark nuclear deal that could ease Western sanctions against the Islamic nation, boosting Iran’s crude oil exports, exacerbating a global oil supply glut.
The preliminary accord paves way for a final deal to be reached by June 30 which would loosen US and European Union financial and economic sanctions against Iran. Iran on its part has agreed to close over two-thirds of its installed centrifuges capable of producing uranium that may be used to build a bomb, dismantle a reactor that can be used in plutonium production, while accepting intrusive inspection, verification and compliance.
Crude oil inventories in the US climbed for the twelfth straight week to a record, signaling weaker demand for the fuel in the world’s biggest oil consumer. US crude stockpiles jumped 4.8 million barrels to 471.4 million barrels in the week ended March 27, 2015, the EIA said.
Investors cast aside robust US economic data which showed that the number of applications for claiming jobless benefits fell in the US, the trade gap shrank to a five-year low in February 2015 and factory orders rose, signaling a pickup in the world’s biggest economy. US jobless claims fell by 20,000 to 268,000 in the week ended March 28, 2015. US factory orders rose 0.2 per cent in February from the previous month, when they declined 0.7 per cent. US trade deficit narrowed USD 7.2 billion to USD 35.4 billion in February, the lowest since October 2009 as imports contracted due to a West Coast port dispute that curbed overseas purchases.
Oil may extend losses today as investors weigh the impact of a historic Iran nuclear accord.
At the MCX, Crude oil futures, for the April 2015 contract, closed at Rs 3,017 per barrel, down by 1.15 per cent, after opening at Rs 3,125, against the previous close price of Rs 3,152. It touched an intraday low of Rs 2,999 till the closing.

Upbeat US economic data lifts Oil 01/04/2015

Upbeat US economic data lifts Oil
01/04/2015 09:29
Crude oil futures closed higher in the domestic market on Tuesday as investors and speculators booked fresh positions in the energy commodity as a pickup in US consumer confidence and faster home price gains signaled an improving world’s biggest economy, lifting the demand outlook for the fuel.
The gauge measuring US consumer confidence climbed to 101.3 in March from 98.8 in February. Home prices in 20 US cities rose the most since September, up 4.6 per cent in January 2015, year on year, accelerating from an annual gain of 4.4 per cent in December 2014.
Business activity in the Chicago region remained in contraction territory as the PMI stood at 46.3 in March, up from 45.8 in February, below the neutral 50-mark.
However, an uptick in US crude oil stockpiles which rose 5.2 million barrels last week signaled a widening global supply glut, trimming gains in the fuel.
Further, expectations of an Iran nuclear deal which threatens to boost crude shipments from the Islamic nation also curbed gains in the fuel. Iran and six global powers signaled that they have struck a consensus on the major elements of a nuclear accord that may ease sanctions on the former. The foreign ministers of Russia and Iran said that a framework for the nuclear accord may be drafted on Wednesday.
Oil may fall today ahead of EIA data which may show that US oil supplies expanded from a record last week.
At the MCX, Crude oil futures, for the April 2015 contract, closed at Rs 3,025 per barrel, up by 0.27 per cent, after opening at Rs 3,025, against the previous close price of Rs 3,017. It touched an intraday high of Rs 3,055 till the closing.

Oil ekes out slim gains 31/03/2015

Oil ekes out slim gains 31/03/2015 12:55

Crude oil futures were trading tad higher in the domestic market on Tuesday as a rebound in consumer spending in the US and a surge in pending home sales last month raised optimism over fuel demand in the world’s biggest oil consumer.

US consumer spending climbed 0.1 per cent in February from January, when it fell 0.2 per cent, while the gauge measuring pending home sales climbed 3.1 per cent to the highest level since June 2013 at 106.9 in February 2015.

However, worries that a potential Iran nuclear deal may ease sanctions on the oil-rich Islamic nation, flooding markets with more crude trimmed gains in the fuel.

At the MCX, Crude oil futures, for the April 2015 contract, is trading at Rs 3,019 per barrel, up by 0.07 per cent, after opening at Rs 3,025, against the previous close price of Rs 3,017. It touched an intraday high of Rs 3,033. (At 12:22 PM).

