Oil prices spurt as tensions in Saudi-Syria, US-Russia relations rise

Crude oil markets have been heating up and this has reflected in fuel prices in India with petrol touching 4-year highs and diesel also at all-time highs.

Oil had already started off Tuesday with big gains as the United States closed in on a decision on whether to launch a strike on Syria in response to an alleged gas attack.

OPEC is cutting output by even more than it promised and the restraint is reducing oil stocks globally, a trend most visible in the US, the world's largest and most transparent oil market.

Watch Manisha Gupta share insights into crude demand-supply, and what will drive prices.

USA crude inventories rose by 1.8 million barrels in the week to April 6 to 429.1 million, according to a report by the American Petroleum Institute (API) on Tuesday, compared with analysts' expectations for a decrease of 189,000 barrels.

While global oil prices stabilised on Friday, they continue to pose worries for governments and consumers around the world, with fears that they could touch the $80 a barrel mark in about a year.

Oil prices hit new 2018 highs as missile strikes on top crude exporter Saudi Arabia added to the market's worries about a potential conflict between the US and Russian Federation in Syria.

Prices were also impacted by reports that Saudi Arabia intercepted missiles over Riyadh fired by Yemeni Houthi rebels.

In China, Shanghai crude futures were also up, rising 8.9 yuan to 427.1 yuan ($68.03) per barrel, up 2.1 percent and with record volumes traded on the product that was only launched in late March.

"All eyes are on geopolitical tension at the moment, not just because the market is that much more finely balanced, but because there are several pockets of geopolitical tensions", he said.

The U.S. Energy Information Administration (EIA) said on Tuesday that it expects domestic crude oil production in 2019 to rise by more than previously expected, to 11.44 million bpd.

"Shale producers can't raise production quickly and the Gulf of Mexico is already exceeding expectations and that is why oil is acting so strong, even though it is unclear that an attack on Syria will disrupt any supply of oil at all", Phil Flynn, the senior market analyst for the PRICE Futures Group in Chicago, said in market commentary emailed to UPI.

The morning price spike was completely due to the Trump tweet, which left the market to figure out the President's meaning, according to Kilduff.

At the time of writing, Brent crude oil futures were up 0.17 per cent at $72.18 per barrel, having hit $72.49 earlier in the day. The Organization of Petroleum Exporting Countries, meanwhile, reported that total member state output declined by an average 200,000 barrels per day last month.

Related News:

  • Leafs' Kadri suspended 3 games for hit on Bruins' Wingels

    Leafs' Kadri suspended 3 games for hit on Bruins' Wingels

    The NHL suspended Toronto Maple Leafs forward Nazem Kadri for three playoff games Friday after he boarded Boston Bruins forward Tommy Wingels in Boston's 5-1 Game 1 win Thursday evening.
    Worldwide  military action against Syria awaits Trump decision

    Worldwide military action against Syria awaits Trump decision

    She said USA officials are "continuing to assess intelligence" and are "engaged in conversations with our partners and allies". The New York Times noted that the White House is mulling a more "robust" strategy that may include an escalation of force.
    A new BioShock game from 2K is reportedly in the works

    A new BioShock game from 2K is reportedly in the works

    Some went to other game companies; others moved to the top-secret studio next door to work on an unannounced new BioShock game. In the midst of the conversation, the report drops an exciting detail: an unannounced BioShock game is now underway.
  • Travis d'Arnaud: Set for Tommy John surgery

    Travis d'Arnaud: Set for Tommy John surgery

    BC-BBN-Mets-Plawecki, 1st Ld-Writethru, 187Mets C Plawecki has broken hand; d'Arnaud elbow surgeryAP Photo FLLS111Eds: APNewsNow. D'Arnaud went on the disabled list Wednesday for the fifth consecutive year and was transferred to the 60-day DL on Friday.
    Volkswagen names new boss to steer sweeping overhaul

    Volkswagen names new boss to steer sweeping overhaul

    He has also previously been vocal about his desire to increase the number of female managers at the company. Porsche sports auto division head Oliver Blume was promoted to the top management body of the entire group.
    California SUV crash victim said her moms were 'racist'

    California SUV crash victim said her moms were 'racist'

    The Humboldt County Sheriffs Office also assisted with the use of their jet boat with side scan sonar system. Sheriff's officials plan to hold a press conference about the search Friday afternoon.
  • Stock is Neither Hold nor sell: Wells Fargo & Company

    Stock is Neither Hold nor sell: Wells Fargo & Company

    This repurchase authorization authorizes the financial services provider to buy shares of its stock through open market purchases. Perhaps, that suggests something about why 0.07% of the outstanding share supply is held by institutional investors.
    Premier League clubs vote against VAR

    Premier League clubs vote against VAR

    VAR will not be introduced to the Premier League next season after the clubs agreed on Friday that more testing is required. The Premier league clubs approved for the test run to be continued using the FA cup and the Carabao cup within the season.
    Markets rise on hopes of US-China trade deal

