Oil rises over 2% as U.S. Gulf Coast braces for hurricane | Reuters:
Oil prices rose more than 2% on Tuesday, supported by hurricane supply disruptions in the United States, but demand concerns loomed as energy industry forecasters predicted a slower-than-expected recovery from the pandemic.
Brent crude LCOc1 gained 92 cents, or 2.3%, to settle at $40.53 a barrel, while U.S. West Texas Intermediate (WTI) crude futures CLc1 rose $1.02, or 2.7%, to settle at $38.28 a barrel. Both contracts fell on Monday.
Futures gained ahead of Hurricane Sally’s expected landfall on the U.S. Gulf Coast. More than a quarter of U.S. offshore oil and gas production was shut and key exporting ports were closed as the storm’s trajectory shifted east toward western Alabama, sparing some Gulf Coast refineries from high winds.
“Harsh weather events in the U.S. cause some unpredictability about its oil production and that’s always good news for prices,” said Bjornar Tonhaugen, Rystad Energy’s head of oil markets.
Tuesday, 15 September 2020
#Saudi Telecom Said to Weigh IPO for Internet-Services Unit - Bloomberg
Saudi Telecom Said to Weigh IPO for Internet-Services Unit - Bloomberg:
Saudi Telecom Co. plans to spin off its internet-services unit through an initial public offering on the local stock exchange late next year, in a listing that could value the business at about 10 billion riyals ($2.7 billion), according to people familiar with the matter.
Saudi Telecom is considering selling as much as 30% of the unit, Solutions by STC, although no final decisions have been made and the company may still decide against selling shares, the people said, asking not to be identified because the information is private. The final valuation could be higher depending on how much profit it makes over the rest of this year and investor demand for the shares.
The company has already started talks with local and international investment banks, but has yet to appoint a financial adviser, the people said. STC shares rose as much as 3.4% and were trading at 102 riyals at 3 p.m. in Riyadh.
While Saudi Telecom doesn’t break out the financial performance of its subsidiaries, the Riyadh-based company did say that Solutions by STC was one of the two key drivers for a 10% increase in revenue for the second quarter, along with its sales and distribution arm, STC Channels.
Saudi Telecom Co. plans to spin off its internet-services unit through an initial public offering on the local stock exchange late next year, in a listing that could value the business at about 10 billion riyals ($2.7 billion), according to people familiar with the matter.
Saudi Telecom is considering selling as much as 30% of the unit, Solutions by STC, although no final decisions have been made and the company may still decide against selling shares, the people said, asking not to be identified because the information is private. The final valuation could be higher depending on how much profit it makes over the rest of this year and investor demand for the shares.
The company has already started talks with local and international investment banks, but has yet to appoint a financial adviser, the people said. STC shares rose as much as 3.4% and were trading at 102 riyals at 3 p.m. in Riyadh.
While Saudi Telecom doesn’t break out the financial performance of its subsidiaries, the Riyadh-based company did say that Solutions by STC was one of the two key drivers for a 10% increase in revenue for the second quarter, along with its sales and distribution arm, STC Channels.
Mideast Stocks: #Saudi outperforms Gulf bourses, Egypt extends losses | ZAWYA MENA Edition
Mideast Stocks: Saudi outperforms Gulf bourses, Egypt extends losses | ZAWYA MENA Edition:
Saudi Arabian shares ended higher on Tuesday, outperforming Gulf peers, buoyed by gains in banking shares, while property shares supported the Dubai index.
The kingdom's benchmark index rose 0.8%, with Al Rajhi Bank gaining 1% and Saudi Telecom Company advancing 2.8%.
Elsewhere, Saudi Chemical Company surged 10%, to become the top gainer in the index, after the firm signed a memorandum of understanding with the Russian Direct Investment Fund to provide coronavirus vaccine in the kingdom.
Dubai's main share index closed up 0.5%, driven by a 3.5% rise in Emaar MallsEMAA.DU and a 0.7% increase in blue-chip developer Emaar Properties.
