Breaking News
0

Oil Prices Decline, Paring Weekly Gains Ahead of U.S. Production Data

CommoditiesSep 14, 2018 11:00AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. Oil drops for second day as traders await U.S. shale production data.

Investing.com - Oil prices declined for a second-consecutive session on Friday as increasing global supplies spooked bulls and investors looked ahead to weekly data on U.S. production.

New York-traded West Texas Intermediate crude futures fell 23 cents, or 0.34%, at $68.36 a barrel by 10:56 AM ET (14:56 GMT).

Meanwhile, Brent crude futures, the benchmark for oil prices outside the U.S., lost 51 cents, or 0.35%, to $77.91.

The two-day selloff began as the International Energy Agency said Thursday that global crude supplies hit a record high in August.

The agency also warned that oil-demand growth could come under pressure as a stronger greenback could raise the cost of importing energy, while an "escalation of trade disputes" would likely be another headwind to demand growth.

Despite the two-day decline, crude prices are set for a weekly gain of around 1%.

Later on Friday, traders will pay close attention to latest data on U.S. crude production from Baker Hughes.

The U.S. rig count, an early indicator of future output, fell by 2 to 860 last week.

Meanwhile, as part of America's continual effort to bring down oil prices in the face of November’s sanctions on Iran’s exports, the country’s energy secretary, Rick Perry, met with his Russian counterpart Alexander Novak in Moscow on Thursday, urging Novak to cooperate as leading energy producers to ensure global market stability. He told Novak that both countries are eager to keep the market competitive. He had met with Saudi Arabia officials earlier in the week. The three countries are the biggest producers of oil in the world.

After the Moscow meeting, Perry told journalists, “The [Saudi Arabia] kingdom, the members of OPEC that are opting their production to be able to make sure that the citizenry of the world does not see a spike in oil price … are to be admired and appreciated, and Russia is one of them.”

He added that the U.S., Russia and Saudi Arabia are working together to ensure accessibility to affordable energy.

Meanwhile, the Joint Technical Committee -- composed of representatives from the OPEC and non-OPEC major producers led by Russia -- is expected to meet on Sept. 17 to consider proposals on distributing the agreed output increase of 1 million barrels per day.

OPEC, Russia and other non-members agreed in June to return to 100% compliance with oil output cuts that began in January 2017, after underproduction by some had pushed compliance above 160%.

According to the sources cited, there are four proposals on the table that will be discussed before being presented to ministers attending the next monitoring meeting on Sept. 23 in Algeria.

In other energy trading, gasoline futures fell 1.69% to $1.9647 a gallon by 10:58 AM ET (14:58 GMT), while heating oil lost 1.02% to $2.2008 a gallon.

Lastly, natural gas futures traded down 1.74% to $2.768 per million British thermal units.

Oil Prices Decline, Paring Weekly Gains Ahead of U.S. Production Data
 

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments
Bijan Abbasi
Bijan Abbasi Sep 14, 2018 12:50PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
the price going up to 80$ because of storm and low oil inventory US
Reply
0 0
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email