Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

NYMEX crude gains despite API reported build in stocks last week

Published 05/27/2015, 08:08 PM
Updated 05/27/2015, 08:10 PM
© Reuters.  NYMEX crude higher despite API build

© Reuters. NYMEX crude higher despite API build

Investing.com - Crude oil prices gained in Asia on Thursday despite higher than expected U.S. stockpiles last week as measured by industry.

The American Petroleum Institute said crude supplies last week rose 1.268 million barrels, more than the 2 million barrels decline seen, while gasoline stocks dropped 3.591 million barrels and distillates eased 51,000 barrels

The Energy Information Administration will release its weekly inventory report on Thursday, delaying the release by a day due to the Memorial Day holiday.

On the New York Mercantile Exchange, WTI crude for July delivery rose 0.36% to $57.72 a barrel.

Overnight, crude futures moved lower on Wednesday reaching a four-week nadir, as investors awaited the release of weekly inventory data for a further gauge on global supply levels.

On the Intercontinental Exchange (ICE), Brent crude for July delivery lost $1.61 or 2.53% to close at $62.11 a barrel on Wednesday.

Prices continued to fall, as reports surfaced of a strategy by Iraq to flood the global markets with Iraqi crude in an effort to emasculate U.S. shale sales.

Iraq plans on outlining its strategy at next week's OPEC meeting in Vienna, according to Bloomberg, in which it could announce its intentions of boosting exports by more than 25% from its current level.

The strategy would release approximately 800,000 barrels per day onto global markets, increasing the total of Iraqi crude exports to a record 3.75 million barrels per day.

Crude prices are down roughly 20% since OPEC triggered an oil crash in late-November with its decision to keep supply levels constant. Had OPEC lowered its ceiling on production, prices may have stabilized even as the world's largest oil cartel risked losing market share to the U.S.

With a vast supply of crude in reserves, Saudi Arabia appeared content to depress oil prices in an effort to slow U.S. shale production. At one point in January crude futures had declined by more than 75% since peaking at above $115 last June, amid a glut of oversupply throughout the globe.

Crude prices, however, rebounded as production slowed this spring, rallying by more than 20% during the month of April.

Earlier this month, officials from the International Energy Administration declared that the battle between OPEC and the U.S. for global market share had not ended, but instead had "just begun."

Latest comments

Hello . Really a great news about NYMEX Crude . I am very appreciate this line are very effective and important . . On the New York Mercantile Exchange, WTI crude for July delivery rose 0.36% to $57.72 a barrel.. . Overnight, crude futures moved lower on Wednesday reaching a four-week nadir, as investors awaited the release of weekly inventory data for a further gauge on global supply levels.. . On the Intercontinental Exchange (ICE), Brent crude for July delivery lost $1.61 or 2.53% to close at $62.11 a barrel on Wednesday.. . Thanks . Yenny. MMF Solution SG
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.