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?
Oil is narrowly mixed in Asia
On Thursday, oil was narrowly mixed in Asia, with market participants observing a steady drumbeat of bearish supply news overwhelming statements from OPEC as well as allies led by Russia that output drops through March of 2018 are actually working their way through the crude market.
In New York, July delivery crude futures sank 0.13%, being worth $44.67 a barrel. Meanwhile, in London Brent futures ascended 0.02%, trading at $47.01 a barrel.
Overnight, oil settled lower because Wednesday’s data revealed that supplies of American crude dipped by less than expected, driving worries that a glut in supply will probably continue notwithstanding OPEC as well as its allies’ efforts to restrict output.
On Wednesday, the Energy Information Administration informed that American crude inventories decreased less than expected, but gasoline stockpiles suddenly swelled by May 2.
Inventories of American crude tacked on by approximately 1.66m barrels by June 2, which is far below expectations of draw of approximately 2.7m barrels.
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.