Login ID:
Password:
Partner Login
Contact Us : 7066511911

Crude Oil Slips As Global Supply Concerns Fade Despite Libyan Outage

22 Jan 2020 8:58 am
 Comments 0 Comments  |  Comments Post Comment  |  Font Size A A A 

Mumbai (Commodities Control) – Oil prices edged lower on Wednesday, extending the previous session's drops, as investors continue to shrug aside the impact of almost all of Libya's crude production being off-line amid plentiful supplies elsewhere.

Brent crude was down 13 cents, or 0.2%, at $64.46 a barrel at 0119 GMT, after dropping 0.3% on Tuesday. U.S. oil fell 16 cents, or 0.3%, to $58.22 a barrel, having declined 0.3% the day before.

Libya's National Oil Corporation on Monday declared force majeure on the loading of oil from two major oil fields after the latest development in a long-running military conflict saw forces loyal to commander Khalifa Haftar ordering the shutdown of facilities in the east and south of the country.

"Market participants are already starting to fade this story – believing that this is a transitory outage," said Helima Croft, global head of commodity strategy at RBC Capital Markets.

However, Croft warned that the "multi-year proxy war leaves Libyan production at high risk for extended outages and there are no indications that the country is close to turning the corner." Unless oil facilities quickly return to operation Libya's oil output will be reduced from about 1.2 million barrels per day (bpd) to just 72,000 bpd.

(Commodities Control Bureau)


       
  Rate this story 1 out of 52 out of 53 out of 54 out of 55 out of 5 Rated
0.0

   Post comment
Comment :

Note : This forum is moderated. We reserve the right to not publish and/or edit the comment on the site, if the comment is offensive, contains inappropriate data or violates our editorial policy.
Name :  
Email :  
   

Top | Post Comment  

Latest Market Commentary
Energy Natural Gas (NYMEX) Trending Lower / Next Po...
Energy Crude oil (Apr. 20) Bearish Price Trend / H...
Crude Oil Crashes To Lowest In Over 13 Months, Set For...
UBS Forecasts Brent To Touch $64/bbl in 2H20
Nymex NG Slides To 4-Yr Low On Milder Weather Forecasts...
more
Top 5 News
Malaysia's Feb 1-29 Palm Oil Exports Seen Down 12.9% Mo...
Govt Fixes Sugar Sale Quota At 21 Lakh Tonnes For March...
Urad SQ Trades Higher In Chennai, Lower In Mumbai/Kolka...
Burma Tur Eases In Mumbai Tracking Weak Cues From Domes...
Chana Trades Unchanged In Delhi Amid Limited Buying
Top 5 Special Reports
USD/INR (Feb. 20) Short-term Strength Within a Multi...
USD/INR (Feb. 20) Short-term Strength Within a Multi...
USD/INR (Feb. 20) Positive Short-term Trend / Next R...
USD/INR (Feb. 20) Positive Short-term Trend / Next R...
USDMYR
Copyright © CC Commodity Info Services LLP. All rights reserved.