1 April, 2016
Oil prices hit its 2-week low after the soaring of the U.S. crude stockpiles as revealed by the Energy Information Administration on Thursday afternoon. U.S. crude futures lost 65 cents to trade at $37.67 per barrel and the Brent crude futures tumbled at $38.81 per barrel, down by 45 cents.
Based on the report disclosed earlier by the EIA, the crude stockpiles climbed by 2.3 million barrels with a total of 534.8 million barrels to March 25, hitting its seventh-week all time peak. Although, it has increased significantly, the figures failed to meet the estimated 3.3 million barrel by the analysts.
As the market expects for the full cooperation of the OPEC and non-OPEC members to consider freezing their output, crude prices have climbed for 50 percent from the previous month and the OPEC crude output moved from 32.37 million barrels per day in February to 32.7 million barrels per day for this month. In connection to this, the major oil producers will have a meeting in Doha, Qatar in April 17.
Iran, as expected, refused to join the conference and obviously to cut its production. An oil analyst thought that it was a disastrous sign to make the announcement shortly before the meeting in Doha. He explained that it gave the impression that the lip service paid to freeze oil production is nothing but hot air.
Elsewhere, the United States might be defeated as the biggest crude importer by China. Crude imports of the U.S. recently slumped by 636,000 barrels per day to 7.4 million barrels per day, while China sets its crude import to 7.5 million bpd in 2016.
Meanwhile, the greenback edged lower against a basket of currencies as the U.S. Department of Labor reported an increased of individuals filing for initial jobless benefits in the week to March 26.
The U.S dollar went down against its Japanese counterpart as it traded at 112.31. However, EUR/USD was up by 0.44 percent to changed hands at 1.1388. The U.S. dollar index hit its five-month low of 94.47, a drop of 0.34 percent.
Last week, the U.S. jobless claims data were at 265,000 individuals. It increased to 11,000 in the week to March 26, resulting in 276,000.
Market players kept their guards up as they await the US labor data report, a strong reading of which could urge the Federal Reserve to increase interest rates this month – a decision that would be bearish for non-interest bearing gold...
The US economic growth has been sluggish in the first quarter, although not as strongly as initially expected, amid an increase in spending on home architecture and a constant increase in inventory investment by business...
Oil prices increased more than 1 percent on Monday after Goldman Sachs stated that the market has ended for nearly two years of oversupply subsequent to a global oil disruptions and a market deficit...
The Australian and New Zealand dollars rallied against the greenback on Wednesday, but gains were anticipated to stay capped by lower prices of crude oil...
World stock markets rallied on Tuesday, fueled by a strong corporate earnings in Europe, including improvements on Greek debt talks and Japan’s new pledge in preparation to a weaker currency...
Gold prices ticked higher as the greenback slid to 16-month lows during the session earlier. On the Comex division of the New York Mercantile Exchange, gold delivery for June rallied at $1,303.85 per troy ounce, advancing $6.55 or 0.51 percent...
Analysts forecast that Germany DAX would hit 0.06 percent higher when the market opens, while France’s CAC 40 was anticipated to remain steady. Meanwhile, UK markets are closed due to a public holiday.
Shares in the U.S. plummeted following the decline of the stocks in the Asian market as the Bank of Japan left the interest rate unchanged...
Wall Street futures dropped on Friday after the Dow issued its first decline of more than 1% in two months, while investors are closely watching on data...