Opec tightens its taps as global oil demand stalls

The Opec+ cuts are taking effect and US data is starting to reflect these changing market conditions. — Reuters  file

The Opec+ cuts are taking effect and US data is starting to reflect these changing market conditions. — Reuters file

The Organisation of Petroleum Exporting Countries (Opec) said it tightened its crude taps to cut nearly 800,000 barrels a day from its oil exports in January after vowing to drain excess oil from the oversupplied market.

Rising investor optimism for a breakthrough in the latest round of U.S. -China trade discussions also boosted futures as members of both sides met in Beijing. On Monday, April Brent crude futures dropped around one percent, reaching minimum since January 29.

Oil prices edged up slightly post-settlement after data from the American Petroleum Institute (API), an industry group, showed US crude oil stockpiles had unexpectedly fallen.

USA crude stockpiles were forecast to have risen last week for a fourth straight week, ahead of data from the American Petroleum Institute (API), an industry group, at 4:30 p.m. EST (2130 GMT).

International Brent crude futures were up 50 cents, or 0.8 percent, at $62.01 per barrel.

Crude oil inventories at the Cushing, Oklahoma facility fell by 502,000 barrels for the week.

Trump supporter attacks BBC cameraman at El Paso rally
Trump's 2020 election campaign will be as "hostile and ill-tempered and divisive as the one we saw last time ", he added. He has claimed journalists are "the enemy of the people" and slammed the "fake news" for reports he deems unfavourable.

The logo of the Organization of the Petroleum Exporting Countries (OPEC) is seen at its headquarters in Vienna, Austria, December 5, 2018. Global oil cartel Opec said Tuesday it sharply reduced crude oil production last month, after heavyweight Saudia Arabia slashed output and exports fell in crisis-hit Venezuela.

Saudi Arabia plans to pump around 9.8 million bpd in March, more than 500,000 bpd below its target under the deal, its energy minister told the Financial Times.

This rate could rise in coming months as top exporter and OPEC kingpin Saudi Arabia voluntarily lowers supply by more than it agreed. OPEC's share of that cut is 800,000 bpd.

Investors were also hopeful that a new round of U.S. "China trade negotiations and less-ambitious monetary tightening by the U.S. Federal Reserve", OPEC said in the report.

OPEC also cut its forecast for 2019 world oil demand, citing slowing economies and expectations of faster supply growth from rivals, underlining the challenge it faces in preventing an oil glut.

Oil production in Venezuela, which has been rocked by a crippling economic crisis, spiralling political turmoil and United States sanctions, meanwhile sank by 59,000 barrels per day.

Recommended News

  • Four arrested as violence erupts after Watford and Everton game

    Four arrested as violence erupts after Watford and Everton game

    A video posted on Twitter shows people gathered around someone lying on the floor while an onlooker calls out "coward". A shocked witness said one of the injured men was seen lying on the floor "apparently unconscious" after the incident.
    Wide receiver Antonio Brown asks Steelers for trade

    Wide receiver Antonio Brown asks Steelers for trade

    According to the Pittsburgh Post-Gazette, Brown can not be traded until March 13, the start of the NFL's league year. Brown has been with Pittsburgh his entire career but his relationship with the team has soured over the past year.
    Akshay Kumar teases Kesari sneak peek

    Akshay Kumar teases Kesari sneak peek

    The film narrated the heroic story of the Battle of Saragarhi where 21 Sikh warriors battled against 10,000 Afghans in 1897. Akshay has teamed up with filmmaker Karan Johar's Dharma Productions for the movie, being directed by Anurag Singh.
  • Hacker destroys all data held by U.S. email provider

    A hacker wiped every server and backup of VFEmail this week in a "catastrophic" attack, according to the webmail service. So I'm assuming it was just a virtual machine they were using to launch the attack from.
    Notorious Mexican drug cartel boss 'El Chapo' found guilty in U.S.  trial

    Notorious Mexican drug cartel boss 'El Chapo' found guilty in U.S. trial

    Once the jury left the room, he and his wife Emma Coronel, put their hands to their hearts and gave each other the thumbs up sign. Notorious drug lord El Chapo is set to die in jail after being convicted of running the world's largest drug smuggling operation.
    Historic defeat: Government loses vote on border protection laws

    Historic defeat: Government loses vote on border protection laws

    Following the defeat, Prime Minister Scott Morrison attacked the "damaging impact of what Labor has done tonight". Morrison last week ruled out calling a snap election if his government was defeated over the "stupid" bill .
  • Texans Release Demaryius Thomas

    Texans Release Demaryius Thomas

    Thomas ranks second in franchise history in yards and touchdowns, trailing only wide receiver Rod Smith (11,389; 68). He was signed through next season at a $14 million salary, none of which was guaranteed.
    At Soundarya Rajinikanth's Wedding, Kajol Was The VIP Guest

    At Soundarya Rajinikanth's Wedding, Kajol Was The VIP Guest

    Singer Anirudh, actrors Andrea, Meena, Suhasini, Udayanidhi Stalin and Kamal Haasan were other celebs who made it for the wedding. Soundarya, began her career as a graphic designer working her way up with films like Baba, Majaa, Sandakozhi and Sivaji .
    Ashley Young: Manchester United defender signs contract extension

    Ashley Young: Manchester United defender signs contract extension

    Manchester United's Ashley Young and signed a one-year contract extension which will keep him at the club until the end of the 2019-20 season.
  • Newborn found abandoned in middle of road amid freezing temperatures in California

    Newborn found abandoned in middle of road amid freezing temperatures in California

    A newborn baby girl was found alone, lying in a California road during freezing temperatures early Monday morning. The child will be placed in the care of child protective services when she is fully recovered.
    Manchester United join the hunt for PSG's Adrien Rabiot

    Manchester United join the hunt for PSG's Adrien Rabiot

    However, according to AS, United may be prepared to join the race to sign Rabiot from PSG ahead of the next campaign. Tottenham see Rabiot as a major target and were keen to end their transfer drought by signing the Frenchman.
    Giants plan to offer Bryce Harper big money on short-term deal

    Giants plan to offer Bryce Harper big money on short-term deal

    There is an increased sense among some in the clubhouse that Harper would prefer to sign with the Giants according to Pavlovic. All of which means that there will probably be many more twists and turns to come before Harper makes a final decision.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.