Oil tumbles on Iran fears 31/03/2015

Oil tumbles on Iran fears
31/03/2015 09:48
Crude oil futures plunged in the domestic and overseas market on Monday as Western diplomats worked towards reaching a nuclear deal with Iran that could ease sanctions against the Islamic nation, boosting a global supply glut.
Iran and officials from six global powers met in Switzerland, intensifying efforts to reach a nuclear deal even as differences remained over the pace of easing sanctions and imposing limit on Iran’s controversial nuclear program.
Iran, the OPEC’s fifth largest oil producer, may boost crude exports by 1 million barrels per day if sanctions are lifted, the country’s Oil Minister said recently.
US consumer spending barely rose last month as a harsh winter sapped sentiment, signaling a slowdown in the world’s biggest economy, clouding the demand outlook for the fuel. US consumer spending climbed 0.1 per cent in February from January, when it fell 0.2 per cent.
Investors cast aside robust pending home sales data which signaled a pickup in the American housing market. The gauge measuring pending home sales climbed 3.1 per cent to the highest level since June 2013 at 106.9 in February 2015, up from a 1.2 per cent gain in January.
Oil may extend a decline today as investors stay cautious amid a looming Iran deal.
At the MCX, Crude oil futures, for the April 2015 contract, closed at Rs 3,017 per barrel, down by 1.15 per cent, after opening at Rs 3,125, against the previous close price of Rs 3,152. It touched an intraday low of Rs 2,999 till the closing.

More pain for oil as Iran talks eyed 30/03/2015

More pain for oil as Iran talks eyed
30/03/2015 12:20
Crude oil futures extended a sell-off in the domestic market on Monday as Iran and the Western nations edged closer to striking a nuclear deal which could ease sanctions against the oil-rich Islamic nation, prompting a boost in Iranian crude shipments, exacerbating a global supply surplus.
Western diplomats were set to resume talks with Iran in Switzerland even as divisions remain over the pace of easing sanctions on Iran or curbs to be imposed on the country’s controversial nuclear program. According to the Iranian oil minister, Iran, the fifth largest oil producer in the OPEC may boost crude exports by 1 million barrels per day if sanctions were to be removed.
At the MCX, Crude oil futures, for the April 2015 contract, is trading at Rs 3,020 per barrel, down by 4.19 per cent, after opening at Rs 3,125, against the previous close price of Rs 3,152. It touched an intraday low of Rs 3,016. (At 11:45 AM).

Oil slips on ample supply; Iran in focus 30/03/2015

Oil slips on ample supply; Iran in focus
30/03/2015 09:47
Crude oil futures plunged in the domestic market on Friday as investors and speculators exited positions in the energy commodity amid speculation that Saudi Arabia’s air strikes in Yemen may not have a major impact on global crude supplies at a time when US is pumping oil at the fastest clip in over three decades.
Meanwhile, US oil rig count fell by the least in 15 weeks, down by 12 to 813 last week, a sign that the drilling slowdown amid a price slump is tapering.
Meanwhile, Iran and Western diplomats are moving towards a nuclear accord that may ease sanctions on the oil-rich Islamic nation, flooding markets with more oil.
US fourth quarter GDP growth stayed at 2.2 per cent annualized pace, down from 5 per cent in Q3.
Consumer sentiment in the US fell in March, signaling a slowdown in the world’s biggest economy, darkening the demand outlook for the fuel. The gauge measuring US consumer sentiment fell to 93 in March from 95.4 in February.
Oil may extend a decline today as a stronger dollar dampens demand for the fuel as an alternative asset, while investors eye the outcome of Iran nuclear talks.
At the MCX, Crude oil futures, for the April 2015 contract, closed at Rs 3,628 per barrel, down by 1.52 per cent, after opening at Rs 3,610, against the previous close price of Rs 3,684. It touched an intraday low of Rs 3,610 till the closing.

Profit booking drags down Oil amid Middle East tensions 27/03/2015

Profit booking drags down Oil amid Middle East tensions
27/03/2015 12:24
Crude oil futures tumbled in the domestic market on Friday as investors and speculators booked profits in the energy commodity after a surge in prices in recent sessions as bombing by Saudi Arabia and its allies against Shiite rebel targets in Yemen sparked fears over disruptions of oil supplies from the Middle East.
China’s industrial profits fell by 4.2 per cent in the first two months of 2015 from the same period a year ago, signaling weakness in the world’s second biggest economy, darkening the demand outlook for the fuel.
At the MCX, Crude oil futures, for the April 2015 contract, is trading at Rs 3,187 per barrel, down by 2.03 per cent, after opening at Rs 3,214, against the previous close price of Rs 3,253. It touched an intraday low of Rs 3,176. (At 11:57 AM).

