Oil Climbs After Strong Europe Data and Suez Canal Blockage - Bloomberg

Want the lowdown on what's moving Asia’s markets in your inbox every morning? Sign up here.

Oil climbed after the release of better-than-expected European manufacturing figures, while the Suez canal remained blocked by a giant container ship.

Futures in New York were 2.5% higher. Efforts are continuing to refloat the ship that ran aground in the Suez Canal, its manager said. The vessel remains stuck, said an executive for port-agent services provider GAC, reversing an earlier statement that the container had been partially moved.

Crude was also buoyed by strong European economic data, with a record increase in factory output masking fresh concerns across the region about surging coronavirus infections.

Crude rose on Wednesday, but didn't recoup Tuesday's 6.2% loss

Oil prices have sunk about 13% in less than two weeks amid softening physical demand and the unwinding of long positions. The prompt timespread for Brent has also flipped into a bearish structure for the first time since January. Crude’s recent plunge may put pressure on OPEC+ to do more to try and stem the slide, with the group meeting next week to decide on production policy for May.

“The impact on the oil market will be fleeting,” Kevin Solomon, analyst at brokerage StoneX Group, said of the Suez Canal blockage. “At $70 the futures market had risen too quickly, but with oil at $60 it is an opportunity to buy at much more attractive levels.”

Prices
West Texas Intermediate for May delivery advanced $1.42 to $59.18 a barrel at 8:53 a.m. in New York Brent for the same month rose $1.59 to $62.38

The Suez Canal is frequently used by tankers transporting crude from the world’s top exporters in the Middle East to customers across Europe. The 400-meter (1,300-foot) long container-ship Ever Given’s hull became wedged lengthways across the canal on Tuesday, causing congestion.

Elsewhere, Germany canceled a planned five-day lockdown, potentially easing some concerns over demand. The overall picture in Europe remains bleak, however, with Polish cases hitting a record.

Other oil-market news:
Libya’s state oil producer is set to get the biggest portion of development spending in the country’s new budget, potentially aiding plans to raise output as the industry recovers from a decade of civil war. Chinese crude inventories, which include strategic petroleum reserves and commercial stockpiles, have climbed back near a peak reached in October after recent restocking, according to data from Ursa Space Systems. Refiners in India, the third-biggest oil importer, are snapping up more cargoes from outside the Middle East after the government urged them to diversify suppliers with the OPEC+ alliance keeping a tight rein on output.

Other oil-market news:

Libya’s state oil producer is set to get the biggest portion of development spending in the country’s new budget, potentially aiding plans to raise output as the industry recovers from a decade of civil war.
Chinese crude inventories, which include strategic petroleum reserves and commercial stockpiles, have climbed back near a peak reached in October after recent restocking, according to data from Ursa Space Systems.
Refiners in India, the third-biggest oil importer, are snapping up more cargoes from outside the Middle East after the government urged them to diversify suppliers with the OPEC+ alliance keeping a tight rein on output.

— With assistance by Rob Verdonck, Serene Cheong, and Paul Wallace

Let's block ads! (Why?)

"oil" - Google News
March 24, 2021 at 06:44AM
https://ift.tt/31gpHCk

Oil Climbs After Strong Europe Data and Suez Canal Blockage - Bloomberg
"oil" - Google News
https://ift.tt/2PqPpxF
Shoes Man Tutorial
Pos News Update
Meme Update
Korean Entertainment News
Japan News Update

Bagikan Berita Ini

Search

Oil Climbs After Strong Europe Data and Suez Canal Blockage - Bloomberg

0 Response to "Oil Climbs After Strong Europe Data and Suez Canal Blockage - Bloomberg"

Post a Comment