Oil resumes rally, U.S. reserve release seen as unlikely | Reuters
Oil futures rebounded on Thursday, as the market deemed it unlikely that the United States would release emergency crude reserves or ban exports to ease tight supplies.
Brent futures rose 87 cents, or 1.1%, to settle at $81.95 a barrel, while U.S. crude gained 87 cents, or 1.1%, to settle at $78.30 a barrel. Earlier in the day prices at both benchmarks dropped $2 a barrel.
The U.S. Department of Energy said all "tools are always on the table" to tackle tight energy supply conditions in the market. read more
The department made the comment amid questions about whether President Joe Biden's administration is considering tapping into its Strategic Petroleum Reserves (SPR) or pursuing a ban on oil exports to bring down the cost of crude oil.
Thursday, 7 October 2021
MIDEAST STOCKS Most Gulf bourses end higher; #Qatar falls | Reuters
MIDEAST STOCKS Most Gulf bourses end higher; Qatar falls | Reuters
Most stock markets in the Gulf ended higher on Thursday, in line with global equities, although the Qatari index bucked the trend to close lower.
World stock markets got their foot back on the gas as hopes grew that Washington could resolve its debt-ceiling squabbles and a global drop in energy prices tempered deepening fears of "stagflation".
Saudi Arabia's benchmark index (.TASI) added 0.2%, helped by a 0.9% gain in Al Rajhi Bank (1120.SE) and a 0.8% increase in Saudi National Bank (1180.SE).
Talks between Iran and Saudi Arabia have gone a "good distance", Iranian Foreign Minister Hossein Amirabdollahian told a news conference in Beirut on Thursday. read more
However, oil giant Saudi Aramco (2222.SE) gave up early gains to close 0.4% lower. During the session, it rose more than 1%, fetching a market value of $2 trillion, a mark it had hit in the previous session as well as a day after its Riyadh initial public offering in December 2019.
In Abu Dhabi, the index (.ADI) gained 0.7%, with the country's largest lender First Abu Dhabi Bank (FAB.AD) rising 1.4% and Aldar Properties (ALDAR.AD) advancing 2.7%.
The United Arab Emirates locked in $4 billion with its debt capital markets debut on Wednesday, after orders for its three-tranche bond deal topped $22.5 billion, bank documents showed. read more
Issuers in the Gulf have continued to tap debt markets despite recent volatility, seeking to lock in cheap funds before the U.S. Federal Reserve's expected tapering of its bond-buying programme this year.
Dubai's main share index (.DFMGI) finished 0.8% higher, buoyed by a 2.6% jump in blue-chip developer Emaar Properties (EMAR.DU) and a 1.2% increase in sharia-compliant lender Dubai Islamic Bank (DISB.DU).
Average residential property prices in Dubai rose 4.4% in the 12 months to August, the highest annual growth since February 2015, real estate investment firm CBRE Group said on Thursday. read more
However, an ongoing fall in rents signalled continued weakness in the long-troubled sector. Dubai rents continued to trend lower, falling by 2.7% on average in the year ending in August, CBRE said in a report.
The Qatari index (.QSI) dropped 0.6%, as most of the stocks on the index were in negative territory including petrochemical maker Industries Qatar (IQCD.QA).
Most stock markets in the Gulf ended higher on Thursday, in line with global equities, although the Qatari index bucked the trend to close lower.
World stock markets got their foot back on the gas as hopes grew that Washington could resolve its debt-ceiling squabbles and a global drop in energy prices tempered deepening fears of "stagflation".
Saudi Arabia's benchmark index (.TASI) added 0.2%, helped by a 0.9% gain in Al Rajhi Bank (1120.SE) and a 0.8% increase in Saudi National Bank (1180.SE).
Talks between Iran and Saudi Arabia have gone a "good distance", Iranian Foreign Minister Hossein Amirabdollahian told a news conference in Beirut on Thursday. read more
However, oil giant Saudi Aramco (2222.SE) gave up early gains to close 0.4% lower. During the session, it rose more than 1%, fetching a market value of $2 trillion, a mark it had hit in the previous session as well as a day after its Riyadh initial public offering in December 2019.
In Abu Dhabi, the index (.ADI) gained 0.7%, with the country's largest lender First Abu Dhabi Bank (FAB.AD) rising 1.4% and Aldar Properties (ALDAR.AD) advancing 2.7%.
