• Oil: an overview of the market situation

Market news

23 April 2014

Oil: an overview of the market situation

Prices for Brent crude fell today , being under the mark of $ 109 per barrel after weekly data showed that crude oil inventories in the U.S. reached a record level . The cost of oil brand WTI, meanwhile, rose slightly , receiving support from the tense situation in Ukraine and the fear that the Western powers could increase sanctions against Russia .

Department of Energy data on changes in stocks in the week April 14-20 showed :

- Oil reserves rose by 3.524 million barrels to 397.659 million barrels ;

- Gasoline inventories decreased by 0.274 million barrels . to 210.008 million barrels . ;

- Distillate stocks rose by 0.597 million barrels . to 112.513 million barrels .

- Refining capacity utilization rate of 91.0 % against 88.8 % a week earlier ;

- Oil terminal in Cushing declined by 0.788 million barrels . to 26.04 million barrels .

Recall that yesterday presented their data Institute of oil API. They showed :

- Capacity utilization in the week 89.8 % vs. 88.1%

- Distillate stocks last week -0.570 million barrels

- Gasoline inventories last week -3.4 million barrels

- Oil reserves for the week 0.519 million barrels

The course of trade also affected data for the euro area . As it became known , in the eurozone increased activity in the private sector of the economy accelerated at the fastest pace in nearly three years in April. The composite index of activity rose unexpectedly to 54.0 in April from 53.1 in March. Last reading was the highest since May 2011 . Economists expected the index to fall slightly to 53. PMI value is above the neutral level of 50.0 for ten consecutive months , indicating continuous growth in business activity since July last year . Preliminary manufacturing PMI was 53.3 in April , compared to 53 in March. According to forecasts of expected constant value 53. Moreover, preliminary index of services PMI rose more than expected - to 53.1 from 52.2 in March. Expected value was 52.7 in April .

Investors will also monitor the progress of Libya in building exports. We add that the North African country of oil production is about 220,000 barrels a day , as several fields remain closed because of the protests .

June futures on U.S. light crude oil WTI (Light Sweet Crude Oil) rose to $ 101.80 per barrel on the New York Mercantile Exchange (NYMEX).

June futures price for North Sea Brent crude oil mixture fell 50 cents to $ 108.93 a barrel on the London exchange ICE Futures Europe.

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