Shares in Emirates Integrated Telecommunications (du) DU.DU advanced 1.7%, after the country’s second largest telecoms company agreed to sell its 26% indirect stake in Khazna Data Centre for 800 million dirhams ($217.82 million), which will result in a net profit of 521 million dirhams.
In Abu Dhabi, the index slipped 0.1%, with the country's largest lender First Abu Dhabi Bank falling 0.7%.
Abu Dhabi National Oil Company for Distribution, which leapt 5.5% in the previous session, retreated 0.9%.
Abu Dhabi National Oil Company (ADNOC) completed a placement to institutional investors of 1.25 billion shares in ADNOC Distribution.
The Qatari index edged up 0.2%, helped by a 1.9% gain in petrochemical maker Industries Qatar .
Saudi Arabian shares ended higher on Tuesday, outperforming Gulf peers, buoyed by gains in banking shares, while property shares supported the Dubai index.
The kingdom's benchmark index rose 0.8%, with Al Rajhi Bank gaining 1% and Saudi Telecom Company advancing 2.8%.
Elsewhere, Saudi Chemical Company surged 10%, to become the top gainer in the index, after the firm signed a memorandum of understanding with the Russian Direct Investment Fund to provide coronavirus vaccine in the kingdom.
Dubai's main share index closed up 0.5%, driven by a 3.5% rise in Emaar MallsEMAA.DU and a 0.7% increase in blue-chip developer Emaar Properties.
Shares in Emirates Integrated Telecommunications (du) DU.DU advanced 1.7%, after the country’s second largest telecoms company agreed to sell its 26% indirect stake in Khazna Data Centre for 800 million dirhams ($217.82 million), which will result in a net profit of 521 million dirhams.
In Abu Dhabi, the index slipped 0.1%, with the country's largest lender First Abu Dhabi Bank falling 0.7%.
Abu Dhabi National Oil Company for Distribution, which leapt 5.5% in the previous session, retreated 0.9%.
Abu Dhabi National Oil Company (ADNOC) completed a placement to institutional investors of 1.25 billion shares in ADNOC Distribution.
The Qatari index edged up 0.2%, helped by a 1.9% gain in petrochemical maker Industries Qatar .
UPDATE 1- #Israel's Leumi signs deals with First #AbuDhabi Bank, Emirates NBD | Reuters
UPDATE 1-Israel's Leumi signs deals with First Abu Dhabi Bank, Emirates NBD | Reuters:
Bank Leumi said on Tuesday it had signed memorandums of understanding with First Abu Dhabi Bank and Emirates NBD, hours before Israel and the United Arab Emirates are due to sign agreements toward normalising relations.
On Monday, Hapoalim, Israel’s biggest bank, said it had signed a memorandum of understanding with Emirates NDB, Dubai’s largest bank.
Leumi said its agreements with the UAE banks would help enable the countries to implement economic relations. In a symbolic act, it said it had transferred $180 to each bank.
Leumi, Israel’s second-biggest bank, said it had been approached in recent weeks by dozens of clients seeking to transfer funds to and from the UAE. Until now, they had to do this through European banks, Leumi said.
Bank Leumi said on Tuesday it had signed memorandums of understanding with First Abu Dhabi Bank and Emirates NBD, hours before Israel and the United Arab Emirates are due to sign agreements toward normalising relations.
On Monday, Hapoalim, Israel’s biggest bank, said it had signed a memorandum of understanding with Emirates NDB, Dubai’s largest bank.
Leumi said its agreements with the UAE banks would help enable the countries to implement economic relations. In a symbolic act, it said it had transferred $180 to each bank.
Leumi, Israel’s second-biggest bank, said it had been approached in recent weeks by dozens of clients seeking to transfer funds to and from the UAE. Until now, they had to do this through European banks, Leumi said.
Oil rises nearly 3% as U.S. Gulf Coast braces for hurricane | Reuters
Oil rises nearly 3% as U.S. Gulf Coast braces for hurricane | Reuters:
Oil prices rose nearly 3% on Tuesday, supported by hurricane supply disruptions in the United States, but demand concerns loomed as energy industry forecasters predicted a slower-than-expected recovery from the pandemic.