The United Arab Emirates locked in $4 billion with its debt capital markets debut on Wednesday, after orders for its three-tranche bond deal topped $22.5 billion, bank documents showed. read more
Issuers in the Gulf have continued to tap debt markets despite recent volatility, seeking to lock in cheap funds before the U.S. Federal Reserve's expected tapering of its bond-buying programme this year.
Dubai's main share index (.DFMGI) finished 0.8% higher, buoyed by a 2.6% jump in blue-chip developer Emaar Properties (EMAR.DU) and a 1.2% increase in sharia-compliant lender Dubai Islamic Bank (DISB.DU).
Average residential property prices in Dubai rose 4.4% in the 12 months to August, the highest annual growth since February 2015, real estate investment firm CBRE Group said on Thursday. read more
However, an ongoing fall in rents signalled continued weakness in the long-troubled sector. Dubai rents continued to trend lower, falling by 2.7% on average in the year ending in August, CBRE said in a report.
The Qatari index (.QSI) dropped 0.6%, as most of the stocks on the index were in negative territory including petrochemical maker Industries Qatar (IQCD.QA).
Oil eases as U.S. mulls strategic reserve sales | Reuters
Oil eases as U.S. mulls strategic reserve sales | Reuters
Oil prices extended losses from the previous session on Thursday, as the United States said it was considering selling oil from its strategic reserves and as Russia said it was ready to stabilise the natural gas market.
Brent crude prices were down 16 cents, or 0.2%, at $80.92 a barrel by 1306 GMT, after touching a session low of $79.08. WTI crude futures fell 30 cents, or 0.4%, to $77.13 a barrel, having hit a session low of $74.96.
Both contracts fell about 2% on Wednesday.
"The crude market might be less tight should the United States tap the strategic crude reserves and if Russia manages to send more natural gas to Europe, this might result in less substitution from natural gas to crude," said UBS analyst Giovanni Staunovo.
Oil prices extended losses from the previous session on Thursday, as the United States said it was considering selling oil from its strategic reserves and as Russia said it was ready to stabilise the natural gas market.
Brent crude prices were down 16 cents, or 0.2%, at $80.92 a barrel by 1306 GMT, after touching a session low of $79.08. WTI crude futures fell 30 cents, or 0.4%, to $77.13 a barrel, having hit a session low of $74.96.
Both contracts fell about 2% on Wednesday.
"The crude market might be less tight should the United States tap the strategic crude reserves and if Russia manages to send more natural gas to Europe, this might result in less substitution from natural gas to crude," said UBS analyst Giovanni Staunovo.
The World Bank is More Upbeat on Mideast’s Post-Covid Recovery - Bloomberg
The World Bank is More Upbeat on Mideast’s Post-Covid Recovery - Bloomberg
The World Bank has revised upward its economic growth projections for the Middle East and North Africa to 2.8% this year from an earlier estimate of 2.2%, as vaccine campaigns gather pace and pandemic restrictions ease.
The Washington-based lender now calculates the total cost of the pandemic at around $200 billion in terms of gross domestic product losses, according to its latest regional economic review published on Thursday. Growth in 2021 will still lag behind pre-pandemic levels and is seen at 4.2% next year, as some countries have been slower to address the public health crisis.
The Middle East and North Africa was hit hard by the coronavirus pandemic last year and, like the rest of the world, lockdown measures introduced to combat the spread of the virus left many of its economies in distress. Going forward, governments must ensure efficient vaccination campaigns to prevent public health from deteriorating once again, the report said.
“The last two years have shown that pandemic control is essential not only to save lives but also to accelerate economic recovery, which is now tenuous and uneven across” the Middle East and North Africa, said Roberta Gatti, chief economist for the region. “Stressed health systems and lagging vaccinations in many middle-income and low-income countries in the region are harbingers of downside risks.”
The MENA region’s combined budget deficit is expected to reach 5.2% of GDP this year, before shrinking to 3.3% in 2022 as economies recover, the World Bank projected.
The World Bank has revised upward its economic growth projections for the Middle East and North Africa to 2.8% this year from an earlier estimate of 2.2%, as vaccine campaigns gather pace and pandemic restrictions ease.
The Washington-based lender now calculates the total cost of the pandemic at around $200 billion in terms of gross domestic product losses, according to its latest regional economic review published on Thursday. Growth in 2021 will still lag behind pre-pandemic levels and is seen at 4.2% next year, as some countries have been slower to address the public health crisis.
