NewsExpress advert FCMB banner
Oil prices rise on forecasts for growing demand, OPEC concerns

By Scott DiSavino on 06/03/2018

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 346

•OPEC Secretary General Mohammed Barkindo
•OPEC Secretary General Mohammed Barkindo

Crude prices rose on Monday along with the U.S. stock market on forecasts for robust oil demand growth and concerns that output from OPEC producers would grow at a much slower pace in coming years.

Brent futures gained $1.17, or 1.8 percent, to settle at $65.54 a barrel, while U.S. West Texas Intermediate crude futures gained $1.32, or 2.2 percent, to settle at $62.57.

Oil prices, which were flat earlier in the day, started rising along with U.S. stocks. The S&P 500 Index <.SPX> was up over 1 percent shortly before the close of trading.

“Today’s spike in the equities was a large driver behind today’s (oil) price recovery,” Jim Ritterbusch, president of Chicago-based energy advisory firm Ritterbusch & Associates, said in a report.

Analysts also said prices were propped up by “bullish comments” from ministers from the Organization of the Petroleum Exporting Countries and other global industry players at the CERAWeek conference in Houston, the largest energy conference, on Monday.

Abhishek Kumar, senior energy analyst at Interfax Energy’s Global Gas Analytics in London, said comments about “Venezuela’s deteriorating oil-production profile, together with prospects for strong compliance with the OPEC-led output-cut agreement, (were) supportive of oil prices.”

Ecuador’s oil minister Carlos Perez said Venezuela’s oil production was running 1.5 million barrels per day (bpd) short of its historic output. Speaking on the sidelines of the CERAWeek conference, he noted it was something that the country must address itself.

OPEC Secretary General Mohammad Barkindo and other OPEC officials are expected to hold a dinner on Monday with U.S. shale firms on the sidelines of the conference.

Suhail Mohamed Al Mazrouei, the United Arab Emirates oil minister and OPEC’s current president, said on Sunday that the cartel had not discussed rolling over production cuts next year.

“We feel there is still market overhang,” Al Mazrouei said, adding, “there are no talks about (extending cuts into 2019) at this stage.”

OPEC and other major producers agreed to cut combined output by about 1.8 million bpd to drain a global oil glut. The agreement began in January 2017 and runs through the end of this year.

Also on Monday, the International Energy Agency, which advises industrialised nations on energy policies, said it expected annual global oil demand growth to average a fairly robust 1.1 percent to 2023 and noted that OPEC would fail to significantly increase its production capacity.

To meet growing demand, IEA said U.S. shale oil output was set to surge over the next five years, stealing market share from OPEC producers and moving the United States, once the world’s top oil importer, closer to self sufficiency. (Reuters)

Source News Express

Posted 06/03/2018 1:36:53 PM


Share on facebook Yahoo mail icon Gmail icon Share on Google+



REVEALED: 3 natural ways to get stronger erections, last 25minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...


You may also like...
Agriculture remains our high priority —Buhari

Airtel introduces world’s first FREE intercontinental incoming roaming...

Code of Conduct Tribunal cries out over inadequate...

Arrest of State APC Deputy Chairman’s son over...

Nigerian pilgrim jailed in Saudi Arabia

62 political parties set for Rivers LG polls...

WHO develops guide to early cancer detection

We are not ready to surrender mandates given...

NDLEA plans new offensive against drug trafficking in...

Jonathan laments strikes, rivalry in health sector

Fallout of Boko Haram war: 150 die in...

Country makes it illegal to pay men more...


Latest News Sergeant, 3 others arrested for robbing Deputy Governor Biafra: FG re-arraigns 3 IPOB chiefs over alleged treason, illegal possession of firearms REVEALED: The last request of Senator Wakili before he slumped and died Senate adjourns plenary over Wakili’s death; to hold valedictory session Tricyclist, 5 others docked over false alarm on missing sexual organ UNIMAID final year student bathed with acid Bayelsa Governor rallies support for PDP National Chair, intensifies consultations with stakeholders Troops capture gunrunner in Southern Kaduna NIPOST bags global award Why I visited Araraume — Ohakim World’s last surviving male northern white rhino dies Meat poisoning crisis plunges Tiger Brands into heavy losses


Most Read Nigerian female sex addict opens up, says ‘I like it with both men and women’ (332,517 views) NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (325,203 views) Shameless Genevieve Nnaji exposes breasts in public (260,909 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (214,443 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (198,064 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (192,518 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (167,754 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (150,483 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (143,211 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (133,315 views) Lagos plane crash: Journalist releases victims’ names (132,678 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (125,942 views)


Categories Advertorials (3) African Press Organisation (81) Art & Literature (34) Business & Economy (2,973) Business Verdict (36) Columnists (814) Complaints & Requests (94) Enterprise & Opportunities (207) Entertainment (455) Features (554) Global Business Monitor (239) International (1,859) Interview (146) Live Commentary (28) Love Matters (114) News (33,764) Opinion (896) Pidgin (10) Politics (4,628) Religion (701) Sports (1,457) Stock Watch (28) AMA & Al Jazeera Global Update





Football Highlight -- BARCELONA - CHELSEA 3:0


APO Group Partner




REVEALED: 3 natural ways to get stronger erections, last 25minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...

GOCOP Accredited Member

GOCOP Accredited member



Africa Media Agency and Al Jazeera