FX & CFD trading involves significant risk
Prices for WTI crude oil rose moderately, while entrenched above $ 50, as new data pointed to the small increase in inventories in Cushing terminal. Meanwhile, Brent crude oil fell slightly, came under pressure OPEC secretary general comments.
Genscape reported that oil reserves in Cushing last week rose by 1.7 million barrels. Increase in reserves was smaller than previously expected. Concern that the capacity of the terminal Cushing exhausted, were not confirmed. "These Genscape show much less significant increase in reserves than previously expected. It seems much more oil out of Cushing to the Gulf Coast than we thought. In storage tanks on the coast of the Gulf of Mexico stock levels high, but there is storage capacity is not as close to the complete exhaustion, as in other parts of the United States, "- said Carl Larry from Frost & Sullivan
As for the statements OPEC secretary general Abdullah al-Badri, he noted that the members of the Organization of Petroleum Exporting Countries should not reduce production to "subsidize" more expensive shale oil. Recall oil prices in recent months have fallen sharply as the Organization of Petroleum Exporting Countries refused to reductions in production, while production rates in the US were the highest in the past more than 30 years, creating an increased level of supply in the world oil market .
Also affected the course of trading forecasts Goldman Sachs. According to a recent report in the short term, oil prices could fall to US $ 40 mark as the world's oil reserves begin to grow again. Falling prices almost 60%, which took place last year, was replaced by a moderate rise in prices in January and February. "While we continue to forecast a decent recovery in demand in 2015, we believe that the consistent weakening of activity, the end of winter and reduced demand due to restocking, will cause a slowdown in demand in the spring," - said the Goldman Sachs.
Market participants also continue to analyze data from Baker Hughes, which showed that the number of drilling oil installations in the US fell by 63 last week to 923, its lowest level since June 2011. Experts note that the shrinking number of drilling rigs in recent months is a sign that in the end the excess supply of oil on the market is reduced.
April futures price for US light crude oil WTI (Light Sweet Crude Oil) rose to 50.22 dollars per barrel on the New York Mercantile Exchange.
April futures price for North Sea Brent crude oil mix fell $ 0.52 to 59.30 dollars a barrel on the London Stock Exchange ICE Futures Europe.
All posted material is a marketing communication solely for informational purposes and reliance on this may lead to loss. Past performance is not a reliable indicator of future results. Please read our full disclaimer.