The Middle East and North Africa was hit hard by the coronavirus pandemic last year and, like the rest of the world, lockdown measures introduced to combat the spread of the virus left many of its economies in distress. Going forward, governments must ensure efficient vaccination campaigns to prevent public health from deteriorating once again, the report said.
“The last two years have shown that pandemic control is essential not only to save lives but also to accelerate economic recovery, which is now tenuous and uneven across” the Middle East and North Africa, said Roberta Gatti, chief economist for the region. “Stressed health systems and lagging vaccinations in many middle-income and low-income countries in the region are harbingers of downside risks.”
The MENA region’s combined budget deficit is expected to reach 5.2% of GDP this year, before shrinking to 3.3% in 2022 as economies recover, the World Bank projected.
LNG Exporter #Qatar Warns Gas Prices Are at Unhealthy Levels - Bloomberg
LNG Exporter Qatar Warns Gas Prices Are at Unhealthy Levels - Bloomberg
Qatar, the world’s biggest exporter of liquefied natural gas, warned that prices have climbed to “unhealthy” levels.
“While natural gas prices are an outcome of basic market fundamentals including supply and demand, the current price levels observed in global markets are unhealthy for both producers and consumers,” the Gulf nation’s Energy Minister Saad Al-Kaabi said after a virtual discussion with Kadri Simson, the European Union’s commissioner for energy.
His comments come amid a crisis in gas markets, with prices in Europe and parts of Asia having surged in recent weeks. They eased on Wednesday following comments from Russia’s President Vladimir Putin suggesting that Moscow could raise exports.
Qatar is spending around $30 billion to increase production, though that will take years. Kaabi said last month the country would struggle to boost output in the near term as it was pumping at maximum capacity.
“They are queuing up for LNG,” he said on Sept. 21. “We have huge demand from all our customers and unfortunately we can’t cater for everyone.”
Qatar, the world’s biggest exporter of liquefied natural gas, warned that prices have climbed to “unhealthy” levels.
“While natural gas prices are an outcome of basic market fundamentals including supply and demand, the current price levels observed in global markets are unhealthy for both producers and consumers,” the Gulf nation’s Energy Minister Saad Al-Kaabi said after a virtual discussion with Kadri Simson, the European Union’s commissioner for energy.
His comments come amid a crisis in gas markets, with prices in Europe and parts of Asia having surged in recent weeks. They eased on Wednesday following comments from Russia’s President Vladimir Putin suggesting that Moscow could raise exports.
Qatar is spending around $30 billion to increase production, though that will take years. Kaabi said last month the country would struggle to boost output in the near term as it was pumping at maximum capacity.
“They are queuing up for LNG,” he said on Sept. 21. “We have huge demand from all our customers and unfortunately we can’t cater for everyone.”
#UAE Sets 2050 Net-Zero Goal, First Among Major Gulf Petrostates - Bloomberg
UAE Sets 2050 Net-Zero Goal, First Among Major Gulf Petrostates - Bloomberg
The United Arab Emirates has become the first of the Persian Gulf’s petrostates to commit to eliminating planet-warming emissions within its borders.
“The UAE net-zero initiative will provide us with precision and boost our efforts to accelerate the energy transition,” the Department of Energy of Abu Dhabi, the capital, said in a statement.
Dubai’s ruler, Sheikh Mohammed bin Rashid Al Maktoum, earlier said the UAE would invest almost $165 billion in clean energy by 2050.
The new target aligns the UAE with most major economies and the deadline scientists say gives the world some chance of avoiding the worst effects of global warming. The commitment is the latest from countries ahead of United Nations-sponsored climate talks starting later this month in Glasgow, Scotland, and known as COP26.
The United Arab Emirates has become the first of the Persian Gulf’s petrostates to commit to eliminating planet-warming emissions within its borders.
“The UAE net-zero initiative will provide us with precision and boost our efforts to accelerate the energy transition,” the Department of Energy of Abu Dhabi, the capital, said in a statement.
Dubai’s ruler, Sheikh Mohammed bin Rashid Al Maktoum, earlier said the UAE would invest almost $165 billion in clean energy by 2050.
The new target aligns the UAE with most major economies and the deadline scientists say gives the world some chance of avoiding the worst effects of global warming. The commitment is the latest from countries ahead of United Nations-sponsored climate talks starting later this month in Glasgow, Scotland, and known as COP26.
