Oil Down In Asian Trade Ahead Of Energy Report
SINGAPORE: Oil declined in Asian trade Tuesday amid fading euphoria over better-than-expected US jobs data, analysts said.
New York’s main contract, light sweet crude for April delivery, was off 32 cents to 81.55 dollars a barrel.
Brent North Sea crude for April delivery eased 23 cents to 80.24 dollars.
Oil struggled Monday to extend last week’s rally, which was driven by encouraging numbers from the US Labor Department showing a smaller-than-expected fall in non-farm payrolls of 36,000 in February.
Analysts were predicting about 67,000 job losses for last month.
“There was a lack of significant fresh news to drive the oil price strongly in either direction,” analysts from the Commonwealth Bank of Australia said in a report.
Analyst Mike Fitzpatrick at MF Global noted that actual supply and demand data for oil remained weak.
“All this points to the possibility of corrective selling,” he added.
Fitzpatrick also said that the Greece debt crisis continued to haunt the market.
“Perhaps the sight of Greek Prime Minister (George) Papandreou going hat in hand to European capitals seeking help has made investors uneasy,” he said.
The oil market, meanwhile, weighed weekend comments from Saudi Arabia’s King Abdullah, who said that his key crude-producing nation would maintain its moderate policies.
Oil Prices Down in Asian Trade
Oil Prices Down in Asian Trade, Oil prices remained weaker in Asian trade 
on Tuesday after overnight gains on the back of a weak dollar and a stronger finish on Wall Street, analysts said.
New York’s main futures contract, light sweet crude for delivery in March, fell 83 cents to $74.43 a barrel. London’s Brent North Sea crude for March delivery dropped 80 cents to settle at $72.89.
Oil Prices Down in Asian Trade was first posted on January 26, 2010 at 3:01 pm.
Oil Slips in Asian Trade
SINGAPORE: Oil prices extended losses in Asian trade Friday on weak energy demand and news the US commodity and options regulator was looking to tighten controls in the energy futures market, analysts said.
New York’s main futures contract, light sweet crude for delivery in February, fell 49 cents to 78.90 dollars per barrel. Brent North Sea crude for March delivery dropped 57 cents to 78.00 dollars a barrel. Prices dipped after the US Department of Energy (DoE) reported Wednesday an unexpected increase in US petroleum reserves, analysts said.
New York crude rose to a 15-month high of 83.95 dollars Monday on the back of robust Chinese data but subsequently tumbled on news that Beijing was tightening money supply in a bid to tame economic growth.
Oil Slips in Asian Trade was first posted on January 15, 2010 at 3:41 pm.
Oil Prices Higher in Asian Trade
SINGAPORE : Oil Prices Higher in Asian Trade, Oil was higher in Asian trade on Monday after falling at the end of last week in reaction to a surge in US unemployment figures, analysts said.
New York’s main contract, light sweet crude for December delivery, was up 81 cents to 78.24 dollars a barrel.
Brent North Sea crude for December delivery gained 71 cents to 76.58 dollars.
Both contracts closed Friday lower after official data by the Labour Department showed the US unemployment rate jumped to 10.2 percent in October as 190,000 jobs were shed.
“I think it’s a bit of a surprise…. Most of the traders were expecting markets to fall to the 75, 76-dollar level,” said Jonathan Kornafel, Asian director of Hudson Capital Energy trading house.
He added that the price surge was due to “panic buying” by traders in a market lacking liquidity after the unemployment data.
The Labour Department report, seen as one of the best indicators of economic momentum, showed a rise in the jobless rate, up from 9.8 percent in September, to the highest since 1983. But the number of jobs lost narrowed to the lowest level in more than one year.
The United States is the world’s biggest energy user and is seen as key to perking up oil demand, which has been hit by the global slump.
Oil Prices Higher in Asian Trade was first posted on November 9, 2009 at 2:12 pm.
Oil Extends Gains in Asian Trade
November 3, 2009 by Trend PK
Filed under World News
SINGAPORE : Oil Extends Gains in Asian Trade , Oil rose further in Asian trade on Tuesday, underpinned by a better-than-expected expansion in the US manufacturing sector. A weak greenback, which makes dollar-priced crude cheaper for holders of stronger currencies, was also an extra factor behind the higher futures, they added. New York’s main contract, light sweet crude for December delivery, advanced 26 cents to 78.39 dollars a barrel
SINGAPORE : Oil Extends Gains in Asian Trade, Oil rose further in Asian trade on Tuesday, underpinned by a better-than-expected expansion in the US manufacturing sector.
A weak greenback, which makes dollar-priced crude cheaper for holders of stronger currencies, was also an extra factor behind the higher futures, they added.
New York’s main contract, light sweet crude for December delivery, advanced 26 cents to 78.39 dollars a barrel.
Brent North Sea crude for December delivery gained 19 cents to 76.74 dollars.
The two contracts closed firmer Monday, buoyed in part by the US manufacturing expansion.
The Institute of Supply Management said Monday its factory index, also known as the purchasing managers index, grew for a third consecutive month in October with a reading of 55.7 percent.