Brent crude LCOc1 rose 98 cents, or 2.5%, to $40.59 a barrel by 1:01 p.m. EDT (1701 GMT), while U.S. West Texas Intermediate (WTI) crude futures CLc1 rose $1.07, or 2.9%, to $38.33 a barrel. Both contracts fell on Monday.
Futures gained ahead of Hurricane Sally’s expected landfall on the U.S. Gulf Coast. More than a fifth of U.S. offshore oil production was shut and key exporting ports were closed as the storm’s trajectory shifted east toward western Alabama, sparing some Gulf Coast refineries from high winds.
“Harsh weather events in the U.S. cause some unpredictability about its oil production and that’s always good news for prices,” said Bjornar Tonhaugen, Rystad Energy’s head of oil markets.
Oil prices rose nearly 3% on Tuesday, supported by hurricane supply disruptions in the United States, but demand concerns loomed as energy industry forecasters predicted a slower-than-expected recovery from the pandemic.
Brent crude LCOc1 rose 98 cents, or 2.5%, to $40.59 a barrel by 1:01 p.m. EDT (1701 GMT), while U.S. West Texas Intermediate (WTI) crude futures CLc1 rose $1.07, or 2.9%, to $38.33 a barrel. Both contracts fell on Monday.
Futures gained ahead of Hurricane Sally’s expected landfall on the U.S. Gulf Coast. More than a fifth of U.S. offshore oil production was shut and key exporting ports were closed as the storm’s trajectory shifted east toward western Alabama, sparing some Gulf Coast refineries from high winds.
“Harsh weather events in the U.S. cause some unpredictability about its oil production and that’s always good news for prices,” said Bjornar Tonhaugen, Rystad Energy’s head of oil markets.
#Israel expects $500m in deals with Bahrain and #UAE | Financial Times
Israel expects $500m in deals with Bahrain and UAE | Financial Times:
Israel expects to seal deals worth about $500m after Tuesday’s historic agreements to normalise ties with the UAE and Bahrain come into force.
Ofir Akunis, Israel’s minister of regional co-operation, said the accords would expand into bilateral trade and investments reaching “billions of dollars for each side”.
The Jewish state will offer its expertise in water desalination and agricultural technology as the most promising sectors for co-operation with its new business partners in the Gulf.
The initial roster of investments, from technology and tourism to culture and transportation, would likely come into effect after parliamentary ratification of the accords, which is expected after the end of the Jewish holiday period in mid-October.
“The main idea here is peace to prosperity,” Mr Akunis told the Financial Times. “We want bilateral economic relationships with the UAE and Bahrain to build a new Middle East.”
Israel expects to seal deals worth about $500m after Tuesday’s historic agreements to normalise ties with the UAE and Bahrain come into force.
Ofir Akunis, Israel’s minister of regional co-operation, said the accords would expand into bilateral trade and investments reaching “billions of dollars for each side”.
The Jewish state will offer its expertise in water desalination and agricultural technology as the most promising sectors for co-operation with its new business partners in the Gulf.
The initial roster of investments, from technology and tourism to culture and transportation, would likely come into effect after parliamentary ratification of the accords, which is expected after the end of the Jewish holiday period in mid-October.
“The main idea here is peace to prosperity,” Mr Akunis told the Financial Times. “We want bilateral economic relationships with the UAE and Bahrain to build a new Middle East.”
US shale producers bleed cash despite slashed spending | Financial Times
US shale producers bleed cash despite slashed spending | Financial Times:
North American shale producers far outspent their revenue in the second quarter despite making deep spending cuts to survive the worst oil price crash in decades.
Operators idled rigs, sacked workers and even stopped producing oil as the coronavirus pandemic hit global energy demand and sent US crude prices below zero in April — but it was all “too little, too late”, analysts at the Institute for Energy Economics and Financial Analysis said on Tuesday.
