Crude oil futures rise 0.81% on firm global cues

Crude oil futures rise 0.81% on firm global cues

U.S. West Texas Intermediate (WTI) was 53 cents higher at $69.29.

Brent oil fell 32 cents, to settle at $72.58 per barrel, previously reaching a session high of $73.79.

Oil markets have fallen over the last week as Saudi Arabia and other members of the OPEC and Russian Federation increased production and as some supply disruptions eased.

He added that Saudi Arabia's total supplies to the market are poised to drop by 100,000 bpd in August compared with July. It accounts for around 5 percent of Japan's annual crude oil imports.

The market also got a boost from reports rebels in Yemen attacked an oil facility in Saudi Arabia, Kilduff told CNBC.

Crude oil prices knocked higher on Wednesday as consumption indicators signal that demand for crude is on the rise, and WTI kicked higher to 68.96 despite a continuing buildup in U.S. inventories.

The commodity has fallen this month in wake of escalating US-China trade tensions and mounting concerns about renewed oversupply. At this point, I think that we will have value hunters coming into this market for a short-term rally.

Data from Energy Information Administration on Wednesday showed a larger than expected 5.8 million barrels jump in United States crude inventories in the week ended July 13.

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Furthermore, if any cartellike actions by the US were to hike oil prices, American consumers would suffer since the country remains a net oil importer.

Since President Trump announced the USA withdrawal from the JCPOA, Washington has been pressing allies to end all imports of Iranian oil by a November 4. deadline Moreover, in a briefing on June 26, a senior State Department official was quite firm that the US doesn't anticipate offering any extensions or waivers to that timeline. "Just spoke to King Salman of Saudi Arabia and explained to him that, because of the turmoil & disfunction in Iran and Venezuela, I am asking that Saudi Arabia increase oil production, maybe up to 2,000,000 barrels, to make up the difference.Prices to high!"

"The handful of comments from the Saudis" boosted prices, said Bob Yawger, director of futures at Mizuho Securities USA Inc.in NY.

US crude stocks rose by 5.8 million barrels last week, compared with a forecast of a decline of 3.6 million barrels.

OPEC had announced it would add 1 million bpd of crude to the market.

Crude oil futures were edging between gains and losses on Friday morning in Europe, as the market searched for direction amid comments from Saudi Arabia that the producer will not flood the market with oil as production cuts ease and the end of the Norwegian oil field workers strike.

"WTI will likely be buoyed above US$65 and Brent above US$70 for a while, but as uncertainties remain over the trade dispute between the United States and China, we'll continue to have some downward pressure", NH Investment & Securities' Hong said.

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