03/02/2015
"Brent" rises above $ 53 and a basket of "OPEC" maintain stability
Oil prices go up, ignoring the strike in US refineries
Crude oilprices roseyesterdayas investorsignored thestrikeatUS oilrefineries,andfocus onthe low number ofsearching forcrudein the United Statesdrilling rigs, whichpredictsa declineof productionin the future.
ContinuedOPEC crudebasketpriceimprovementandrecordedUS $44.83a barrel on Friday, comparedto $43.88a barrel on theprevious day.
Adaily reportof the Organizationof Petroleum Exporting Countries"OPEC",yesterday,"Thebasket price, which includes12crudeproductionMember States,andcontinuedgainsPriceandhis recovery, whichbegan inmid-(last January),where they basket pricesettledaround $43a barrel.".
The report pointed outthat the basketpricetendstocorrectitselfafter having achievedsharpdeclinesin thelast six months oflast yearandthe first twoweeks ofthis year.
Yesterday,futures rosefor "Brent"of $0.50to $53.50a barrel, after jumpingto $55.62andfellto $51.41a barrel.
Theincreasedprice ofUS crudefuturesforlight sweet crudeto $0.55to $48.79a barrelafter touchingits highest levelinsession(US $50.56)a barrel, fallingto $46.67a barrel.
Andthusthe demand forcrudein the short termcould undermine theUSstrikeinnine refineriesandchemicalplantssinceyesterday.
US crude oilandFinish"RawTexas"tradingFriday, up by7 per centthe largestgain ofsince4(October)2012,achieved ahigherweeklyrate of5.5 percentaftera record lowforthe number ofdrilling rigsin the United States,ashasUS crude11 percent over themonth of(January)elapsed,theseventhmonthly declinein a row.
Brent cruderose6.8 percenton Friday,tocontinue torise by8 per centlast week,thefirstweekly gainin the lasttenweeks,but lost10 per centover thetradingmonth in theseventhmonthly declinein a rowin thelongest chainmonthlylossessince2008.
She toldthe "economic"RimaSubhanokolovaanalystRussian oil,"Whatoccurred in themarketis finallygrowinglikelihood ofshrinkingUSproduction,due to the highcost of production,pointing out thatrecent economicreports indicate that94 ofthe oilrigsstopped workingin the United Statesby7 per cent, whichisan important developmentand influentialin the market,especially ifgrowingin the coming period,adding that"the growingUSshaleoil productionwasone of the mainreasons for thedecline in prices."
It wastheheightof drillingplatforms,the greatest impactinacceleratingthe paceof shaleproductioninthe United States,rising to9.21 millionbarrels per day, the highest levelof productionsince 1983.
He pointed out thatlastweek sawa reboundin pricesbefore theycontribute tothe strikein the United Statesthis weektoreturn to the wavedecline,butthe overall marketis movingtostability,especially aftershrinkingthe gapbetweenexisting contractsand futureto belowone dollara barrel,coupled with decliningactivitiescrudestorage.
She pointed out thatthe case ofan oversupply ofcrude oilare increasing, despitethe sharp declinein prices, which reflectsthecurrent conflictstronglyrevolves aroundthe protection ofmarket shares.
She explainedthat thestatistics indicatethat the"OPEC"that controlabout 40percent of globaloil productionpumpedabout30.37 millionbarrels per dayin January,an increase of0.13 millionbarrels ofDecember(December)in theeighthmonth in a rowhigher thanthe specifiedlevel at30 millionbarrels per day.
And showedthatcompetition betweenproducersis increasing,pointing out that theincrease"OPEC"production ofits referenceto theaccelerationof productionin Iraq andrisingto a recordlevel ofaboutfour millionbarrels per day.
For his part, he said,for "economic"competentoilPeterFenechdirector ofMoody'sInvestors Service,"Thepressuredropprices began totranslate intosocial unrestemergedin the United States,andcan be extended toother countriesfromproducing countries,whichwere damagedextensivelyfrom thedecline in prices, such asVenezuelaandelsewhere. "
He pointed outthat the pricehas barelyrecoveredlate lastweekuntil I startedthe new weekon thedecline, havingcalled on theUSlabor unionstostrikein a number ofoil refineries,which led to areduction ofsome of thegains madelate last week.
He addedFenech, that "thenewsof theshrinkingproductionoperationsin the United Statesboostedpricesrelatively,where it is expectedthat the potentialdrop inUSoil productioncontributes toraising the level ofmarket pricesin the medium term",pointing out thatsome people believethatlower pricesthis weekduetothe process ofprofit-takingin the wake ofgainsthat occurredlast week.
He pointed outthat the marketsmay be affectedforthe next severaldaysdue tothe implications ofnewsstrikeinUS refineries, which couldreduce the demand forcrude oil,pushingprices dropagainas a result ofsevereabundant supply.
In turn,pointedto "economic"engineerKhoja, Secretary General ofthe ArabChamber of Austrian Commerce,thatthe current periodshould bean economic boomin the countries ofoil consumptionperiod,butthegrowthis still limitedand notaligned withthe sharp declinesin energy prices.
He added that"the economic gainstoEuropeand the Far Eastand themulti-consumption",pointing out that hewouldlower oil prices,to achievea variety ofbenefits toconsuming nationsthrough lowerbills foroil importsand decliningenergy subsidiesbills, leadingto a rise indisposableand lowproduction costsand income growthdomestic demand.
Hesaid,that "lowoil priceswill continue forquite some time,which will leadto an increase inreserves andlow inflationinthe consuming countries,will also allowthe currentenergy pricesflexibleexchange rateor reduce thebasicinterest rates toboost domesticdemand."
And,that theeconomic reportsand statisticsshow a decrease insomecommodity prices, butwere notthe pace ofthe decline in oilprices,which has been drivenby factorsof supply and demandbothexpectedas well as lowermetal pricesbywill reach13 percent in the periodbetween2015and 2019.
He explainedthat economicstudies confirm thatcrudeprices will riseduring the current yearperiod, bringing theBrentoiltoaverage$ 58 a barrel, whilecrude oilsettled at an averageof $54.2per barrel,whatmay make theprices areat their lowestaveragethem,andeven the slightestthan the averagein 2009,where he wasan averageoilpriceof $62.5under thecrisis.
