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Gulf Today Report
Oil prices fell on Thursday as investors worry about the effect of raising coronavirus cases on demand.
Brent crude oil futures fell 18 cents, or 0.3%, to $55.88 a barrel while US West Texas Intermediate (WTI) slipped by 11 cents, or 0.2%, to $52.80 a barrel.
Stephen Innes, chief global market strategist at Axi said: "oil market's sizzling rally likely took a hiatus as the stronger dollar and the omnipresent gasoline supply overhang offset the evaporating US crude inventories."
Last week, US crude oil stockpiles last week declined beyond expectation while gasoline and distillate inventories gained.
Across Europe governments are imposing tighter lockdowns due to the spread of the new variant and China, the world’s second-largest oil consumer announced its biggest daily jump of coronavirus cases in more than 10 months.
According to an International Energy Agency (IEA) official, oil producers face an unprecedented challenge to balance supply and demand as factors including the pace and response to COVID-19 vaccines cloud the outlook.
Both benchmark contracts hovered around unchanged levels after having jumped on Wednesday after the US Energy Information Administration reported a sharp, unexpected 10.6 million barrel drop in crude stockpiles last week.
Brent crude futures for January rose 22 cents, or 0.5%, to $43.97 a barrel by 07:33 GMT, while US West Texas Intermediate crude for December climbed 6 cents, or 0.1%, to $41.49 a barrel.
January Brent crude futures, which will expire later on Monday, dropped 46 cents, or 1%, to $47.72 a barrel by 03:55 GMT. Brent contract was at $47.83 a barrel, down 42 cents. US West Texas Intermediate crude futures for January fell 48 cents, or 1.1%, to $45.05 a barrel.
Opec on Tuesday raised its forecast for growth in world oil demand this year on expectations the pandemic will subside, providing help for the group and its allies in their efforts to support the market.
Adnoc Logistics & Services (Adnoc L&S), the shipping and maritime logistics arm of Abu Dhabi National Oil Company (Adnoc), on Tuesday announced the acquisition of two additional Very Large Crude Carriers (VLCC),
Pakistan’s exports of goods and services to Germany has witnessed an increase of 8.79 percent during the eight months of financial year (2020-21) as compared to the corresponding period of last year, State Bank of Pakistan (SBP) reported.