It was stronger than market expectations for a reading of 53 percent and the highest rate of growth since April 2006. Any number above 50 indicates growth.
“The reading marks the highest point in three and a half years,” said Dariusz Kowalczyk, chief investment strategist with SJS Markets securities firm.
Among the sub-indexes in the survey, the employment index was 53.1 percent, marking a sharp turnaround from last month’s 46.2 percent and suggesting that factories are starting to add jobs.
“This is the first time in a year and a half that US manufacturers increased employment, a factor that bodes well for Friday’s payrolls report,” said Kowalczyk.
The US is the world’s biggest energy user and a recovery in its economy is seen as key to lifting global oil demand, which has been hit by the global financial crisis.
Official data released last Thursday showed US gross domestic product grew for the first time in a year, at a stronger-than-expected 3.5 percent annual rate in the third quarter, lifting market sentiment.
Oil Extends Gains in Asian Trade was first posted on November 3, 2009 at 4:45 pm.
Oil Falls in Asian Trade
SINGAPORE : Oil weakened in Asian trade on Friday after strong overnight gains, pushed up mainly by a weak US dollar and good news on the US economic front, analysts said.
New York’s main contract, light sweet crude for November delivery dropped 31 cents to 71.38 dollars a barrel.
Brent North Sea crude for November delivery tumbled 34 cents to 69.43 dollars.
Both contracts had surged at the close of US trading Thursday as the dollar weakened further against the euro and other currencies.
“Come what may, the dollar has been the major influence on the petroleum prices,” said analyst Phil Flynn at PFG Best.
Analysts expect the dollar to remain weak in the immediate term which should lend support to crude prices.
A weak dollar usually boosts crude prices because the dollar-denominated commodity becomes cheaper for foreign buyers holding stronger currencies.
“The market remains bearish on the US dollar, especially against Asian currencies and commodity currencies,” analysts from Singapore’s DBS bank said in a report.
In late US trading Thursday, the euro rose to 1.4791 dollars against 1.4689 late Wednesday in New York. The single currency at one point bounced briefly above 1.48 dollars, not far from its 12-month high last month.
The US currency in recent days has wobbled on indications its pre-eminence in international financial transactions is coming under sharp scrutiny.
This has sparked a rush into gold, which has hit all-time record highs this week. The New York gold price jumped to a new high of 1,058.48 dollars on Thursday.
Besides the weak dollar, a US government report on Thursday also lent support to crude prices.
The US government said Thursday the number of jobless insurance claims in the week to October 3 fell by 33,000 to 521,000 from the previous week’s 554,000.
It was much lower than the 540,000 forecast by most economists and the lowest level since January 3, when the number of new claims was 488,000.
Oil Falls in Asian Trade was first posted on October 9, 2009 at 4:05 pm.
Oil Prices Eases In Asian Trade
SINGAPORE: Oil prices eased in Asian trade on Friday, hit by profit-taking and weaker stockmarkets, dealers said, although the losses were limited on upbeat data from the US, the world’s biggest energy user.
New York’s main contract, light sweet crude for October delivery, fell 40 cents to 72.07 dollars a barrel.
Brent North Sea crude for November delivery dropped 36 cents to 71.19.
“We had three solid days of gains on equities and commodities markets so there’s a little bit of profit-taking,” said Ben Westmore, a minerals and energy economist with the National Australia Bank in Melbourne.
Sentiment in the oil market was also weighed by a fall in global stocks after a rally on Wall Street ran out of steam on Thursday.
Shares in Asia followed the New York lead on Friday after three days of gains.
Westmore said however that better-than-expected economic data from the United States limited the fall in oil prices on hopes that energy demand will soon pick up in the world’s largest economy.
The Labor Department reported on Thursday that new jobless claims fell 12,000 to 545,000 in the week ending September 12 from the previous week’s revised figure of 557,000. The figure was better than analyst expectations of 557,000.
Adding to the recovery hopes was the Philadelphia Federal Reserve Bank which said its business activity index for September hit a two-year high, which was better than expected.
Other figures showed home construction and building permits rose in August.
The news followed a surprise drop in crude inventories in the United States, supporting the growing perception that recovery was under way.
Some analysts however cautioned that stockpiles remained huge.
“Regardless of whether or not we increased or decreased, the bottom line is we have plenty of crude,” said analyst Phil Flynn of PFG Best Research.
“Despite these weekly massive drops, crude supplies are still 9.8 percent above year ago levels,” he pointed out.
The global economic downturn had sapped demand for energy, dragging crude prices from record highs of above 147 dollars in July 2008 to 32.40 dollars in December. They have since recovered to hover around 70 dollars.
Oil Prices Eases In Asian Trade was first posted on September 18, 2009 at 1:56 pm.
©2009 “News Trends“.
Oil Rises In Asian Trade
SINGAPORE: Oil continued to firm in Asian trade on Friday with investor sentiment underpinned by a drop in US crude stocks and a weak greenback, analysts said.
New York’s main contract, light sweet crude for October delivery was 20 cents higher at 72.14 dollars a barrel.
Brent North Sea crude for October delivery gained 19 cents to 70.05 dollars a barrel.
