Oil prices dropped over two percent on Friday, following Goldman Sachs predictions of crude at $20 a barrel due to global oversupply. Saudi Arabia, the world’s largest oil producer, added to the pressure, dismissing OPEC’s emergency summit, which was aimed at stopping crude’s slide. October Brent fell $1.03 to $47.86 a barrel in Friday’s trading … Continue reading
“American benchmark WTI crude briefly slipped below $40 per barrel for the first time since 2009, showing an eighth straight weekly decline , the longest streak in almost 30 years,” RT reports. According to the news agency: During the intraday trading in New York, the benchmark WTI crude price dropped as low as $39.86 per … Continue reading
By Mohamed A. El-Erian Oil prices have been heading south again, with a barrel of US crude recently falling below $42 – the lowest level since March 2009, the nadir of the global financial crisis. And, while last year’s sharp price drop was heavily influenced by two large supply shocks, the current decline also has an … Continue reading
Crude oil prices fell sharply during July and into early August, pressured by an abundance of supply and a strong US dollar. By early August, global benchmarks had sunk around 25% below end June levels. At the time of writing, ICE Brent was trading at around $49 /bbl while NYMEX WTI was at $43.30/bbl. Global oil … Continue reading
Russia has overtaken Saudi Arabia to now become China’s top crude dealer for the first time since October 2005 as the tussle for market share in the world’s second-largest oil consumer has intensified, Bloomberg reports. In May, China imported a record 3.92 million metric tons of crude oil from Russia, which accounts for 927,000 barrels per day or a … Continue reading
The biggest U.S. exchange-traded fund (ETF) that tracks oil, the United States Oil Fund, known as USO, is heading for the largest two-month outflow in six years. Investors are worried that it could be the end of crude’s 30 percent rally. Shareholders of the USO have withdrawn almost $1 billion so far since the beginning of April, … Continue reading
Venezuela has proposed that it blend its heavy crude with light oil from other OPEC countries to create a consistent new grade that could compete against increasing U.S. and Canadian supplies. The idea was discussed at the Summit of the Americas in Panama earlier this month and at a meeting with OPEC ambassadors in Caracas last week, according to Eulogio del Pino, head of the Venezuelan state oil … Continue reading
Goldman Sachs President Gary Cohn told CNBC on Wednesday he is very concerned about the short-term window for oil. He thinks crude prices could fall to $30 a barrel. One of the major reasons is the industry runs out of storage space. With the winter heating oil season ending, refineries are turning to producing more gasoline … Continue reading
As Goldman Sachs looks towards a future $40 per barrel price of oil, private equity funds are building dry powder for further investments. With oil in a state of backwardation – the future price is higher than the current spot price, sometimes considered a positive sign for those wanting higher prices – Goldman Sachs Group … Continue reading
The OPEC member states are discussing the possibility of an emergency meeting should oil prices continue to fall, said Nigerian Oil Minister, and OPEC President Diezani Alison-Madueke. Prices have dropped by than half since their peak last summer. If the price “slips any further it is highly likely that I will have to call an … Continue reading