    Markets rise on hopes of US-China trade deal

    He added that he doesn't blame China, but American leaders for creating a "lopsided" set of trade rules. ENERGY: Benchmark U.S. crude rose $1.47, or 2.3 percent, to $64.89 a barrel in NY .
  • Child's body found in river where Southern California family vanished

    Child's body found in river where Southern California family vanished

    The former friend said authorities told her the children had been interviewed and were likely coached in their responses. Jen and Sarah Hart, both originally from South Dakota, were the adoptive mothers of their six children from Texas.
    Video of cop's bravery during YouTube HQ shooting goes viral

    Video of cop's bravery during YouTube HQ shooting goes viral

    Video captured from a bystander that shows an officer's response to the shooting at YouTube's headquarters has gone viral. Aghdam also told police she was in Mountain View because she had not been getting along with her family in San Diego.
    Woman adopts baby from woman she met on plane

    Woman adopts baby from woman she met on plane

    Nearly two years later, Snipes and Phipps remain close and talk daily - Snipes even moved an hour away so she could visit Vaughn. According to Phalatse, the mother and the babies were in good health, following her visit this week Wednesday.


Most liked

Star-Lord Makes Fun of Thor In New Avengers
Eagle-eyed fans will, of course, note that many of these characters aren't in their Infinity War costumes. You can check out the rest of the images in the gallery below.

Woman adopts baby after chance encounter with his mother at airport
When the two men neared the kitchen, Poucette said she grabbed a knife and advanced toward her husband who was behind her cousin. In 2015, Poucette lodged an assault charge against him but said it was dropped after she failed to show up in court.

No "final decision" yet on Syria response, White House says
White House spokesman Raj Shah said Friday afternoon that Trump "is going to hold the Syrian government accountable". Trump said the operation would be conducted in cooperation with the militaries of France and Britain.

Lue plans to use 10-man rotation for Cavs in playoffs
The Indiana Pacers look to make an early statement in this series after being one of the bigger surprises in the season already. The Cavaliers have had a roller coaster of a season and have settled into the fourth seed in the Eastern Conference .

Huey Lewis & The News Cancel Tour Dates Over Hearing Loss
Lewis concluded his statement with an apology to his fans and the hope that he will one day "be able to perform again". Lewis says his doctors believe he has Meniere's disease, an inner ear disorder that causes hearing loss and vertigo.

Paul Ryan Endorses Kevin McCarthy To Become Next House Speaker
He his support behind his current deputy, House Republican leader McCarthy of California, to take over as House speaker. While Ryan may prefer McCarthy take over as speaker, several wild cards could derail the coronation.

Google 'Right to Be Forgotten' Case Lost, Must Delist Man's Crime
He similarly petitioned Google to remove search results about a crime he had committed, for which he served four years in jail. But the move has sparked concerns about news stories and other previously public information being hidden.

Zuckerberg admits Facebook collects data on non-users
And youre directing people who dont have a Facebook page to sign up for Facebook in order to get their data. We do pay to help produce content. "I'm aware that there may be, but we are working with them".

Sea of Thieves First Content Update Dated For May
The third content drop, Forsaken Shores , will come later in the summer and introduce a new area for players to explore. Everything introduced as part of the timed event will remain as part of Sea of Thieves once the timed event ends.

Princess Anne visits her father Prince Philip in hospital
An update the following day said he had undergone a "successful" hip operation and was recovering well. On May 19, they will celebrate the wedding of their grandson Prince Harry and Meghan Markle at St.

Nashville Predators: The road to the Stanley Cup goes through Nashville
The Bruins are high on everyone's list of Stanley Cup favorites, and rightfully so, but the Leafs are right there behind them. Hakstol declined to elaborate on his plans Thursday, though he's well aware Elliott's play was not Philadelphia's only issue.

Ecuadorean journalists held by Colombian rebels confirmed dead
The murders drew a swift condemnation from Colombian President Juan Manuel Santos, who slammed "a deplorable act". Moreno had set a 12-hour deadline Thursday night for kidnappers to provide proof of life.

Statewide tornado drill for Minnesota and Wisconsin
Highs will reach the low 80s around Topeka with lower temps to the far northwest where the front will pass earlier in the day. Dryline is moving a little slower than anticipated, so DFW now has a little better chance of seeing some storms this PM/eve.

Bill Cosby's defense says 'so-called victim' was after comedian's money
He predicted that, when the jury hears Constand's testimony in full, they will ultimately find Cosby not guilty of these crimes. Lasha is the second of five additional accusers expected to testify at Cosby's sexual assault retrial in suburban Philadelphia.

Police called to hospital protest for terminally ill boy Alfie Evans
The couple have already lost legal fights in the High Court, Court of Appeal, Supreme Court and European Court of Human Rights. He said details of that plan could not be revealed because Alfie was entitled to privacy at the end of his life.