#Oman budget deficit shrinks due to higher oil prices | Reuters
Oman budget deficit shrinks due to higher oil prices | Reuters
Oman posted a year-to-date budget deficit of around 1 billion rials ($2.60 billion) in August, a 46.2% annual decline in its fiscal shortfall, the ministry of finance said, benefiting from higher oil prices.
Year-to-date state revenues increased by 13.9% to 6.3 billion rials by the end of August when compared to the same period last year.
"Such an increase is reflected by improved oil and gas prices over the past months", the ministry said in a statement.
Public spending increased by 1.7% year on year.
A relatively small oil producer, Oman is more sensitive than its hydrocarbon-rich Gulf neighbours to oil price swings, meaning it was hit especially hard by the price crash in 2020 amid the COVID-19 pandemic and worldwide economic lockdowns.
S&P Global Ratings said on Saturday it had revised its outlook on Oman to positive from stable due to the higher oil prices and its fiscal reform plans, which are expected to narrow state deficits and slow a rise in debt levels over the next three years. read more
Oman posted a year-to-date budget deficit of around 1 billion rials ($2.60 billion) in August, a 46.2% annual decline in its fiscal shortfall, the ministry of finance said, benefiting from higher oil prices.
Year-to-date state revenues increased by 13.9% to 6.3 billion rials by the end of August when compared to the same period last year.
"Such an increase is reflected by improved oil and gas prices over the past months", the ministry said in a statement.
Public spending increased by 1.7% year on year.
A relatively small oil producer, Oman is more sensitive than its hydrocarbon-rich Gulf neighbours to oil price swings, meaning it was hit especially hard by the price crash in 2020 amid the COVID-19 pandemic and worldwide economic lockdowns.
S&P Global Ratings said on Saturday it had revised its outlook on Oman to positive from stable due to the higher oil prices and its fiscal reform plans, which are expected to narrow state deficits and slow a rise in debt levels over the next three years. read more
#UAE Joins Bond Rush With Three-Part Debut Dollar Debt Sale - Bloomberg video
UAE Joins Bond Rush With Three-Part Debut Dollar Debt Sale - Bloomberg
The United Arab Emirates priced its first ever dollar bonds as a combined federation, luring bids for more than five times the amount on offer.
The federation, comprised of seven emirates including Abu Dhabi and Dubai, priced $4 billion in dollar-denominated debt due in 10, 20 and 40 years, according to a person familiar with the matter who isn’t authorized to speak publicly and asked not to be identified. Order books topped $22 billion.
Government officials and bankers have spent the past two days drumming up support for the UAE’s offering, holding global calls with investors from New York and London to Singapore and Tokyo. Proceeds from the debt will go toward infrastructure projects and investments by the nation’s sovereign wealth fund.
The UAE offering is “a precursor to potentially a local-currency issuance,” Doug Bitcon, the Dubai-based head of credit strategies at Rasmala Investment Bank, said on Bloomberg TV. “This will be the next step to the development of the financial markets within the UAE.”
The sale comes as investors brace for the Federal Reserve to start winding down stimulus. Emerging-market bond sales sprung back to life in September, a month that saw $71 billion of issuance from governments and companies after $90 billion of sales over the previous 10 weeks. Debt sold by Egypt, Nigeria, Indonesia, Turkey, Chile, Serbia and Hungary all met with robust investor demand.
The UAE’s debt is rated by Moody’s Investors Service at Aa2, the third-highest investment grade, and one step lower at AA- by Fitch Ratings. The federation is comprised of Abu Dhabi, Dubai, Sharjah, Ajman, Umm Al Quwain, Fujairah and Ras Al Khaimah.
The federation, comprised of seven emirates including Abu Dhabi and Dubai, priced $4 billion in dollar-denominated debt due in 10, 20 and 40 years, according to a person familiar with the matter who isn’t authorized to speak publicly and asked not to be identified. Order books topped $22 billion.
Government officials and bankers have spent the past two days drumming up support for the UAE’s offering, holding global calls with investors from New York and London to Singapore and Tokyo. Proceeds from the debt will go toward infrastructure projects and investments by the nation’s sovereign wealth fund.
| PRICING RESULTS | |
|---|---|
| $1 billion in debt due 2031 | T+70 basis points |
| $1 billion in debt due 2041 | T+105 basis points |
| $2 billion in debt due 2061 | 3.25% |
The sale comes as investors brace for the Federal Reserve to start winding down stimulus. Emerging-market bond sales sprung back to life in September, a month that saw $71 billion of issuance from governments and companies after $90 billion of sales over the previous 10 weeks. Debt sold by Egypt, Nigeria, Indonesia, Turkey, Chile, Serbia and Hungary all met with robust investor demand.
