Tuesday, July 31, 2018

Oil falls as focus on U.S. supply after industry data shows gain


By Bloomberg News -

Oil slipped below $68 a barrel toward its lowest level in almost a month after an industry report showed a surprise gain in American crude inventories at a time when more supply is expected from the Organization of Petroleum Exporting Countries  and the US.
Futures in New York dropped as much as 0.7 percent. The American Petroleum Institute was said to report stockpiles rose 629,000 barrels last week, in contrast to expectations for government data due Wednesday to show a 4.1 million barrel drop. Meanwhile, US benchmark West Texas Intermediate is hovering just above its 100-day moving average after London’s Brent settled below that level on Monday for the first time since March.
Crude has retreated about 9 percent in July as an escalating trade conflict between the US and China threatens to derail economic growth and cut demand. Goldman Sachs Group Inc. said the potential release of crude from America’s emergency stockpile, signs that Saudi Arabia is responding to increased pressure from President Donald Trump to pump more and uncertainty over the timing of a possible drop in Iranian exports due to sanctions are stoking price volatility.

No comments:

Post a Comment