Oil dips but markets remain tight due to disruptions, record demand

Institutional Positioning Data per CFTC Commitment of Traders Favors Crude Bulls

We just shared a forex trading signal to open a buy position above $71.10 with a stop below $70.85 and a target of $71.40.

Replacing Iran, which is India's third largest oil supplier behind Iraq and Saudi Arabia, will not be a problem but margins will be hit as Tehran offers the best commercial terms, another official said.

It's been a wild stretch for crude.

Brent crude futures LCOc1 were at $77.40 per barrel, down 22 cents, or 0.3 percent, from their last close. In practice, Saudi Arabia and Russian Federation will carry the biggest shares.

Saudi Arabia insisted as recently as April it was too soon to open the taps but Riyadh made a U-turn after its ally the United States called on OPEC to boost supplies.

A day before the official OPEC meeting on Friday, Iranian Oil Minister Bijan Zanganeh stormed out of a gathering of OPEC and non-OPEC allies saying there would be no agreement. The group agreed to pump more oil - but perhaps not as much as some had expected. The efforts to isolate and hobble the Islamic Republic overshadowed Saudi Arabia's plan to lift oil output to a record within weeks.

A senior State Department official said the administration is now telling European and Asian countries that the US expects their imports to hit zero by the time the grace period ends.

But analysts say the market has little spare capacity to deal with further disruptions.

Pompeo: N. Korea understands scope of United States request for denuclearization
It might be impossible to embark on such projects unless North Korea denuclearizes, which isn't a sure thing. China has been a critical player in that effort, and remains so, according to Pompeo.

PUBG Corp. has withdrawn its copyright infringement lawsuit against Fortnite
Update: Epic Games has promised that the broken Playground LTM will return to Fortnite today. Three days later, Fortnite's Playground LTM is still AWOL.

Suspect in Maryland newspaper to appear in court on 5 murder charges
Annapolis Mayor Gavin Buckley said he was so proud of the journalists who had "soldiered on". "They don't make a lot of money". Investigators were said to be looking into "violent" threats that had been made against the Capital Gazette via social media.

Consider that oil output has been plunging in two other OPEC members: Libya and Venezuela. The Permian Basin is grappling with shortages of talent, pipeline and supplies. The move is aimed at depriving Iran, which is increasing its influence in the Middle East, of its biggest source of funds, and drawing concessions from the country.

The EIA reported that crude exports jumped to 3 million barrels a day last week, while refinery utilization rates increased to the highest since 2005 and refinery demand for all sorts of feedstocks jumped to a record, all contributing to the crude stockpile decline.

However, the surge in output does not need to exported, at least not right away.

A Suncor spokesperson confirmed that Syncrude is not shipping any crude at this time and the facility is conducting a "comprehensive assessment" to determine when it can get back online.

Anna Belova, a senior analyst for oil and gas at analytics company GlobalData, said the OPEC-led decision to ease compliance with production arrangements was good for Russian oil companies Gazprom Neft, Lukoil and Rosneft, which have the capacity to add hundreds of thousands of barrels of oil to the market. "And as long as priority is peace and security, U.S. is going to continue to try and work with our partners, friends and allies so that we are all pushing Iran to be a good accountable global neighbour", she added. During the pre-2015 round of sanctions, countries had to demonstrate they were consciously reducing energy imports from Iran.

"This is hyper-bullish", said Mike Wittner, global head of oil research at Societe Generale.

Supply disruptions in Canada have also offered support to crude.

The US officials stated that Indian companies will have to face the same sanctions as others if they continue to engage in sanctions areas of the economy.

Related news:

Hot News

isis-killer-beheading-video-story-top 17 states sue Trump administration over family separations
Jul 01, 2018 - 06:02
Defense Secretary Jim Mattis said the military would help to house migrants at military bases, including two in Texas. He said he can't recall a case where the agency placed a child with a parent or relative who was in detention.

isis-killer-beheading-video-story-top Thief drains bank account of nation's oldest veteran
Jul 01, 2018 - 05:12
His favorite pastime is sitting on his porch, where he can be seen waving at honking cars and smoking one of his 12 daily cigars. Thankfully, the bank account was not connected to Overton's GoFundMe page , which finances his 24/7 in-home care.

isis-killer-beheading-video-story-top Google Pixel 3 and Pixel 3 XL renders surface
Jul 01, 2018 - 04:55
There is now a 19:9 display with a notch on top and the notch houses the earpiece, dual front-facing cameras, and the sensors . The smartphone also has dual front-facing speakers, and surprisingly, there also appears to be dual cameras on the front.