The under-performing greenback, which fell to a new 2009 low against the euro Thursday, drove investors to dollar-priced commodities including oil which becomes cheaper for holders of other currencies.
“Investors’ increased appetite for risk has clearly taken its toll on the dollar since the spring,” said analysts from London-based Capital Economics Consultancy.
“This week it touched a new low for the year against the euro,” they said.
The euro breached 1.46 dollars on Thursday, hitting a nine-month high of 1.4613 dollars as risk appetite increased, which typically leads to a weakened greenback.
During economic uncertainty, investors turn to the US dollar for its safe haven status but when sentiment improves, they usually favour other high-yielding assets.
A weekly US government report that showed crude stocks fell by 5.9 million barrels last week, nearly four times more than expected, gave partial support to prices.
“That’s very bullish because the biggest weakness in the global oil market has been the US market,” independent trader Ellis Eckland said.
The weekly report by the US Department of Energy also said gasoline stockpiles rose 2.1 million barrels against analysts’ expectations for a drop of 1.3 million barrels.
Oil Rises In Asian Trade was first posted on September 11, 2009 at 12:02 pm.
©2009 “News Trends“.
Oil Prices Reduced In Asian Trade
SINGAPORE: Oil fell in Asian trade on Wednesday after overnight gains, spurred by a weakening US dollar and gold’s surge to an 18-month high above 1,000 dollars an ounce, analysts said.
Analysts said crude was expected to trade in a narrow range as investors waited for a key Opec ministerial meeting to begin later Wednesday in Vienna in which the oil cartel is to decide on its production quotas.
New York’s main contract, light sweet crude for October delivery eased two cents to 71.08 dollars.
Brent North Sea crude for October delivery was 20 cents lower at 69.22 dollars.
Analysts said the dip in crude prices was expected to be temporary given the weak greenback, which makes dollar-priced oil cheaper for buyers using stronger currencies.
“A weak dollar spreads the idea that oil can be a hedge against the dollar (and) we’re talking about stronger economic performance now and oil is one of the commodities that benefits from that,” said Bart Melek of BMO Capital Markets.
“The dollar is certainly a big factor,” Melek said.
Analysts expect the Organisation of the Petroleum Exporting Countries (Opec) to stick to its existing production quotas when they meet later Wednesday in Vienna.
“Given the improvement in oil prices since late-2008/early-2009, there is little pressure to adjust production in order to press oil prices higher,” analysts from the Commonwealth Bank of Australia said in a report.
“Indeed, further large increases in oil prices may be detrimental to international economic recovery.”
Opec’s leading member Saudi Arabia gave an upbeat view of the oil market on Tuesday as ministers gathered in Vienna looking to hold the flow of crude steady amid cautious talk of an economic recovery.
“The market is very stable and healthy,” Saudi Arabian Oil Minister Ali al-Naimi said on arriving in the Austrian capital for the meeting.
Opec members, which pump 40 percent of the world’s oil, agreed in late 2008 to remove a massive 4.2 million barrels of daily output from the market as it sought to prop up crumbling prices.
Oil prices, which peaked above 147 dollars in July last year before tumbling to 32 dollars in December, have doubled since the start of 2009 and recently touched the 75 dollar mark briefly.
Oil Prices Reduced In Asian Trade was first posted on September 9, 2009 at 11:27 am.
©2009 “News Trends“.
Asian Trade Increase In Oil Trading
SINGAPORE: Oil prices hovered above 67 dollars in volatile Asian trade Tuesday as investors remained concerned over the economic outlook despite signs of a recovery, analysts said.
New York’s main futures contract, light sweet crude for delivery in September, was up 45 cents to 67.20 dollars dollars a barrel in morning trade.
Brent North Sea crude for October delivery advanced 18 cents to 70.72 dollars.
Traders remained cautious even as crude markets “sold off quite heavily in the past few days,” said Ben Westmore, a minerals and energy economist with the National Australia Bank.
“There is so much uncertainty and people are unsure of the outlook,” he said.
The oil market largely ignored a rebound Monday in a key US manufacturing survey which showed improvement in an index measuring general business conditions.
The Federal Reserve Bank of New York said the Empire State Manufacturing Survey’s general business conditions index increased 13 points to 12.1, its highest level since November 2007.
“Still, the pall of scepticism, along with a rally in the dollar, should combine to keep oil prices under pressure in the very short term,” said Mike Fitzpatrick of MF Global.
In July last year oil prices hit record peaks above 147 dollars a barrel before collapsing due to weak energy demand arising from the world financial crisis, and striking 32 dollars in December.
Westmore said crude prices would remain volatile in the near term as energy demand remains subdued.
“I don’t see oil prices improving in a sustained pattern until oil fundamentals improve and there is concrete evidence that the world economy is improving.”
Julian Jessop, an economist with research house Capital Economics, said a global economic rebound would take time despite at least three industrialised countries reporting a return to growth in the second quarter.
“While the worst is clearly over, the upswing is likely to be fragile,” he said.
Asian Trade Increase In Oil Trading was first posted on August 18, 2009 at 12:13 pm.
