This week started with the talk of the United States banning Russian oil exports, so XBR/USD saw $130 a barrel. Then the ban became reality. What does it really mean for the market?
Crude surges in Asia
On Tuesday, crude posted further revenues in Asia, ahead of industry estimates of crude as well as refined product inventories in America expected to demonstrate declines.
In New York, June delivery crude futures added 0.49%, trading at $49.47 a barrel. In London, Brent crude futures ascended 0.48%, reaching $52.38 a barrel.
Overnight, crude settled lower because market participants questioned whether OPEC would consider extending the current deal to tame global supply amid soaring levels of American output.
Crude prices sank for a sixth day because focus shifted to the ramp-up of American drilling activity ahead of Wednesday’s report on inventories from the Energy Information Administration.
On Friday, oilfield services company Baker Hughes informed that its weekly American rig count added by 5 to 688, which powered concerns that soaring American shale output could weigh on efforts by OPEC as well as other key producers to tame the glut in supply.
Evidently, the surge in drilling activity did little to relieve concerns that shale output was set for its biggest monthly soar in more than two years.
US Energy Information Administration will reveal Crude oil inventories on February 9, 17:30 GMT+2.
On Wednesday, February 2, during the day, members of the Organization of Petroleum Exporting Countries (OPEC) and Joint Ministerial Monitoring Committee (JMMC) will discuss a range of issues regarding energy markets and, most importantly, agree on how much oil they will produce.
The Australian Bureau of Statistics will announce the updated Unemployment Rate and Employment Change data on Thursday, May 19, at 04:30 MT.
The UK Office for National Statistics will publish Consumer Price Index (CPI) data on Wednesday, May 18, at 09:00 MT.
The US Census Bureau will announce Core Retail Sales and Retail Sales on Tuesday, May 17 at 15:30 MT.