Oil Buoyed by Production Cuts Even as Glut Looms Over Market - Bloomberg

Oil Buoyed by Production Cuts Even as Glut Looms Over Market - Bloomberg:

Oil edged lower for the week after paring losses following the dramatic collapse on Monday that saw prices in New York plunge below zero for the first time in history.

West Texas Intermediate for June delivery rose 2.7% Friday, closing the curtain on a tumultuous week of wild price swings. U.S. operators have started to shut old wells and halt new drilling, actions that could reduce output by 20%. Russia’s seaborne exports from the Baltic will fall to a 10-year low in May, while Kuwait and Algeria said they are reducing production earlier than required under the OPEC+ deal.

“The production cuts are helping sentiment,” Andrew Lebow, senior partner at Commodity Research Group said. “We have a long way to go to balance the market. Traders are still very concerned about the storage situation.”

Oil exploration across the U.S. fell the most in 14 years with drillers idling 60 rigs, according to data from Baker Hughes Co. on Friday. This marks the sixth straight week of decreased activity levels, halting almost half of American exploration.

PRICES:
WTI for June delivery rose to 44 cents to settle at $16.94 a barrel in New York. The contract fell 7.3% for the week. Brent added 11 cents to settle at $21.44 a barrel.

Oil heads for another weekly slide on coronavirus turmoil - Reuters

Oil heads for another weekly slide on coronavirus turmoil - Reuters:

Oil prices rose on Friday, but both the Brent and U.S. benchmarks were on track for their third straight week of losses as global production shutdowns failed to keep pace with the collapse in demand caused by the coronavirus pandemic.

The oil market has experienced unprecedented turbulence since U.S. prices fell into negative territory on Monday for the first time ever and international benchmark Brent sank to two-decade lows.

Investors have sold oil aggressively since early March, in response to a 30% collapse in demand due to the pandemic.

This week’s declines will mark the eighth week of losses out of the last nine weeks. Brent is on track for a 24% weekly drop and U.S. West Texas Intermediate (WTI) is set for a fall of around 7%.

Brent LCOc1 futures rose 18 cents, or 0.8%, to $21.50 a barrel by 11:57 a.m. EDT (1557 GMT), while U.S. WTI CLc1 rose 56 cents, or 3.5%, to $17.06.

Wald on What #SaudiArabia Can Do to Lead on Oil (Radio) - Bloomberg

Bloomberg:

Dr. Ellen Wald, President of Transversal Consulting and a Bloomberg Opinion contributor, discusses column on what Saudi Arabia can do to lead again on oil, with Bryan Curtis and Juliette Saly on Bloomberg Daybreak Asia.

Running time 07:48

https://link.bloomberg.fm/BLM9195818963

#Qatar's emir says to make economy less vulnerable to oil prices volatility - Reuters

Qatar's emir says to make economy less vulnerable to oil prices volatility - Reuters:

Qatar’s emir said on Thursday he directed the government to carry out structural reforms to reduce the economy’s vulnerability to oil prices volatility, Al Jazeera television channel reported.

“Our economy should not be held hostage by fluctuations in oil prices and I directed to carry out structural reforms to liberate our economy,” Emir Sheikh Tamim bin Hamad al-Thani was quoted as saying.

He added that the government was discussing with specialized committees the right time to reopen different sectors of the economy when the coronavirus outbreak is brought under control.

#Kuwait cutting oil output ahead of schedule, minister says - Arabianbusiness

Kuwait cutting oil output ahead of schedule, minister says - Arabianbusiness:

Kuwait said it has started cutting oil output ahead of May 1, the date when suppliers worldwide plan to start slashing production to counter a devastating glut.

The fourth-biggest member of OPEC “felt responsibility to respond to market conditions” and acted on its own, Oil Minister Khaled Al-Fadhel said, according to the official Kuwait News Agency. He didn’t specify whether Kuwait has reduced production by the full amount it pledged to cut, or only part of it.

Kuwait is the first major producer in the Gulf, the world’s most prolific oil-producing region, to announce that it’s pumping less oil ahead of schedule. Like other members of the so-called OPEC+ coalition, it committed to pare production by 23% starting from May 1. Kuwait made a “sovereign” decision and wasn’t pressured to reduce output early, Al-Fadhel said.

Oil heads for steep weekly slide after coronavirus turmoil - Reuters

Oil heads for steep weekly slide after coronavirus turmoil - Reuters:

Oil prices rose on Friday but headed for their third weekly loss as production shutdowns failed to keep pace with sliding demand due to the coronavirus crisis.

Brent crude LCOc1 was up 58 cents, or 2.72%, at $21.91 at 1215 GMT, having risen 5% on Thursday, and U.S. oil CLc1 rose 51 cents, or 3.09%, to $17.01 a barrel, after rising 20% the day before. Both contracts traded within a range of around $2 a barrel.

Prices are heading for their eighth weekly loss in the last nine, with Brent on course for a 22% drop this week and U.S. West Texas Intermediate (WTI) set for a fall of more than 6%.

WTI fell into negative territory, to minus $37.63 a barrel on Monday, while Brent dropped to a two-decade low.

Oil prices rise, capping week of historic turmoil over coronavirus - Reuters

Oil prices rise, capping week of historic turmoil over coronavirus - Reuters:

Oil prices climbed on Friday, adding to gains from earlier sessions after producers such as Kuwait said they would move to cut output and the United States approved another package to cope with the turmoil caused by the coronavirus outbreak.

Brent crude LCOc1 was up 24 cents, or 1.1%, at $21.57 by 0622 GMT, after rising more than $1 earlier and jumping 5% on Thursday. U.S. oil CLc1 was up 38 cents, or 2.3%, at $16.88 a barrel, having surged 20% in the previous session.

Barring a sharp jump later in the session, though, prices are heading for their eighth weekly loss in the last nine, capping one of the most tumultuous weeks in the history of oil trading. Brent is headed for a more than 20% loss this week, with U.S. West Texas Intermediate (WTI) set for a fall of around near 8%.