Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  News

News :
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance ProfessionalsCalendarSectors 
The feature you requested does not exist. However, we suggest the following feature:

Oil climbs as Middle East tensions offset demand worries

share with twitter share with LinkedIn share with facebook
share via e-mail
0
07/19/2019 | 03:27pm EDT
FILE PHOTO: An oil pump is seen at sunset outside Vaudoy-en-Brie

NEW YORK (Reuters) - Oil prices rose about 1 percent on Friday after steep losses in the previous session, supported by rising tensions between the United States and Iran, but weighed by concerns slowing economic growth could dent global oil demand.

Benchmark crude prices notched weekly declines, having fallen sharply earlier in the week on demand worries.

Brent crude futures settled 54 cents higher at $62.47 a barrel. West Texas Intermediate crude futures rose 24 cents to end the session at $55.63 a barrel.

Still, WTI dropped 7% this week and Brent lost about 5.5% for the week, the steepest losses for both benchmarks since late May.

Prices gained late in the session after Iran's Revolutionary Guards said on Friday they had captured a British-flagged oil tanker in the Gulf after Britain seized an Iranian vessel earlier this month, further raising tensions along a vital international oil shipping route.

A second oil tanker, the British-operated, Liberian-flagged Mesdar, turned sharply north towards Iran's coast on Friday afternoon after passing westward through the Strait of Hormuz into the Gulf, according to Refinitiv tracking data.

"Our opinion of the complex still favors some wide swinging trade in both directions as pricing continues to be buffeted by an array of cross currents that include a heightening of tensions between the U.S. and Iran on the bullish side and mounting global oil demand concerns on the bearish side," Jim Ritterbusch of Ritterbusch and Associates said in a note.

The episode has injected further geopolitical risk into the oil market.

A senior Trump administration official said on Friday the United States will destroy any Iranian drones that fly too close to its ships.

The United States said on Thursday a U.S. Navy ship had "destroyed" an Iranian drone in the Strait of Hormuz after the aircraft threatened the vessel, but Iran said it had no information about losing a drone.

Prices were also buoyed Friday by indications the U.S. Federal Reserve will cut rates aggressively to support the economy.

Two influential Federal Reserve officials sharpened the public case for acting to support the U.S. economy on Thursday, reviving bets the central bank may deliver a larger-than-expected cut this month.

Meanwhile, U.S. energy firms this week reduced the number of oil rigs operating for a third week in a row as drillers follow through on plans to cut spending.

Drillers cut five oil rigs in the week to July 19, bringing the total count down to 779, the lowest since February 2018, General Electric Co's Baker Hughes energy services firm said in its closely followed report on Friday. <RIG-OL-USA-BHI>


(MAP - Iran's guards say they seized a foreign oil tanker in the Gulf:

Still, the longer-term outlook for oil has grown increasingly bearish.

The International Energy Agency (IEA) does not expect oil prices to rise significantly because demand is slowing and there is a glut in global crude markets, the IEA's Fatih Birol said on Friday in public comments.

The IEA is reducing its 2019 oil demand growth forecast to 1.1 million barrels per day (bpd) from 1.2 million bpd due to a slowing global economy amid a U.S.-China trade spat, Birol told Reuters in an interview on Thursday.

"Macroeconomic concerns, uncertainty on trade discussions and increasing oil supply from the U.S. continued to weigh on sentiment," said Warren Patterson, head of commodities at ING.

(Reporting by Dmitry Zhdannikov in London, Aaron Sheldrick in Tokyo and Koustav Samanta in Singapore; editing by Chris Reese and Chizu Nomiyama)

By Stephanie Kelly and Devika Krishna Kumar

Stocks mentioned in the article
ChangeLast1st jan.
GENERAL ELECTRIC COMPANY -0.05% 10.0646 Delayed Quote.31.84%
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news
03:27pOil climbs as Middle East tensions offset demand worries
RE
03:26pAFYA EDUCACIONAL (NASDAQ : AFYA) Lists on NASDAQ
BU
03:25pU.S. rate cut will 'ratify' what people already expect - Fed's Bullard
RE
03:25pINTERNATIONAL BETHLEHEM MINING : 07/19/2019 International Bethlehem Mining Corp. Announces Officer and Director Appointments
PU
03:25pWIRELESS HISTORY FOUNDATION : Announces 2019 Inductees for Wireless Hall of Fame
BU
03:23pFed's Bullard Says He'd 'Love' to Become Fed Chairman
DJ
03:22pTOGA LTD : Change in Directors or Principal Officers (form 8-K)
AQ
03:20pCUSHING ASSET MANAGEMENT LP : MLP Total Return Fund Announces Monthly Distribution (July)
PU
03:20pOSSUR : Össur has signed an agreement to acquire College Park Industries
PU
03:20pSilver One Grants Stock Options
NE
Latest news
Advertisement