The 34 shale oil and gas producers in the IEEFA study spent $3.3bn more on drilling and other projects during the second quarter than they earned by selling oil and gas, the sector’s worst performance in years, the institute said in a report.
“In financial terms, companies in the centre of the US fracking boom have been performing terribly for years,” said Clark Williams-Derry, the report’s lead author. “But last quarter was particularly dismal, characterised by low prices, falling revenues, collapsing investment and declining investor sentiment.”
North American shale producers far outspent their revenue in the second quarter despite making deep spending cuts to survive the worst oil price crash in decades.
Operators idled rigs, sacked workers and even stopped producing oil as the coronavirus pandemic hit global energy demand and sent US crude prices below zero in April — but it was all “too little, too late”, analysts at the Institute for Energy Economics and Financial Analysis said on Tuesday.
The 34 shale oil and gas producers in the IEEFA study spent $3.3bn more on drilling and other projects during the second quarter than they earned by selling oil and gas, the sector’s worst performance in years, the institute said in a report.
“In financial terms, companies in the centre of the US fracking boom have been performing terribly for years,” said Clark Williams-Derry, the report’s lead author. “But last quarter was particularly dismal, characterised by low prices, falling revenues, collapsing investment and declining investor sentiment.”
After #UAE and Bahrain deals, is #SaudiArabia softening its stance on #Israel? | Reuters
After UAE and Bahrain deals, is Saudi Arabia softening its stance on Israel? | Reuters:
When one of Saudi Arabia’s leading clerics called this month for Muslims to avoid “passionate emotions and fiery enthusiasm” towards Jews, it was a marked change in tone for someone who has shed tears preaching about Palestine in the past.
The sermon by Abdulrahman al-Sudais, imam of the Grand Mosque in Mecca, broadcast on Saudi state television on Sept. 5, came three weeks after the United Arab Emirates agreed a historic deal to normalise relations with Israel and days before the Gulf state of Bahrain, a close Saudi ally, followed suit.
Sudais, who in past sermons prayed for Palestinians to have victory over the “invader and aggressor” Jews, spoke about how the Prophet Mohammad was good to his Jewish neighbour and argued the best way to persuade Jews to convert to Islam was to “treat them well”.
While Saudi Arabia is not expected to follow the example of its Gulf allies any time soon, Sudais’ remarks could be a clue to how the kingdom approaches the sensitive subject of warming to Israel - a once inconceivable prospect. Appointed by the king, he is one of the country’s most influential figures, reflecting the views of its conservative religious establishment as well as the Royal Court.
When one of Saudi Arabia’s leading clerics called this month for Muslims to avoid “passionate emotions and fiery enthusiasm” towards Jews, it was a marked change in tone for someone who has shed tears preaching about Palestine in the past.
The sermon by Abdulrahman al-Sudais, imam of the Grand Mosque in Mecca, broadcast on Saudi state television on Sept. 5, came three weeks after the United Arab Emirates agreed a historic deal to normalise relations with Israel and days before the Gulf state of Bahrain, a close Saudi ally, followed suit.
Sudais, who in past sermons prayed for Palestinians to have victory over the “invader and aggressor” Jews, spoke about how the Prophet Mohammad was good to his Jewish neighbour and argued the best way to persuade Jews to convert to Islam was to “treat them well”.
While Saudi Arabia is not expected to follow the example of its Gulf allies any time soon, Sudais’ remarks could be a clue to how the kingdom approaches the sensitive subject of warming to Israel - a once inconceivable prospect. Appointed by the king, he is one of the country’s most influential figures, reflecting the views of its conservative religious establishment as well as the Royal Court.
European, Middle Eastern & African Stocks - Bloomberg #UAE #Kuwait #Israel #SaudiArabia #Qatar close
European, Middle Eastern & African Stocks - Bloomberg:
Updated stock indexes in Europe, Middle East & Africa. Get an overview of major indexes, current values and stock market data in Europe, UK, Germany, Russia & more.
Updated stock indexes in Europe, Middle East & Africa. Get an overview of major indexes, current values and stock market data in Europe, UK, Germany, Russia & more.