The UAE’s debt is rated by Moody’s Investors Service at Aa2, the third-highest investment grade, and one step lower at AA- by Fitch Ratings. The federation is comprised of Abu Dhabi, Dubai, Sharjah, Ajman, Umm Al Quwain, Fujairah and Ras Al Khaimah.
Oil extends losses as U.S. mulls strategic reserve sales | Reuters
Oil extends losses as U.S. mulls strategic reserve sales | Reuters
Oil prices fell sharply on Thursday, extending losses from the previous session, as the United States said it was considering selling oil from its strategic reserves and as Russia said it was ready to stabilise the natural gas market.
Brent crude prices fell $1.24, or 1.5%, to $79.84 a barrel by 0918 GMT, after falling to a session low of $79.08. WTI crude futures fell $1.69, or 2.2%, to $75.74 a barrel, having hit a session low of $74.96.
Both contracts fell about 2% on Wednesday.
"The crude market might be less tight should the United States tap the strategic crude reserves and if Russia manages to send more natural gas to Europe, this might result in less substitution from natural gas to crude," said UBS analyst Giovanni Staunovo.
Oil prices fell sharply on Thursday, extending losses from the previous session, as the United States said it was considering selling oil from its strategic reserves and as Russia said it was ready to stabilise the natural gas market.
Brent crude prices fell $1.24, or 1.5%, to $79.84 a barrel by 0918 GMT, after falling to a session low of $79.08. WTI crude futures fell $1.69, or 2.2%, to $75.74 a barrel, having hit a session low of $74.96.
Both contracts fell about 2% on Wednesday.
"The crude market might be less tight should the United States tap the strategic crude reserves and if Russia manages to send more natural gas to Europe, this might result in less substitution from natural gas to crude," said UBS analyst Giovanni Staunovo.
Dubai property prices higher but rents continue to fall - CBRE | Reuters
Dubai property prices higher but rents continue to fall - CBRE | Reuters
Average residential property prices in Dubai rose 4.4% in the 12 months to August, the highest annual growth since February 2015, real estate investment firm CBRE Group said on Thursday.
However, an ongoing fall in rents signalled continued weakness in the long-troubled sector. Dubai rents continued to trend lower, falling by 2.7% on average in the year ending in August, CBRE said in a report.
Reuters reported in March that the luxury segment of Dubai's property market has seen a boost following a sharp downturn due to COVID-19, but recovery for the sector is still a long way off. read more
Even before the pandemic, the long-term economic trend in the United Arab Emirates had been sluggish since the 2014-2015 oil price crash. Supply has outpaced demand for new houses and apartments for years in a market where most of the population are foreigners, many of whom left during the pandemic.
Average residential property prices in Dubai rose 4.4% in the 12 months to August, the highest annual growth since February 2015, real estate investment firm CBRE Group said on Thursday.
However, an ongoing fall in rents signalled continued weakness in the long-troubled sector. Dubai rents continued to trend lower, falling by 2.7% on average in the year ending in August, CBRE said in a report.
Reuters reported in March that the luxury segment of Dubai's property market has seen a boost following a sharp downturn due to COVID-19, but recovery for the sector is still a long way off. read more
Even before the pandemic, the long-term economic trend in the United Arab Emirates had been sluggish since the 2014-2015 oil price crash. Supply has outpaced demand for new houses and apartments for years in a market where most of the population are foreigners, many of whom left during the pandemic.
MIDEAST STOCKS Major Gulf indexes rise, Aramco hits $2 trillion valuation | Reuters
MIDEAST STOCKS Major Gulf indexes rise, Aramco hits $2 trillion valuation | Reuters
Major Gulf stock markets tracked Asian shares higher on Thursday, with banks leading gains and oil giant Saudi Aramco hitting a $2 trillion valuation.
Asian shares rose, supported by a possible easing in U.S.-China tensions and weaker energy prices, as oil edged down from multi-year highs. read more
A rally in oil prices had been a major contributor to a selloff in equities this week.
Saudi Arabia's benchmark index (.TASI) added 0.4%, with Al Rajhi Bank (1120.SE) rising 0.9% and petrochemical maker Saudi Basic Industries (2010.SE) gaining 0.8%.
