Oil prices rise on trade talk optimism, OPEC cuts

Oil Set for Longest Gain in 17 Months on U.S. Economy OPEC CutsMore

During the session, the contract touched $49.95, the highest since December 17.

The World Bank's January 2019 World Economic Outlook is titled "Global Economic Prospects". Traders are also expecting that the decision of OPEC and some non-OPEC members including Russian Federation to reduce crude output by 1.2 million barrels per day from this month will significantly alter supply - demand imbalance in the market.

Crude prices have been buoyed by supply cuts from the Organization of the Petroleum Exporting Countries including top exporter Saudi Arabia, and allies including Russian Federation.

Upcoming trade talks between the U.S. and China are seen as an opportunity to tone down recent trade rhetoric between the world's two largest economies.

The world's largest crude oil seller exported around 7.3 mbpd of crude in December and 7.9 mbpd in November, according to the report.

US Commerce Secretary Wilbur Ross said late on Monday that Beijing and Washington could reach a trade deal that "we can live with" as dozens of officials from the world's two largest economies held talks in a bid to end their trade dispute that has roiled global markets since previous year.

By the average oil price the WB implies the average price of Brent, Dubai and WTI blends.

Friday's better-than-expected jobs report, with 312,000 jobs created in December, helped to underscore strength in the USA economy, assuaging some fears of an imminent recession in world's largest economy, along with market-supportive comments from the Federal Reserve.

The America-China trade talks are showing signs of progress.

Consultancy JBC Energy said it was likely that United States crude oil production was already "significantly above 12 million bpd" by early January.

Aside from the U.S.

China and the U.S. agreed to a ceasefire in their trade war at the G20 summit in Argentina at the end of November 2018.

Despite the partial government shutdown, entering its 18th day, the Energy Information Administration has said it has appropriations for the fiscal year 2019 and will release its reports as usual, including the weekly petroleum supply data due Wednesday. On Friday, crude oil futures ended up $0.87, or 1.9%, at $47.96 a barrel, extending gains to a fifth successive session.

Futures increased as much as 3 percent to nearly $50 a barrel in NY on Tuesday. The contract closed 0.5% higher at $57.33 on Monday. “Weather continues to call for more mild temperatures ahead, with the recent run of above average temperatures across much of the country already expected to once again trigger a much smaller than normal draw from the EIA's natural gas storage report on Thursday.”.

Related News:



Most liked

Fiji Water Girl's Identity Revealed — Golden Globes
Bradley Cooper and Lady Gaga's film A Star Is Born didn't win Best Film (Drama) at the 2019 Golden Globes and fans are not happy. Photobomber to the stars is kind of a natural role for her.

Botched Manafort court filing makes public bombshell allegations in ongoing Mueller investigation
It also says that Manafort met with Kilimnik in Madrid and that they discussed a peace deal for Ukraine. Mueller's team also indicted Kilimnik for witness tampering in Manafort's case.

Suspect, 20, held over massive German politician data hack
Critics said the ministry and relevant authorities were slow in informing affected politicians of the leak and moving to stop it. Despite compromising the security of the highest powered officials in the land, the hacker likely won't face much jail time.

AFP investigating after suspicious packages delivered to global consulates in Melbourne, Canberra
A British High Commission official said: "We are liaising closely with the [federal police] and the local authorities". The metropolitan fire brigade and AFP officers attended the incidents, as did paramedics.

'Overwatch' character Soldier 76 confirmed as canonically gay
Much like Tracer's girlfriend Emily, Vincent seems like an average civilian and will probably not be a future playable character. Soldier: 76 is the latest to have been confirmed as gay in a short story by Michael Chu , the lead writer for the online game.

Russian tied to Trump Tower meet indicted in separate USA case
In 2017, she emerged as a key figure in the probe into whether there was Russian collusion with Trump campaign operatives. It also accused Magnitsky himself of committing the Russian Treasury Fraud, when as the feds outline he reported it.

Boston Bombing Amputee 'Thrown Into the Air' After Being Hit by auto
She was "thrown into the air" by the force of the auto , and the left side of her body was crushed when she landed, she said. The accident happened around 7:15pm, and the driver told police he never saw Haslet in the rain.

Tigers Stem Tide as Clemson Rolls Alabama for National Title
Coach Dabo Swinney's squad beat Saban and Alabama (14-1) for the second time in three meetings in the CFP title game. "Proud. The Crimson Tide beat the Tigers in last year's semifinals before beating Georgia in the title game.

India's lower house passes citizenship bill that excludes Muslims
The AGP had entered into an alliance with the BJP before the 2014 polls and was opposed to the Bill since the beginning. Protestors damage a vehicle during a strike called in Guwahati against Citizenship (Amendment) Bill, 2016 on January 8.

Massive ‘fatberg’ discovered at English seaside resort in Devon
Eventually, that mass was converted to biofuel, but it took workers months to fully restore function in the affected area. The issue has become serious enough that the government has proposed banning the wipes altogether .

Enes Kanter to miss London game over fears he could be assassinated
Kanter has been a vocal critic of Erdogan and Turkey's authoritarian government. "I think I can get killed there easy. The basketball star's father, Mehmet, was arrested in Turkey and charged with membership of a terrorist group.

De Blasio Says City Will ‘Guarantee Health Care For All New Yorkers’
Don't feel it's not for you. "Health care is a right, not a privilege reserved for those who can afford it", De Blasio concluded. ABC 7 reports NYC Care will guarantee health care for approval 600,000 people without health insurance in NY .

NYC launches $100M universal health insurance program
De Blasio said it will be paid for through the public health care system and he believes it will ultimately save money by preventing trips to the emergency room.

Heathrow Airport says suspending departures after drone sighting
The anti-drone equipment can detect and jam communications between a drone and its operator and was deployed on a roof at Gatwick. Flight departures have been suspended at London's Heathrow Airport following reports of a drone sighting.

Students and fans of Clemson University celebrate championship
Alabama couldn't do anything after halftime as the Tigers went on to score 13 more unanswered points in the third quarter. Terrell, who timed his jump on the ball perfectly and took it 44 yards to the house for the first touchdown of the game.