IEA Says Oil Market More Fragile as Resurgent Virus Hurts Demand - Bloomberg
IEA Says Oil Market More Fragile as Resurgent Virus Hurts Demand - Bloomberg:
The outlook for global oil markets has grown “even more fragile” as a resurgent pandemic derails the recovery in demand, the International Energy Agency said.
The IEA, which advises major economies, trimmed forecasts for fuel consumption for the rest of the year and predicted that oil inventories -- which rebounded to record levels in July -- won’t subside as sharply as anticipated.
“We expect the recovery in oil demand to decelerate markedly in the second half of 2020, with most of the easy gains already achieved,” the Paris-based agency said in its monthly report. “The path ahead is treacherous amid surging Covid-19 cases in many parts of the world.”
The outlook for global oil markets has grown “even more fragile” as a resurgent pandemic derails the recovery in demand, the International Energy Agency said.
The IEA, which advises major economies, trimmed forecasts for fuel consumption for the rest of the year and predicted that oil inventories -- which rebounded to record levels in July -- won’t subside as sharply as anticipated.
“We expect the recovery in oil demand to decelerate markedly in the second half of 2020, with most of the easy gains already achieved,” the Paris-based agency said in its monthly report. “The path ahead is treacherous amid surging Covid-19 cases in many parts of the world.”
Is OPEC’s Power Over the Oil Market Broken? - Bloomberg
Is OPEC’s Power Over the Oil Market Broken? - Bloomberg:
This week marks the 60th anniversary of OPEC, the cartel of major oil exporters that has, at times, held sway over the oil markets. It is a good time to ask: Is it still effective? The truth is that OPEC's power to impact the price of oil has waxed and waned over the past 60 years but has always been based on the portion of global spare capacity that it controls. With plenty of crude sloshing around in storage tanks worldwide, that makes it not so effective now.
When the Organization of Petroleum Exporting Countries was formed in 1960, it had two missions. The first was defend the price of oil through limits on oil production. The second was to foster the native governments’ control over the oil resources in their territories. But for more than a decade, OPEC was largely ineffective at achieving its goals. The cartel didn’t become a household name or a political talking point until 1973, when it succeeded in shocking the oil market by unilaterally forcing higher crude prices on both large international oil companies and consumers. (The oil embargo of that time was actually an act of Arab OPEC countries only).
This week marks the 60th anniversary of OPEC, the cartel of major oil exporters that has, at times, held sway over the oil markets. It is a good time to ask: Is it still effective? The truth is that OPEC's power to impact the price of oil has waxed and waned over the past 60 years but has always been based on the portion of global spare capacity that it controls. With plenty of crude sloshing around in storage tanks worldwide, that makes it not so effective now.
When the Organization of Petroleum Exporting Countries was formed in 1960, it had two missions. The first was defend the price of oil through limits on oil production. The second was to foster the native governments’ control over the oil resources in their territories. But for more than a decade, OPEC was largely ineffective at achieving its goals. The cartel didn’t become a household name or a political talking point until 1973, when it succeeded in shocking the oil market by unilaterally forcing higher crude prices on both large international oil companies and consumers. (The oil embargo of that time was actually an act of Arab OPEC countries only).
#Kuwait Aims to Finish Mideast’s Biggest LNG Terminal by March - Bloomberg
Kuwait Aims to Finish Mideast’s Biggest LNG Terminal by March - Bloomberg:
Kuwait aims to open what will be the Middle East’s largest import terminal for liquefied natural gas in March, according to two people familiar with the project.
The Al-Zour plant will allow Kuwait to receive 22 million tons of LNG (about 31 billion cubic meters) a year, almost doubling the region’s capacity.
The LNG market is expected to grow quickly in the next few decades as countries shift from oil and coal to cleaner energy. The global trade in LNG will probably increase to more than 1,000 bcm annually by 2035 from roughly 425 bcm today, according to BP Plc.
