6.7 C
New York
Wednesday, March 22, 2023

Oil Prices Recover $68 as Saudi Arabian Exports Expected to Hold Steady

Oil Prices Recover  as Saudi Arabian Exports Expected to Hold Steady© Reuters. Oil rises as Saudi Arabia says exports little changed in July

Investing.com – Oil prices rose on Thursday, as a Saudi Arabian official indicated that the country’s exports will be little changed despite a large increase in production.

New York-traded gained 53 cents, or 0.8% to $68.28 a barrel by 11:29 AM ET (15:29 GMT).

Meanwhile, , the benchmark for oil prices outside the U.S., traded up 38 cents, or 0.5%, to $73.28.

Saudi Arabia’s OPEC governor Adeeb Al Aama said that exports in July from the cartel’s top producer would be roughly in line with the 7.2 billion barrels per day that were exported in June, according to a Jones report.

OPEC and non-OPEC countries led by Russia had agreed to decrease their curbs on output in order to compensate for shortfalls seen in other producers such as Venezuela, Libya or Angola.

That increase in production along with easing supply disruptions have sent oil prices spiraling downwards in the last two weeks, with U.S. crude and Brent down 7.4% and 5.0%, respectively, since July 6.

In that time, Libya reopened its ports and started exporting oil again after the previous closures of its oil field.

Iran, the world’s fifth largest oil producer, filed a lawsuit at the International Court of Justice against sanctions imposed by the U.S. in May, alleging that they violated a 1955 bilateral treaty between the two countries. The Islamic country asked the sanctions be lifted provisionally.

On Monday, the US Treasury Secretary Steven Mnuchin said Washington might grant waivers to Iran oil purchases.

“We want people to reduce oil purchases to zero, but in certain cases if people can’t do that overnight, we’ll consider exceptions,” Mnuchin told reporters, according to Reuters.

Mnuchin suggested that he would meet with counterparts on the sidelines of a G20 finance ministers’ meeting in Buenos Aires through July 22 where sanctions on Iran were likely to be a topic of conversation.

In other energy trading, dipped 0.19% $2.0456 a gallon by 11:32 AM ET (15:32 GMT), while rose 0.25% to $2.0955 a gallon.

Lastly, gained 1.65% to $2.766 per million British thermal units, after showed a smaller than expected build in stockpiles.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source: Investing.com

Related Articles

Stay Connected

- Advertisement -

Latest Articles

Popular Articles