Oil surges on Middle East tensions 27/03/2015

Oil surges on Middle East tensions
27/03/2015 09:55
Crude oil futures rose in the domestic market on Thursday as investors and speculators booked fresh positions in the energy commodity tracking a firm trend in the overseas market as Saudi Arabia and its nine allies began bombing targets in Yemen, fueling fresh fears of unrest in the Middle East, raising concerns over disruptions in oil shipments from the oil-rich region. Saudi Arabia’s bombing of Shiite rebels in Yemen came after an appeal from Yemen’s President Abdurabuh Mansur Hadi. Together, the ten nations pump in about 21 million barrels of oil per day, accounting for 22 per cent of global trade. The number of Americans who filed for claiming unemployment benefits fell to the lowest level in five weeks while services in the US expanded at the fastest clip since September in March, signaling a pickup in the world’s biggest economy, lifting the demand outlook for the fuel. US jobless claims fell 9,000 to 282,000 in the week ended March 21, 2015. The gauge measuring US services activity rose to 58.6 in March from 57.1 in February, with a reading above 50 signaling expansion. Oil may continue its bullion ride today amid renewed Middle East tensions which may disrupt supplies. At the MCX, Crude oil futures, for the April 2015 contract, closed at Rs 3,253 per barrel, up by 5.14 per cent, after opening at Rs 3,114, against the previous close price of Rs 3,094. It touched an intraday high of Rs 3,368 till the closing.

Oil extends rally on lower US output gain 26/03/2015

Oil extends rally on lower US output gain
26/03/2015 09:43
Crude oil futures surged in the domestic market on Wednesday as investors and speculators booked fresh positions in the energy commodity as the smallest increase in US crude production since January eased concerns over a worsening global supply glut. US oil output climbed 3,000 barrels per day to 9.42 million barrels in the week ended March 20, the EIA said. Meanwhile, US refineries operated at 89 per cent of capacity last week, up from 88.1 per cent in the prior week, signaling a pickup in fuel demand in the world’s biggest fuel consumer. Investors shrugged off an uptick in US crude stockpiles to the most on records dating back to August 1982. US crude supplies climbed 8.17 million barrels to 466.7 million barrels last week, while supplies at Cushing, Oklahoma, the biggest US oil storage hub, rose 1.91 million barrels to a record 56.3 million barrels last week. Investors cast aside a drop in US durable goods orders in February, down 1.4 per cent from the previous month, signaling a slowdown in manufacturing in the world’s biggest economy. Oil may extend gains today as shrinking US production gains signal easing worries over a supply surplus. At the MCX, Crude oil futures, for the April 2015 contract, closed at Rs 3,094 per barrel, up by 3.30 per cent, after opening at Rs 2,982, against the previous close price of Rs 2,995. It touched an intraday high of Rs 3,111 till the closing.

Oil recovers more ground despite OPEC forecast 16/01/2015

Oil recovers more ground despite OPEC forecast
16/01/2015 09:37
Crude oil futures closed on a bullish note in the domestic market on Thursday as the sharp slump in prices in recent sessions amid fears of a widening supply glut which pushed prices to the lowest level in more than five and a half years paved the way for good bargain buying opportunity in the energy commodity, at existing levels. Manufacturing activity in the New York region expanded at a brisk pace in January, signaling a pickup in the world’s biggest economy, lifting the demand outlook for the fuel. The gauge measuring New York region’s manufacturing activity rose to 9.95 this month from a revised -1.23 in December, with a reading above 0 signaling expansion. Investors cast aside an uptick in the number of applications filed by Americans to seek jobless benefits last week to a four-month high, which signaled a cooling labour market recovery in the US. Jobless claims rose by 19,000 to 316,000 last week. The OPEC forecast the weakest demand for its crude in 12 years in 2015 while US oil production surged to the highest level since records dating back to 1983 at 9.19 million barrels per day last week. Demand for OPEC’s crude this year may average 28.8 million barrels per day, down 100,000 barrels per day from a previous forecast. Oil may fall today as OPEC cut the demand forecast for its oil this year. At the MCX, Crude oil futures, for the January 2015 contract, closed at Rs 2,939 per barrel, up by 2.65 per cent, after opening at Rs 2,892, against the previous close price of Rs 2,863. It touched an intraday high of Rs 3,120 till the closing

Oil retreats on supply glut 02/12/2014

Oil retreats on supply glut
02/12/2014 10:40
The rebound in oil prices was short-lived as bear returned on Tuesday amid concerns over a widening supply glut in the global oil market with US pumping in oil at the fastest rate in three decades while OPEC refraining from cutting production. A slowdown in the global economy evident from flat manufacturing growth in China and the Euro area last month also clouded the demand outlook for the fuel. China’s manufacturing gauge slumped to the no-change 50 mark last month from 50.4 in October, while that in the Euro area fell to 50.1 from 50.6. At the MCX, Crude Oil futures, for the December 2014 contract, is trading at Rs 4,261 per barrel, down by 0.23 per cent, after opening at Rs 4,250 against a previous close of Rs 4,271. It touched an intra-day low of Rs 4,221. (At 10:16 AM).