Kuwait is one of the world’s biggest oil exporters, shipping almost 2 million barrels a day, but pumps relatively little gas. The OPEC member produced 18.4 bcm of gas in 2019 and consumed 23.5 bcm, BP said in a report. It was the Middle East’s biggest importer last year and the 14th globally, according to data compiled by Bloomberg.
The under-construction Al-Zour LNG terminal, Kuwait.
Source: Kuwait Integrated Petroleum Industries Co
The Al-Zour plant will allow Kuwait to receive 22 million tons of LNG (about 31 billion cubic meters) a year, almost doubling the region’s capacity.
The LNG market is expected to grow quickly in the next few decades as countries shift from oil and coal to cleaner energy. The global trade in LNG will probably increase to more than 1,000 bcm annually by 2035 from roughly 425 bcm today, according to BP Plc.
Kuwait is one of the world’s biggest oil exporters, shipping almost 2 million barrels a day, but pumps relatively little gas. The OPEC member produced 18.4 bcm of gas in 2019 and consumed 23.5 bcm, BP said in a report. It was the Middle East’s biggest importer last year and the 14th globally, according to data compiled by Bloomberg.
#Qatar Rules Out Establishing Ties With #Israel, Official Says - Bloomberg
Qatar Rules Out Establishing Ties With Israel, Official Says - Bloomberg:
Qatar won’t join Gulf Arab neighbors in establishing diplomatic relations with Israel until its conflict with the Palestinians is resolved, the Qatari assistant foreign minister said.
Lolwah Alkhater also suggested in an interview Monday that there may soon be progress toward ending a three-year-old boycott of her country by regional states.
Alkhater spoke to Bloomberg a day before Israel and the United Arab Emirates are to sign the first treaty between a Gulf Arab nation and the majority-Jewish state. On Friday, Bahrain announced that it, too, would normalize relations with Israel, to the dismay of the Palestinians, who see the alliances with Israel as a betrayal of their statehood cause.
“We don’t think that normalization was the core of this conflict and hence it can’t be the answer,” Alkhater said. “The core of this conflict is about the drastic conditions that the Palestinians are living under” as “people without a country, living under occupation.”
Qatar won’t join Gulf Arab neighbors in establishing diplomatic relations with Israel until its conflict with the Palestinians is resolved, the Qatari assistant foreign minister said.
Lolwah Alkhater also suggested in an interview Monday that there may soon be progress toward ending a three-year-old boycott of her country by regional states.
Alkhater spoke to Bloomberg a day before Israel and the United Arab Emirates are to sign the first treaty between a Gulf Arab nation and the majority-Jewish state. On Friday, Bahrain announced that it, too, would normalize relations with Israel, to the dismay of the Palestinians, who see the alliances with Israel as a betrayal of their statehood cause.
“We don’t think that normalization was the core of this conflict and hence it can’t be the answer,” Alkhater said. “The core of this conflict is about the drastic conditions that the Palestinians are living under” as “people without a country, living under occupation.”
Emirates Islamic Bank hires banks for 5-year dollar sukuk - document | ZAWYA MENA Edition
Emirates Islamic Bank hires banks for 5-year dollar sukuk - document | ZAWYA MENA Edition:
Emirates Islamic Bank has hired banks to arrange the issuance of U.S. dollar-denominated five-year sukuk, or Islamic bonds, a document showed on Tuesday.
It hired Emirates NBD Capital, HSBC, The Islamic Corporation for the Development of the Private Sector, and Standard Chartered to arrange investor calls that started on Monday ahead of a benchmark issuance, subject to market conditions, according to the document from one of the banks arranging the deal.
Emirates Islamic Bank has hired banks to arrange the issuance of U.S. dollar-denominated five-year sukuk, or Islamic bonds, a document showed on Tuesday.
It hired Emirates NBD Capital, HSBC, The Islamic Corporation for the Development of the Private Sector, and Standard Chartered to arrange investor calls that started on Monday ahead of a benchmark issuance, subject to market conditions, according to the document from one of the banks arranging the deal.
