Economy

WTI Crude Oil Dips - Key Fundamentals Points to Know

WTI Crude Oil Dips - Key Fundamentals Points to Know

The market pared losses early in the US trading day when energy information provider Genscape reported that crude inventories fell in the latest week, traders said.

As the news agency informs, "Brent crude futures were down 6 cents at $66.70 a barrel by 1243 GMT, while USA futures were up 3 cents at $56.49".

While Saudi Arabia Energy Minister Khalid Al-Falih indicated production cuts are needed, his Russian counterpart, Alexander Novak has taken a more wait-and-see approach. The boom and bust in oil prices was all about Iran sanctions, which turned out to be a bit of a joke after its customers were given waivers. While trade tensions between China and America weaken the outlook for demand, Saudi Arabia's oil policies aim to preserve market stability, the nation's king said during his first major public speech since the murder of prominent journalist Jamal Khashoggi. International Energy Agency Executive Director Fatih Birol also warned that reducing supplies may have some negative implications as the producer group will meet in Vienna early December to discuss supply curbs.

West Texas Intermediate for December delivery, which expires on Monday, added 18 cents to $56.64 a barrel on the New York Mercantile Exchange at 11:23 in London.

Self-Proclaimed King of NY Tekashi69 Arrested On Racketeering Charges
In a 2015 case in NY , 6ix9ine was sentenced to probation for his involvement in a sexually explicit video of a 13-year-old girl. The prosecutor, Michael Longyear, said "super violate" meant inflict harm on Tekashi , including possibly shooting him.

On the demand-side, Japan's October crude oil imports - which are the world's fourth biggest, but which are in structural decline because of a falling population and improving energy efficiency - fell by 7.7 per cent from the same month a year ago, to 2.77 million barrels per day (bpd), the Ministry of Finance said on Monday. The contract closed 3 cents higher at $66.79 on Monday.

Brent crude dropped $4, or 6 percent, to $62.79 a barrel by 1:10 p.m. ET. Total volume traded Tuesday was 73% above the 100-day average.

A belief by market participants in OPEC and Russia's resolve to agree on productions cuts in a bid to push the price higher "is not to be believed until the results are seen while The Baker Hughes North American Rig count continues to increase on a week over week basis", he said.

Meanwhile, drillers in the USA added two more working rigs last week, bringing the total to 888, the highest level since March 2015, according to Baker Hughes data.

Ocasio-Cortez wants to control '3 chambers of Congress'
Nancy Pelosi (D-CA), the House Minority Leader and, come January, the likely Speaker of the House - and Ocasio-Cortez's new boss. "Hill staffer sent me this pic of Ocasio-Cortez they took just now", Scarry wrote in the tweet , which has since been deleted.

Meanwhile, oil production in the United States is surging.

Ahead of the bi-annual OPEC meeting on December 6th, expectations have been growing that the cartel will look to cut oil output (by roughly 1-1.4mbpd) in order to prevent oversupply given the slowing demand growth, coupled with the surge in oil production by the USA (currently producing at a record 11.7mbpd).

"Fundamentals over the next six months point to a recovery in oil prices following their sharp decline in October and early November", BNP Paribas said.

Bears Beat Vikings 25-20, Tighten Grip On NFC North
Trubisky finished with 43 yards on 10 rushes to help keep the Vikings' pass rush at bay. "He never got rattled", Nagy said. The Vikings settled for Bailey's 36-yard field goal that left the Bears with a 14-6 lead and 11:46 remaining.