Paul George Rumors: Star Could Stay with Thunder on 2
Jul 01, 2018 - 04:35
That's where he would sign a one-year contract for the 2018-19 season with a player option for the 2019-20 season. George, whom the Lakers will pursue, still could return to play with the Thunder and New Zealand's Steven Adams.

isis-killer-beheading-video-story-top Trump Administration: Migrant Families Can Be Detained For More Than 20 Days
Jul 01, 2018 - 02:36
More than 500 women, including a member of Congress, were arrested Thursday in the US Capitol complex protesting Trump's immigration policy .

isis-killer-beheading-video-story-top Democrats Urge McConnell: No Vote on Kennedy Replacement Until After Midterms
Jul 01, 2018 - 02:34
Justice Antonin Scalia died February 13, 2016, leaving a once-conservative seat open for replacement by then-President Obama. With the news that conservative Justice Anthony Kennedy is to retire , a huge opportunity has landed in Donald Trump's lap.

isis-killer-beheading-video-story-top Admirable scenes as Cristiano Ronaldo helps Edinson Cavani off the pitch
Jul 01, 2018 - 02:10
Uruguay: Muslera 7, Gimenez 8, Godin 8, Laxalt 7, Caceres 6, Bentancur 6, Nandez 6, Torreira 6, Vecino 6, Suarez 8, Cavani 9. France were the first team into the last eight after a thrilling 4-3 win over Argentina which sent Messi home.

isis-killer-beheading-video-story-top Japan space explorer arrives at asteroid - 170 million miles from Earth
Jul 01, 2018 - 00:06
Hayabusa 2 will spend about a year and a half surveying the 900m-wide space rock, which is about 290 million km (180 million miles) from Earth.

isis-killer-beheading-video-story-top Trump begins Supreme Court search with outreach to Senators
Jun 30, 2018 - 23:59
Donnelly said he had a "good conversation" with Trump and "will thoroughly review the record and qualifications" of the nominee. He mocked Crowley for losing after the NY lawmaker was said to be a major contender for the next leader of House Democrats .

isis-killer-beheading-video-story-top Artist Threatens Elon Musk With Lawsuit After Stealing ‘Farting Unicorn’
Jun 30, 2018 - 23:45
Musk identified the work as "maybe my favorite mug ever", and the exposure led to a little boost in sales for Edwards. The attention gave Edwards' a bump in sales from around the world, and at first, all was right with the universe.

Major League Soccer player comes out as gay
Jun 30, 2018 - 23:27
After four seasons without much playing time, United shipped him to Minnesota in exchange for a 2018 fourth-round draft pick. Per Ryan, Martin is the first MLS player to come out as gay since former Los Angeles Galaxy star Robbie Rogers in 2013.

isis-killer-beheading-video-story-top Samsung Galaxy Note 9 - Release Date Officially Confirmed
Jun 30, 2018 - 23:26
The new stylus will include Bluetooth support and the option to unlock the handset remotely, with a press of a button. However, the biggest change could be found on the S Pen since it's also the main focus in their official teaser .

isis-killer-beheading-video-story-top LeBron James ‘Strongly Considering’ Joining Los Angeles Lakers
Jun 30, 2018 - 23:20
What the Spurs do from here on out is anyone's guess, but they are handling the end of the Leonard situation with aplomb. Vardon, however, reported that James' mind would not be made up by Leonard landing or not landing with the Lakers.

isis-killer-beheading-video-story-top Lewis Hamilton hopes Mercedes updates frighten rivals - Austrian Grand Prix 2018
Jun 30, 2018 - 23:09
Hopefully the developments will help me do it more", he said , while acknowledging that qualifying would be key. But if they say you have to drive in front for the whole qualifying, that's what you have to do.

isis-killer-beheading-video-story-top House rejects Republican immigration bill, ignoring Trump - International
Jun 30, 2018 - 22:11
The bill was killed 301-121, with almost half of Republicans opposing the measure. After the rejection of the bill, Trump offered a message to Republican lawmakers.