Oil Heads for Weekly Drop as Iraq Unrest Spares Southern Output - Bloomberg

Oil Heads for Weekly Drop as Iraq Unrest Spares Southern Output - Bloomberg:



"Brent and West Texas Intermediate crudes headed for the first weekly declines since violence erupted in northern Iraq, as the crisis has so far spared oil output from OPEC’s second-largest producer.



Futures were little changed in London and poised for a 1.4 percent weekly loss. Iraqi forces held the Baiji oil refinery in the north of the country after repelling the latest attack by Islamist militants. Fighting hasn’t spread to Iraq’s south, home to more than three-quarters of its production. U.S. crude stockpiles rose last week, while analysts in a Bloomberg News survey had forecast a fall.



“We haven’t seen any real escalation, and there is still oil coming out of the south of the country,” David Lennox, a resource analyst at Fat Prophets in Sydney, said by phone today. “Oil will probably continue to drift lower.”"



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