Oil slips as data points to fast-growing supply

In its latest monthly report, the IEA expected a larger than expected increase in non-OPEC output of 700,000 for 2017 and the IEA also expected a further increase for 2018.

OPEC's own compliance with the cuts has been questioned, and the producer group said in a report this week that its output rose by 336,000 barrels per day in May to 32.14 million barrels per day.

Analysts estimated, on average, that crude stocks fell 2.7 million barrels in the week ended June 9.

Gasoline inventories now sit at 242.4 million barrels, or 9 percent, above the five-year average of 223 million barrels, according to EIA data. "I would think that at some point the market is going to be pricing in even greater risks that the Fed might be moving too quickly", said Mark Cabana, a rates strategist at Bank of America Merrill Lynch in NY.

But those efforts have been blunted by a massive boom in production by US shale operators, who have become much more efficient.

The IEA said in a separate report earlier Wednesday it expected growth in non-OPEC supply to outpace demand growth next year.

The U.S., Brazil, Canada and other producers outside the Organization of Petroleum Exporting Countries will increase output next year by the most in four years, the IEA said.

Hawaii Rebuffs Trump, Adopts Paris Agreement Goals Anyway
In the op-ed, the mayors address Pittsburgh's history as an industrial and polluted city continuing to make stride toward cleaning up its air.

Benchmark Brent crude settled 43 cents higher at $48.72 a barrel while US light crude settled up 38 cents to $46.46 a barrel.

As a result, despite the Opec deal, oil stocks might not fall to the cartel's desired level "until close to the expiry of the agreement in March 2018", the agency said.

Meanwhile, US drilling activity has continued apace, driving up US output by more than 10 per cent since mid-2016 to above 9.3 million bpd.

"Abu Dhabi swiftly enforced a ban on oil tankers linked to Qatar calling at ports in the UAE, which could lead to a backlog of cargos and increased shipping costs", the report says.

Oil inventories have remained high several months into a deal by OPEC producers with non-member nations to reduce supply by 1.8 million bpd. Also countries like Libya and Nigeria produces more oil. OPEC output rose in May as Libya and Nigeria revived production halted by attacks and political crises, a report from the group showed Tuesday.

"While the demand is robust, there is a serious likelihood that prices will sink next year to $30-$35 a barrel and will stay there for a while", Fesharaki added.

The IEA has revised its forecast upwards for USA oil production this year, and said Brazil and Canada were also expected "to make further gains".

Recommended News

  • Iran leaders accuse US, Saudis of supporting Tehran attacks

    Documents and equipment "for carrying out terrorist operations" were also seized, the ministry said in a statement. We underscore that states that sponsor terrorism risk falling victim to the evil they promote.
    Oil Rebounds, Finds Support After Sliding Below $47/Bbl

    Oil Rebounds, Finds Support After Sliding Below $47/Bbl

    Iran is the only OPEC member with room for growth under a current deal to stem production in an effort to balance the market. The price for Brent crude oil was down 1 percent about 15 minutes before the start of trading in NY to $49.64 per barrel.
    Spicer won't say whether Trump has confidence in Sessions

    Spicer won't say whether Trump has confidence in Sessions

    The sun was still rising Monday when Trump upended best-laid plans with a blitz of provocative statements delivered via Twitter . He also created the @ Stl_Manifest account , which tweeted out the names of Jewish passengers on the MS St.
  • LeBron James Will Leave Cavs, Finish Career In Los Angeles

    LeBron James Will Leave Cavs, Finish Career In Los Angeles

    The timing of this release is interesting as the Cavs look to stay alive, down 0-3 to the Warriors in the best-of-seven NBA Finals.

    Defiant May vows to lead Britain to Brexit after United Kingdom election blow

    After three recounts, Labour took the wealthy London constituency of Kensington from the Conservatives by just 20 votes. The Northern Ireland party would will provide the necessary support and votes in the House of Commons.
    George Clooney 'is a hands-on dad' says actor's father Nick Clooney

    George Clooney 'is a hands-on dad' says actor's father Nick Clooney

    George certainly married up". "Amal, who is Super Woman, she is just fantastic ", Nick shared in a FOX19 NOW phone interview . Rande Gerber celebrated the arrival of George Clooneys twins with a "special delivery".
  • How to make $80000 per month on the Apple App Store

    Subscriptions are astonishingly easy to opt into via TouchID and exceedingly hard to cancel (PSA: instructions here). For many legitimate app developers, this is a cumbersome, time-consuming, and capricious process.

    House passes bill to roll back regulations on big banks

    Financial stocks soared after the vote, which some say could push Republicans in the Senate to pursue more aggressive reform. Senator Dianne Feinstein (D-California) has previously described rollbacks to the Dodd-Frank Act as "dangerous".

    Twitter users, blocked by President Trump, cry censorship

    In the poll, 69 percent of registered voters said Trump tweets too much, up 13 points from a similar survey in December . The administration could plausibly argue that the President's social media usage is performed as a private person.
  • Warriors' Green stays in Game 4 after technical foul fiasco

    Iman Shumpert and Zaza Pachulia went to the floor in a scrum and Pachulia appeared to hit the wingman in the groin. He had been on better behavior in these playoffs, actually trailing LeBron in the leg-kick category in Game 3.
    Preds leaning on Rinne to force Penguins back to Pittsburgh

    Preds leaning on Rinne to force Penguins back to Pittsburgh

    On Nashville's side, goalkeeper Pekka Rinne has been a drastically different player at Bridgestone Arena than at PPG Paints Arena. He has a.756 save percentage and 5.41 goals against average in Pittsburgh and was chased from the net in both Game 2 and Game 5.
    'Happy' Bale aims for more trophies at Real Madrid

    'Happy' Bale aims for more trophies at Real Madrid

    The playmaker was rumoured to be unhappy at Real after initially struggling for game time in the first half of the season. Ronaldo was delighted to see his son's unbelievable football skills after a huge victory in the Champions League finals.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.