Upbeat US supplies data sparks oil rebound
08/01/2015 09:45
Crude oil futures rebounded in the domestic and overseas market on Wednesday as investors and speculators booked fresh positions in the energy commodity after US crude stockpiles fell last week while refineries upped operating capacity, signaling a pickup in fuel demand in the world’s biggest oil consumer.
US oil stockpiles fell 3.06 million barrels to 382.4 million barrels in the week ended January 2, 2015, the EIA said. Refineries in the US operated at 93.9 per cent of their capacity last week, up 0.5 percentage points from the previous week.
American companies added the most workers since June as private payrolls climbed 241,000 in December, exceeding the 227,000 gain in November, signaling a pickup in the job market in the world’s biggest economy, lifting the demand outlook for the fuel.
Further, the US trade shortfall narrowed to the lowest level since December 2013 to USD 39 billion in November from USD 42.25 billion in October, adding to US economic optimism.
Oil may continue the bullish momentum as US demand improves while a recent massive sell-off offers excellent bargain buying opportunity.
At the MCX, Crude oil futures, for the January 2015 contract, closed at Rs 3,077 per barrel, up by 0.26 per cent, after opening at Rs 3,053, against the previous close price of Rs 3,069. It touched an intraday high of Rs 3,137 till the closing
08/01/2015 09:45
Crude oil futures rebounded in the domestic and overseas market on Wednesday as investors and speculators booked fresh positions in the energy commodity after US crude stockpiles fell last week while refineries upped operating capacity, signaling a pickup in fuel demand in the world’s biggest oil consumer.
US oil stockpiles fell 3.06 million barrels to 382.4 million barrels in the week ended January 2, 2015, the EIA said. Refineries in the US operated at 93.9 per cent of their capacity last week, up 0.5 percentage points from the previous week.
American companies added the most workers since June as private payrolls climbed 241,000 in December, exceeding the 227,000 gain in November, signaling a pickup in the job market in the world’s biggest economy, lifting the demand outlook for the fuel.
Further, the US trade shortfall narrowed to the lowest level since December 2013 to USD 39 billion in November from USD 42.25 billion in October, adding to US economic optimism.
Oil may continue the bullish momentum as US demand improves while a recent massive sell-off offers excellent bargain buying opportunity.
At the MCX, Crude oil futures, for the January 2015 contract, closed at Rs 3,077 per barrel, up by 0.26 per cent, after opening at Rs 3,053, against the previous close price of Rs 3,069. It touched an intraday high of Rs 3,137 till the closing