MENA countries post sharp declines in export; sovereigns face borrowing pressure | ZAWYA MENA Edition
MENA countries post sharp declines in export; sovereigns face borrowing pressure | ZAWYA MENA Edition:
Countries in the MENA region are experiencing some of the sharpest contractions in exports, and some sovereigns will face severe borrowing pressure in early 2021 due to economic shocks due to COVID-19, says Moody’s.
Investment-grade emerging market sovereign bond issuance climbed above $107 billion by the end of June, 53 percent higher than in the first six months of 2019, according to data from the global ratings agency.
It said there had been a sharp increase in government borrowing needs due to the pandemic, and countries including GCC states, as well as Egypt, Jordan and Lebanon, will see the sharpest contractions in exports.
The impact of COVID-19 has widened existing fiscal and external imbalances in emerging and frontier markets, the service said in a new research report.
Countries in the MENA region are experiencing some of the sharpest contractions in exports, and some sovereigns will face severe borrowing pressure in early 2021 due to economic shocks due to COVID-19, says Moody’s.
Investment-grade emerging market sovereign bond issuance climbed above $107 billion by the end of June, 53 percent higher than in the first six months of 2019, according to data from the global ratings agency.
It said there had been a sharp increase in government borrowing needs due to the pandemic, and countries including GCC states, as well as Egypt, Jordan and Lebanon, will see the sharpest contractions in exports.
The impact of COVID-19 has widened existing fiscal and external imbalances in emerging and frontier markets, the service said in a new research report.
European, Middle Eastern & African Stocks - Bloomberg #UAE #Kuwait #Israel #SaudiArabia #Qatar mid-session
European, Middle Eastern & African Stocks - Bloomberg:
Updated stock indexes in Europe, Middle East & Africa. Get an overview of major indexes, current values and stock market data in Europe, UK, Germany, Russia & more.
Updated stock indexes in Europe, Middle East & Africa. Get an overview of major indexes, current values and stock market data in Europe, UK, Germany, Russia & more.
Oil prices drop as bleaker fuel demand outlook weighs on market | Reuters
Oil prices drop as bleaker fuel demand outlook weighs on market | Reuters:
Oil prices edged lower on Tuesday as worries over a slow recovery in global fuel demand, depressed by the coronavirus pandemic, chimed with bleak outlook warnings by major oil producers.
Brent crude LCOc1 was down 4 cents, or 0.1%, at $39.57 a barrel by 0642 GMT, while U.S. West Texas Intermediate (WTI) crude futures CLc1 were down 2 cents, or 0.1%, at $37.24 a barrel. Both contracts ended slightly lower the previous day.
Still, losses were limited by short-covering ahead of a key meeting later this week of the Organization of the Petroleum Exporting Countries (OPEC) and its allies, known as OPEC+, to discuss compliance with their programme of ambitious output cuts to prop up prices.
“Sentiment in oil markets remained gloomy due to the bleak demand outlook by oil producers and as a resurgence in COVID-19 cases in many countries fuelled concerns over slower pick-up in global fuel demand,” said Chiyoki Chen, chief analyst at Sun
Oil prices edged lower on Tuesday as worries over a slow recovery in global fuel demand, depressed by the coronavirus pandemic, chimed with bleak outlook warnings by major oil producers.
Brent crude LCOc1 was down 4 cents, or 0.1%, at $39.57 a barrel by 0642 GMT, while U.S. West Texas Intermediate (WTI) crude futures CLc1 were down 2 cents, or 0.1%, at $37.24 a barrel. Both contracts ended slightly lower the previous day.
Still, losses were limited by short-covering ahead of a key meeting later this week of the Organization of the Petroleum Exporting Countries (OPEC) and its allies, known as OPEC+, to discuss compliance with their programme of ambitious output cuts to prop up prices.
“Sentiment in oil markets remained gloomy due to the bleak demand outlook by oil producers and as a resurgence in COVID-19 cases in many countries fuelled concerns over slower pick-up in global fuel demand,” said Chiyoki Chen, chief analyst at Sun