Trump Declares Oil Prices 'Too High,' Blames OPEC

Share

Oil prices are set, for the most part, by Saudi Arabia and, to a lesser extent, it's OPEC partners.

Earlier in the session, Brent and US crude had retreated on concerns about rising production in the United States and expectations that OPEC and other producers could relax voluntary output cuts. USA light crude was up 10 cents at $66.46 a barrel.

Oil prices dropped on Wednesday as a result of increased supplies in the U.S.

In the United States, the American Petroleum Institute said on Tuesday crude oil inventories rose by 830,000 barrels in the week to June 8, to 433.7 million.

Saudi Arabia last month signaled it was ready to boost output in the second half of the year to ease consumer anxiety about higher prices, a policy U-turn for the kingdom that only weeks earlier advocated for production restraint. The Kingdom self-reported a production increase of 161,400 bpd to 10.030 million bpd, just below its ceiling of 10.058 million bpd. Russia's production was 11.1 million barrels a day in June, exceeding its quota, according to sources familiar with the matter.

The full organization, plus non-members like Russian Federation who agreed to take part in the earlier round of production cuts, are meeting June 22 and 23 in Vienna.

US ally Saudi Arabia remains OPEC's most powerful member - with enough production capacity to manipulate global supplies.

But the Paris-based IEA, echoing statements from oil producers as well as analyst comment in recent weeks, said there may be a change to the so-called Vienna agreement. "Unofficial sources have said Russian Federation will propose to return production back to the October 2016 (level), i.e. removing the cap altogether over a period of three months".

The IEA said it expects global oil demand to grow 1.4 million bpd. this year, and in 2019, and will top 100 million bpd.in the fourth quarter of 2018.

Rising US stocks are in part a result of the surge in US crude oil production, which has jumped by nearly a third in the last two years to a record 10.8 million barrels per day (bpd).

Fund manager Pierre Andurand at Andurand Capital is bullish.

Share

Advertisement

Related Posts

Raptors hire Nick Nurse as new head coach
Toronto fired Dwane Casey on May 11 after the team was swept by the Cleveland Cavaliers in the Eastern Conference semifinal. ESPN's Adrian Wojnarowski reports that the Raptors are hiring current Raptors assistant Nick Nurse as their new coach .

Canadian parliament condemns Trump attacks on Trudeau
Navarro's willingness to walk back his outburst marked a departure from the Trump administration's never-say-you're-sorry approach to political crises.

Selfie-taking couple in fatal cliff fall identified
Reports said two Australians may have been taking selfies when they fell about 30 metres in the town of Ericeira. While investigations continue, Corfina Media reported police have ruled out murder as a possible cause of death.

Personal internet use could change as 'net neutrality' ends
Most have service terms that specify they won't give preferential treatment to certain websites and services, including their own. The change comes as broadband and cellphone providers expand their efforts to deliver video and other content to consumers.

Trump targets this SC candidate with a primary day tweet
In defense of his stance on Trump, Sanford has said he criticizes anyone regardless of party if they deserve it. The two primaries were sleepy Tuesday, but will be among the nation's most important battlegrounds in November.

Jimmy Kimmel Mocks Donald Trump’s Reality TV Pact With Kim Jong Un
Projecting authority comes easily to Trump, who as a global leader, businessman and former television personality is well-versed in using body language effectively.

Wonder Woman 1984 First Look: Steve Trevor Is Alive?!
But according to a tweet that Jenkins sent out this morning.Trevor looks to be fine - albeit as confused as we are - in 1984. The " Wonder Woman " sequel is officially titled " Wonder Woman 1984 ", a nod to the film's new period setting.

Keeper De Gea wants public apology from Spain PM
What happens is that what they said at the time was public and that's why I think that the apologies should also be in public. Spain kick off their tournament with a mouth-watering clash against Portugal in Group B on Friday.

‘Dumbo’ First Trailer: Tim Burton Brings Disney’s Lovable Elephant to Dazzling Life
It's time to address the elephant in the room: This new trailer for Tim Burton's remake of Dumbo . The new trailer includes shots of the circus and even a fleeting glimpse of Dumbo in flight.

Google Home Can Now Perform Up to Three Commands Simultaneously
With there being a number of digital assistants to choose from, each is now focusing on becoming smarter than the competition. Google has not yet announced this feature officially, as the support page still says that it's limited to two commands only.

© 2015 ExpressNewsline. All Rights reserved.