Top oil exporter Aramco (2222.SE) rose over 1%, fetching a market value of $2 trillion, a mark it had hit in the previous sessin as well as a day after its Riyadh initial public offering in December 2019.
In Abu Dhabi, the index (.ADI) gained 0.6%, bolstered by a 1.2% rise in the country's largest lender First Abu Dhabi Bank (FAB.AD) and a 0.6% increase in telecoms firm Etisalat (ETISALAT.AD).
Dubai's main share index (.DFMGI) advanced 0.8%, with Emirates NBD Bank (ENBD.DU) climbing 1.2% and blue-chip developer Emaar Properties (EMAR.DU).
The United Arab Emirates locked in $4 billion with its debt capital markets debut on Wednesday, after orders for its three-tranche bond deal topped $22.5 billion, bank documents showed. read more
Issuers in the Gulf have continued to tap debt markets despite recent volatility, seeking to lock in cheap funds before the U.S. Federal Reserve is expected to begin tapering its bond-buying programme this year.
Elsewhere, the Qatari index (.QSI) traded flat.
Major Gulf stock markets tracked Asian shares higher on Thursday, with banks leading gains and oil giant Saudi Aramco hitting a $2 trillion valuation.
Asian shares rose, supported by a possible easing in U.S.-China tensions and weaker energy prices, as oil edged down from multi-year highs. read more
A rally in oil prices had been a major contributor to a selloff in equities this week.
Saudi Arabia's benchmark index (.TASI) added 0.4%, with Al Rajhi Bank (1120.SE) rising 0.9% and petrochemical maker Saudi Basic Industries (2010.SE) gaining 0.8%.
Top oil exporter Aramco (2222.SE) rose over 1%, fetching a market value of $2 trillion, a mark it had hit in the previous sessin as well as a day after its Riyadh initial public offering in December 2019.
In Abu Dhabi, the index (.ADI) gained 0.6%, bolstered by a 1.2% rise in the country's largest lender First Abu Dhabi Bank (FAB.AD) and a 0.6% increase in telecoms firm Etisalat (ETISALAT.AD).
Dubai's main share index (.DFMGI) advanced 0.8%, with Emirates NBD Bank (ENBD.DU) climbing 1.2% and blue-chip developer Emaar Properties (EMAR.DU).
The United Arab Emirates locked in $4 billion with its debt capital markets debut on Wednesday, after orders for its three-tranche bond deal topped $22.5 billion, bank documents showed. read more
Issuers in the Gulf have continued to tap debt markets despite recent volatility, seeking to lock in cheap funds before the U.S. Federal Reserve is expected to begin tapering its bond-buying programme this year.
Elsewhere, the Qatari index (.QSI) traded flat.
Oil falls for 2nd session on unexpected rise in U.S. inventories | Reuters
Oil falls for 2nd session on unexpected rise in U.S. inventories | Reuters
Oil prices dropped for a second session on Thursday, under pressure from an unexpected rise in U.S. crude stocks that raised concerns over demand after prices rallied to multi-year highs.
U.S. crude slid 0.67%, or 52 cents, to $76.91 a barrel by 0649 GMT, after the market climbed on Wednesday to $79.78, the highest since November 2014. Brent crude lost 0.1%, or 8 cents, to $81.00 a barrel.
"Commercial stockpiles of crude rose ... last week, according to EIA data," ANZ said in a note. "Stockpiles of gasoline also surged, raising concerns of weaker demand."
U.S. crude inventories rose by 2.3 million barrels last week, the U.S. Energy Information Administration (EIA) said, against expectations for a modest dip of 418,000 barrels. Gasoline inventories also rose, while distillate inventories were down slightly.
Oil prices dropped for a second session on Thursday, under pressure from an unexpected rise in U.S. crude stocks that raised concerns over demand after prices rallied to multi-year highs.
U.S. crude slid 0.67%, or 52 cents, to $76.91 a barrel by 0649 GMT, after the market climbed on Wednesday to $79.78, the highest since November 2014. Brent crude lost 0.1%, or 8 cents, to $81.00 a barrel.
"Commercial stockpiles of crude rose ... last week, according to EIA data," ANZ said in a note. "Stockpiles of gasoline also surged, raising concerns of weaker demand."
U.S. crude inventories rose by 2.3 million barrels last week, the U.S. Energy Information Administration (EIA) said, against expectations for a modest dip of 418,000 barrels. Gasoline inventories also rose, while distillate inventories were down slightly.