Russia's Novak: Higher oil production in July aimed at market stability

The USA through May 2018. The upward surge has stalled for the last two months. U.S. production was down 30,000 bpd in May

The Organisation of Petroleum Exporting Countries has said that crude oil production has gone up in July as Saudi Arabia pumped more volumes into the global market.

On Wednesday, prices sank when the US government reported that in the prior week, total USA inventories rose 3.8 million barrels, while supplies at Cushing fell 1.3 million barrels.

U.S. West Texas Intermediate (WTI) crude futures were at $68.87 per barrel at 0647 GMT, down 9 cents from their last settlement.

The question regarding Iranian oil supply now is, can the Trump Administration get everybody else except China, which has already said it won't recognize USA sanctions on Iran, out of the market, according to the strategist. West Texas Intermediate, the USA benchmark for the price of oil, was down 0.1 percent to $68.89 per barrel.

Tensions between the US and Iran are also supporting the market, Barratt said. The American Petroleum Institute (API) recently noted that crude oil barrel counts in the United States are back on the rise, expanding last week by over 5 million barrels, erasing several weeks of expectations for steady declines in reserve supplies.

Output by top exporter Saudi Arabia has also risen recently, to around 11 million bpd, and USA production C-OUT-T-EIA is around that level as well.

There were also factors holding oil markets in check.

More news: Cat, chicken found ‘huddled together’ as wildfire burns California neighborhood

Russian oil output rose by 150,000 barrels per day in July from a month earlier, surpassing the amount Moscow had said ti would add following a meeting of global oil producers in Vienna in June, energy ministry data showed on Thursday.

"At the moment, there is a mismatch in timing, where there is increasing OPEC supply and yet we're not seeing a significant reduction in Iranian supply", Patterson said.

US crude oil production is growing, but at a slower pace than predicted.

U.S. President Donald Trump's decision to pull out of an worldwide nuclear deal and reimpose sanctions on Iran has angered Tehran.

"There are a lot of escalation points that could occur very quickly and that worries me", Jonathan Barratt, chief investment officer at Ayers Alliance in Sydney, said.

Trump has turned up pressure on China for trade concessions by proposing a higher 25 percent tariff on $200 billion of Chinese imports. After Trump called for a 15 percent increase in tariffs on Chinese goods earlier this week, Beijing on Friday announced it was targeting $60 billion worth of USA goods in response.

The country's top two refiners SK Energy and GS Caltex bought 2 million barrels of US crude each for October arrival, while its smallest refiner Hyundai Oilbank has also purchased 2 million barrels of medium-sour Mars crude for the first time, the sources said.

Related News:



Most liked

Deadly airstrikes on fish market in Yemen's Hodeidah
At a closed session of the United Nations, US Ambassador Nikki Haley blamed today's attack on the Saudi-led coalition. Rebel-run media outlets accused the Saudi-led coalition of carrying out the attacks in Hodeida.

Trump insists Trump Tower meeting 'totally legal'
Trump, on a working vacation at his New Jersey golf club, began Sunday with a series of searing tweets. But pundits suggested he might have tripped himself up with that statement.

Justin Thomas wins Bridgestone Invitational for 3rd PGA Tour title of season
So tomorrow's going to be one of those days I'm going to have to go out there and post a low one and see what happens". The day started in terrific fashion, with four solid swings and birdies on the first and second holes.

Trump could raise tariffs further on Chinese goods
Officials said they remained in regular contact with their Chinese counterparts but could announce no new meeting. Commerce Secretary Wilbur Ross downplayed the impact of the tariffs on the American economy.

Meghan Markle's birthday holds special meaning to Queen Elizabeth
But the tabloid went on to say that her fashion choices had led to "friction" and were "barely tolerated by royal aides". The meeting reportedly yielded three solution options and if nothing works, Queen Elizabeth might get involved too.

There is no Willian problem, says Chelsea boss Sarri
Other options for a possible Courtois replacement include Stoke's Jack Butland, Kevin Trapp of PSG, and veteran Pepe Reina. At the moment Courtois is the goalkeeper of the club, of Chelsea", Sarri said.

President Trump holds campaign rally in Tampa, Florida
And after a while, you forget: 'Who's the senator?' But around five months, you see him at parties and you see him around ... Trump vanquished two of Florida's most famous GOP figures - former Gov.

Diversified Restaurant (SAUC) against Chipotle Mexican Grill (CMG) Head to Head Report
The Powell outlet said in a phone call that it was working to get the restaurant open by Tuesday afternoon. Chipotle shut down the Powell restaurant on Monday over reports of customer and employee illnesses.

Trump receives new letter from Kim Jong Un, sends his reply
An estimated 5,300 U.S. service members listed as unaccounted for from the 1950-53 conflict in North Korea. Experts say identifying the bones could take months or years.

Zimbabwe election: Zanu-PF has most seats, incomplete results show
Protesters surrounded vehicles belonging to the observer missions as they passed through downtown Harare. Commonwealth election observers earlier criticized Zimbabwe authorities for "excessive" force.

Koch Bros Nix Support For Key GOP Senate Candidate
But they have also pushed for criminal justice reform and made large donations to the American Civil Liberties Union. Trump collected 63 percent of the vote, defeating Clinton by 35.8 points.

Apple hits the $1T milestone
Adjusted for splits, Apple's stock price has risen almost 40,000% since its initial public offering in 1980. Amazon is in second place at $866bn, followed by Alphabet , the parent company of Google , at $843bn.

Donald Trump Refuses to Draw Red Lines After Threatening Government Shutdown
A shutdown would be the third such political embarrassment since Republicans took control of the White House, House and Senate. He did acknowledge, however, that the border funding issue was unlikely to be resolved before the November midterm elections.

Counting begins in Zimbabwe's first post-Mugabe election
As well as electing a president, Zimbabweans were voting for 210 members of parliament and more than 9,000 councillors. If no presidential candidate wins more than 50 per cent of the vote, a runoff will be held September 8.

U.S. Economic Growth Accelerated Sharply In The Second Quarter
After next year, many economists expect growth rates to subside again, as the boost from tax cuts and federal spending dissipates. However, private forecasters cautioned that the April-June pace is unsustainable because it stems from temporary factors.