Connect with us

Global Banking and Finance Review is an online platform offering news, analysis, and opinion on the latest trends, developments, and innovations in the banking and finance industry worldwide. The platform covers a diverse range of topics, including banking, insurance, investment, wealth management, fintech, and regulatory issues. The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website. .

Top Stories

Oil down as uncertainty over OPEC+ supply cuts, demand growth weigh

2023 12 04T014810Z 3 LYNXMPEJB300Q RTROPTP 4 GLOBAL MARKETS MIDEAST - Global Banking | Finance

Oil down as uncertainty over OPEC+ supply cuts, demand growth weigh

By Mohi Narayan and Florence Tan

NEW DELHI (Reuters) – Oil futures reversed course after rising briefly on Monday amid persistent pressure from the OPEC+ decision and uncertainty over global fuel demand growth, although the risk of supply disruptions from the Middle East conflict limited the losses.

Brent crude futures were down 0.9%, or 73 cents, to $78.15 a barrel by 0735 GMT, while U.S. West Texas Intermediate crude futures were at $73.43 a barrel, down 0.8%, or 64 cents.

“Crude seems to be under continued pressure from the OPEC+ decision … Some degree of discounting of the deeper OPEC+ cuts is justified, but as of now, the crude complex has completely disregarded them,” said Vandana Hari, founder of oil market analysis provider Vanda Insights.

Oil prices slumped more than 2% last week on investor scepticism about the depth of supply cuts by the Organization of the Petroleum Exporting Countries and allies including Russia, together called OPEC+, and concern about sluggish global manufacturing activity.

OPEC+ cuts announced on Thursday were voluntary in nature, raising doubts about whether or not producers would fully implement them. Investors were also unsure about how the cuts would be measured.

Geopolitical considerations were also front and centre of investors’ minds as fighting resumed in Gaza. Three commercial vessels came under attack in international waters in the southern Red Sea, the U.S. military said on Sunday, as Yemen’s Houthi group claimed drone and missile attacks on two Israeli vessels in the area.

The resumption of the Israel-Hamas war fuelled the bullish momentum for oil prices, CMC Markets analyst Tina Teng said.

“However, oil prices may continue to be under pressure for the time being due to China’s disappointing economic recovery and the ramp-up of U.S. production,” Teng said.

U.S. oil rigs rose five to 505 this week, their highest since September, energy services firm Baker Hughes said in its closely followed report on Friday. [RIG/U]

On Russian oil, western countries have stepped up efforts to enforce the $60 a barrel price cap on seaborne shipments of Russian oil it imposed to punish Moscow for its war in Ukraine.

Washington on Friday imposed additional sanctions on three entities and three oil tankers.

Separately, the White House said on Friday it was prepared to “pause” sanctions relief for OPEC member Venezuela in coming days unless there is further progress on the release of Venezuelan political prisoners and “wrongfully detained” Americans. Meanwhile, India has resumed Venezuelan oil purchases.

(Reporting by Mohi Narayan and Florence Tan; Editing by Sonali Paul & Shri Navaratnam)

Global Banking & Finance Review

 

Why waste money on news and opinions when you can access them for free?

Take advantage of our newsletter subscription and stay informed on the go!


By submitting this form, you are consenting to receive marketing emails from: Global Banking & Finance Review │ Banking │ Finance │ Technology. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email. Emails are serviced by Constant Contact

Recent Post