Goldman stays oil bull, undaunted by Saudi-Russia crude plan
30 May, 2018, 18:36 | Author: Kathy Ellis
US and global benchmark oil prices diverged on Tuesday, with concerns about a potential rise in oil supply pulling West Texas Intermediate crude down for a fifth straight session.
Crude production in the US has increased by 25% since the middle of 2016 as producers attempt to capitalize on the increase in prices. Venezuela is now producing just 1.4 million barrels a day, down from 3 million barrels a day just a few years ago, while UBS AG Wealth Management forecasts a drop of about half a million barrels day from Iran.
The Schork Report Publisher Stephen Schork on the outlook for oil prices. Thus it is in the direct interest of the Saudis to maintain oil at a high price.
At the moment the barrel of WTI is losing 1.32% at $66.53 facing the next down barrier at $65.73 (low May 28) seconded by $65.56 (low Apr.17) and finally $65.16 (100-day sma).
To be certain of this, Saudi Arabia keeps advocating for the reduction of oil production from the Organisation of Petroleum Exporting Countries (OPEC), which for the first time, have been really effective through various agreements signed among the OPEC member states.
"Structurally there shouldn't be enough pressure on the market to take us back into that very high-priced world", said Andrew Slaughter, an energy expert and executive director at consulting firm Deloitte Services LP.
The Organization of the Petroleum Exporting Countries and non-OPEC producers led by Russian Federation have had a pact to curb output by about 1.8 million barrels per day since January 2017, driving down inventories and pushing up oil prices. Probably not, although India is among Saudi Arabia's largest clients, and its demand for oil is growing at the fastest pace in the world.
Again, there is a geopolitical angle, with China, the world's biggest crude importer, under political pressure by President Trump pressure to buy more from the United States in order to lower the USA trade deficit with China. Although US oil exports hit a record high of 2.6mn bpd in the middle of May, there is concern that the US port infrastructure has insufficient capacity to support the increasing supply.
West Texas Intermediatecrude oil fell significantly during the trading session on Friday, as the USA dollar continues to strengthen, and of course there is talk now that perhaps the production cuts coming out of OPEC's recent meetings may be coming to an end.
Today, current price levels averaging around $60 to $70 per barrel allow shale oil producers to reinvest in drilling wells and add capacity with free cash flow rather than debt, according to Slaughter. Subtropical Storm Alberto lost strength as it came ashore near Laguna Beach in Florida, bringing heavy rains that threaten the U.S. South with economic losses of $1 billion.
PS4 owners who pre-order the digital version on PSN will obtain a dynamic Mega Man 30th Anniversary theme created by Truant Pixel. Spotted by Twitter user Wario64, over the weekend a store page temporarily had the game listed for an October 3rd release date.
Hours after star Roseanne Barr posted a racist message on Twitter , ABC has axed the reboot of her hit comedy Roseanne . I feel so empowered by @iamwandasykes, Channing Dungey and anyone at ABC standing up for morals and abuse of power.
The European soccer season comes to a close on Saturday, as Real Madrid and Liverpool meet in the Champions League final in Kiev. In recent weeks, Salah could be found at news conferences promoting a cellphone company, a logistics firm and taxi service.
According to reporting from NPR's Elise Hu , the Saturday meeting between the leaders of the two Koreas happened on Kim's request. Negotiations over logistics and other issues related to the possible summit meeting are expected to begin Tuesday.
The prospect of Italy's government going on a spending spree on promised tax cuts and welfare benefits roiled markets last week. The previous parliamentary election, held March 4, failed to produce a party with enough support to govern singlehandedly.
This lava has covered some 2,500 acres in and around the Leilani Estates neighborhood, and several flows have reached the sea. Officials said there was no release of any risky hydrogen sulfide gas after lava crept over the plugged wells Sunday.
Utility crews racing to quench the wells with cold water and plug them with mud had managed to mostly secure the site. The larger explosions produce ash that is blown downwind, and trace amounts have fallen in nearby communities.
I said , 'I don't know, but if I can't I'm going to go to work at Jack in the Box (the fast-food hamburger chain)". He soon retired from NASA and devoted himself to painting, a longtime hobby that had become an overriding passion.
Alberta Premier Rachel Notley and British Columbia Premier John Horgan have been at odds over the pipeline. The bill, introduced by Alberta Senator Doug Black in February, passed third reading on Tuesday.
Also a Brazilian midfielder, the player has been on United's radar since January, and was initially chased by Manchester City too. Manchester United have reached an agreement to sign Fred from Shakhtar Donetsk this summer, Gianluca Di Marzio has revealed.
Subtropical Storm Alberto heads to southern states
Tropical-storm force winds will be possible in western Cuba and in the Gulf coast area where warnings are posted. Its expected to turn north Sunday morning, then north-northwest Monday night , moving at 13 miles per hour .
NY judge orders son, 30, to leave parents' home
He also said he has a business to support himself, but declined to elaborate. "I am just so outraged", he said outside court. Soon after, the parents sent another note which read: "Michael Joseph Rontodo, you are hereby evicted".
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Prime Minister Leo Varadkar , who backs the reform, said he was hopeful that the ban would be abolished as he voted in Dublin . If a woman or a healthcare professional chooses to defy these laws, they risk criminality and up to 14 years of imprisonment.