• 4 minutes Oil Price Editorial: Beware Of Saudi Oil Tanker Sabotage Stories
  • 6 minutes UAE says four vessels subjected to 'sabotage' near Fujairah port
  • 13 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 15 minutes Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 9 hours Wonders of Shale- Gas,bringing investments and jobs to the US
  • 6 hours Why is Strait of Hormuz the World's Most Important Oil Artery
  • 3 mins Trump bogged down in Mideast quagmire. US spent $Trillions, lost Thousands of lives, and lost goodwill. FOR WHAT? US interests ? WHAT INTEREST ? . . . . China greatest threat next 50 years.
  • 4 hours California's Oil Industry Collapses Despite Shale Boom
  • 3 hours North Dakota oil output totals 1.39 million b/d in March, up 4% on month: state
  • 34 mins Misunderstanding between USA and Iran the cause of current stand off, I call BS
  • 2 hours Rural and Conservative: Polish Towns Go 'LGBT free' Ahead Of Bitter European Election Campaign
  • 2 hours Global Warming Making The Rich Richer
  • 8 hours IMO2020 To scrub or not to scrub
  • 9 hours Knock-Knock: Aircraft Carrier Seen As Barometer Of Tensions With Iran
  • 13 hours Crude oil?
  • 6 hours Iceland Reducing Gas Stations By Half By 2025
  • 1 hour Compensation For A Trade War: Argentina’s Financial Crisis Creates An Opportunity For China
  • 9 hours "We cannot be relying on fossil fuels to burn as an energy source at all in our country" - Canadian NDP Political Leader

A Trend Reversal In Oil Markets

refinery

The bullish spirit of September has turned sour by the end of October, with both analysts and traders expecting a rather difficult 2019. More often than not one encounters global oil demand downgrades for the next year amid emerging market woes, from an almost universally accepted 1.4-1.5 mbpd we see currently forecasts in the 1.1-1.2 mbpd interval. Iran and ailing Venezuela remain the only major upward pressure factors for the time being.

(Click to enlarge)

As a consequence, Brent prices have continued to fall this week, ending it with a w-o-w decline of 6 percent at $73 per barrel. WTI saw a similar trend, with Friday trading oscilatting around $64 per barrel. Oversupply fears still loom large on the market, however, there is some upward potential, too. Next week might turn things around as the US Administration is alleged to have granted eight countries, including India, South Korea, Japan and China, a waiver to sanctions on Iran to be announced officially on Monday.

1. US Stocks rise on the brink of trend reversal

- US commercial crude stocks continued their build for the sixth week in row, this time rising by 3.2 MMbbl week-on-week to 426 MMbbl, whilst crude oil production hit 11.05 mbpd.
- Almost half of the stock rise is due to a 1.5 MMbbl Strategic Petroleum Reserve draw.
- The crude stock buildup will be further mitigated, if not reversed, in the next few weeks as refineries are brought back onstream following fall maintenance…




Oilprice - The No. 1 Source for Oil & Energy News