Report

rss

Iraq News

Kurdistan

Economy

World

All News

Oil dips after surprise rise in U.S. crude stocks; focus on Biden, stimulus

Category: Economy

Date: 2021-01-21T06:21:36+0000
Oil dips after surprise rise in U.S. crude stocks; focus on Biden, stimulus

Shafaq News/ Oil slipped on Thursday after industry data showed a surprise build in U.S. crude inventories that reignited pandemic-led demand concerns, but stimulus hopes in the United States limited the downturn in prices.

U.S. West Texas Intermediate (WTI) crude futures fell 15 cents, or 0.28%, to $53.16 a barrel at 0545 GMT, following two days of gains on expectations of massive COVID-19 relief spending under new U.S. President Joe Biden.

Brent crude futures dropped 10 cents, or 0.20%, to $55.96 a barrel.

U.S. crude oil inventories rose 2.6 million barrels in the week to Jan. 15, according to data from the American Petroleum Institute, an industry group, compared with analysts’ forecasts in a Reuters poll for a fall of 1.2 million barrels. 

“Oil prices look a tad vulnerable to potential profit-taking after U.S. crude stockpiles bearishly rose 2.56 million against consensus draw,” Axi chief market strategist Stephen Innes said in a note to clients.

However gasoline stocks and distillate inventories, which include diesel, distillate and jet fuel, rose by less than analysts had expected.

The U.S. Energy Information Administration is due to release its weekly inventory report on Friday.

“Holding the market back are also persistent worries over demand,” said Warren Patterson, head of commodities strategy at ING, adding that concerns have grown with a rise in COVID-19 cases in China leading to targeted lockdowns.

“The government will be keen to get any outbreaks under control, particularly with the Chinese New Year fast approaching,” he said.

Elsewhere, the Biden administration has committed to curb carbon emissions and among his first actions as president, Biden announced America’s return to the Paris climate accord and revoked a permit for the Keystone XL oil pipeline project from Canada.

The administration is also committed to ending new oil and gas leasing on federal lands, Biden’s press secretary said, although Biden has not laid out a timeline for achieving that goal.

Source: Reuters, prices updated by Shafaq News Agency

related

Basra crude reached $81.01 last week

Date: 2021-10-09 07:38:55
Basra crude reached $81.01 last week

Iraq's oil minister: KRG mismanages the oil wealth

Date: 2022-05-07 19:28:42
Iraq's oil minister: KRG mismanages the oil wealth

Brent jumps over $ 32 after comments of an additional reduction

Date: 2020-04-14 09:42:17
Brent jumps over $ 32 after comments of an additional reduction

Oil prices post weekly loss amid Omicron fears

Date: 2021-12-18 08:35:53
Oil prices post weekly loss amid Omicron fears

Iraq concludes an agreement to sell Oil to the Lebanese Government

Date: 2020-12-21 10:32:46
Iraq concludes an agreement to sell Oil to the Lebanese Government

Oil rises for a new record for months

Date: 2020-08-25 21:20:41
Oil rises for a new record for months

Oil drops for fifth straight day after U.S. inventories rise

Date: 2021-03-18 07:29:35
Oil drops for fifth straight day after U.S. inventories rise

Oil holds near multi-year highs amid demand recovery

Date: 2021-06-14 05:20:14
Oil holds near multi-year highs amid demand recovery