Reply to thread

Message: <blockquote data-quote="ibnanv" data-source="post: 19559142" data-attributes="member: 218596"><img src="http://s3.reutersmedia.net/resources/r/?m=02&d=20160112&t=2&i=1108886057&w=644&fh=&fw=&ll=&pl=&sq=&r=LYNXNPEC0B02M" alt="" class="fr-fic fr-dii fr-draggable " style="" />Crude oil fell 3  percent on Tuesday, heading toward $30 per barrel and levels not seen in  over a decade, with analysts scrambling to cut their price forecasts  and traders betting on further declines.Prices  are down around 20 percent since the start of the year, dragged lower  by soaring oversupply, China's weakening economy and stock market  turmoil, as well as the strong dollar, which makes it more expensive for  countries using other currencies to buy oil.International  benchmark Brent crude futures LCOc1 dropped over 3 percent to a low of  $30.43 per barrel on Tuesday, a level last seen in April 2004, before  edging back to $30.69 by 0744 GMT (2.44 a.m. ET) , still down 86 cents  from their last settlement.U.S.  crude West Texas Intermediate (WTI) CLc1 fell to a low of $30.41 per  barrel, a level last seen in December 2003, before crawling back to  $30.59 per barrel.Trading data  showed that managed short positions in WTI crude contracts, which would  profit from a further fall in prices, are at a record high, implying  that many traders expect further fallsTraders and analysts said ballooning  oversupply and China's slowing economy were the main reasons for the oil  price rout, which has pulled prices down by over 70 percent since  mid-2014. They have also started to point at the dollar as a drag for  crude."No doubt, the dollar is a  key factor," said Oystein Berentsen, managing director of crude oil at  trading company Strong Petroleum (<a href="http://www.reuters.com/finance/stocks/overview?symbol=0852.HK" target="_blank">0852.HK</a>) in Singapore, although he added that the basic price driver was oversupply."Once  the crude surplus turns into a product surplus and we start running out  of storage capacity, there will be even more pressure on prices and an  imminent collapse," he added.                  On the supply  side, Iraq, which has become the second biggest producer within the  Organization of the Petroleum Exporting Countries (OPEC), plans to  export a record of around 3.63 million barrels per day (bpd) from its  southern oil terminals in February, trade sources said on Tuesday,  citing a preliminary loading program, up 8 percent from this month."The  near-term outlook for the oil market is bleak. OPEC is producing  flat-out into a market that is oversupplied by over 1 million barrels  per day; already decelerating demand growth could further decay with  slowing economic activity; and OECD inventories that are already at  record levels are likely to expand through at least the middle of the  year," Jefferies said on Tuesday.Traders and analysts said ballooning  oversupply and China's slowing economy were the main reasons for the oil  price rout, which has pulled prices down by over 70 percent since  mid-2014. They have also started to point at the dollar as a drag for  crude."No doubt, the dollar is a  key factor," said Oystein Berentsen, managing director of crude oil at  trading company Strong Petroleum (<a href="http://www.reuters.com/finance/stocks/overview?symbol=0852.HK" target="_blank">0852.HK</a>) in Singapore, although he added that the basic price driver was oversupply."Once  the crude surplus turns into a product surplus and we start running out  of storage capacity, there will be even more pressure on prices and an  imminent collapse," he added.                  On the supply  side, Iraq, which has become the second biggest producer within the  Organization of the Petroleum Exporting Countries (OPEC), plans to  export a record of around 3.63 million barrels per day (bpd) from its  southern oil terminals in February, trade sources said on Tuesday,  citing a preliminary loading program, up 8 percent from this month."The  near-term outlook for the oil market is bleak. OPEC is producing  flat-out into a market that is oversupplied by over 1 million barrels  per day; already decelerating demand growth could further decay with  slowing economic activity; and OECD inventories that are already at  record levels are likely to expand through at least the middle of the  year," Jefferies said on Tuesday.Adjusting to the price rout, analysts have  been shifting their price outlooks downward, with Barclays, Macquarie,  Bank of America Merrill Lynch, Standard Chartered and Societe Generale  all cutting their 2016 oil forecasts this week.StanChart took the most bearish view, saying prices could drop as low as $10 a barrel."We  think prices could fall as low as $10/bbl before most of the money  managers in the market conceded that matters had gone too far," the bank  said.</blockquote>

Verification: Dawasata paya keeyak thibeda?

Top Bottom