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U.S. Oil prices rose Thursday after Saudi Arabia denied plans to flood the market with crude oil to drive down prices, and said its oil exports would likely drop next month.
% higher at $ 69.46 a barrel on the New York Mercantile Exchange. The Brent Brut, the world's benchmark, was down 0.4% to 72.58 dollars a barrel.
Concerns that Saudi Arabia and its partners are preparing to oversupply the market considerably are "unfounded," said the governor of the Organization of Petroleum Exporting Countries, Adeeb al- Aama, in a statement.
He added that Saudi Arabia was committed to the agreement between OPEC and its allies and that its crude oil exports in July would be about equal to their June levels, while in August they would drop by about 100,000 barrels a day.
Oil prices fell sharply in early July, partly on the belief that Saudis and their OPEC partners would heed President's appeals
Donald Trump
take action that would reduce oil prices, which had peaked several years by the end of June. These high oil prices pushed up the price of gasoline for American consumers.
"The monopoly of OPEC must remember that gas prices are rising and that they are doing little to help," Trump wrote in an article published on July 4 on Twitter. "If anything, they lead to higher prices that the United States defends many of their members for very little dollars.This must be a two-way street.LOW THE PRICES NOW!"
But the Mr. Aama's comments Thursday suggest that the Saudis and other OPEC members are not planning to excessively increase their supplies simply because Mr. Trump wants lower prices for US drivers.
The Saudi official said that Saudi Arabia's policy is to work to satisfy the needs of customers, but to do so in accordance with the production agreement.
Oil prices also benefited from a decline in the dollar's last session against other currencies, after Trump said he was "not happy" with see the Federal Reserve raise its interest rates. The oil trading business is conducted in dollars, so its upward or downward movements tend to drive oil prices in the opposite direction.
Investors pushed oil prices down during the night session after a bearish report Wednesday on US oil stocks. Weekly data showed that US crude oil reserves climbed nearly 6 million barrels last week, while economists were expecting a decline.
Still, the report from the Energy Information Administration (Energy Information Administration) showed a significant and bullish decline in gasoline supplies and a strong demand for fuel that indicates that the summer driving season in the United States is quite active.
"We saw an incredible demand for gasoline, and these supplies dropped by 3.165 million barrels, and the distillates also fell by 371,000 barrels," Phil Flynn told Price Futures in Chicago.
Overall, Mr Flynn said that a greater volatility of the oil market is expected and that the long term prospects still announce a "big rally" at the end of the year. year. But he noted that the market "is fighting external forces with the rising dollar and fears about the long-term impact of a trade war."
Among the refined products, the futures contracts on gasoline stabilized at $ 2.0435 a gallon. Futures on diesel engines also barely changed at $ 2.0901 a gallon.
-Christopher Alessi contributed to this article.
Write to Summer told [email protected] and Dan Molinski at [email protected]
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