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Petroleum industry

Crude Oil Prices Dip Slightly in Asia Ahead of Key US Data

Strategic Insights

— 1 min read

Crude oil prices eased in Asia on Friday as investors await key weekly data on US supplies and output. The US oil rig count has declined for 27 consecutive weeks, with the latest count reaching its lowest level since August 2010. Meanwhile, US crude inventories fell by 2.7 million barrels last week, exceeding expectations. The spread between international and US domestic crude benchmarks stood at $3.44, slightly below the previous level.

Key Takeaways:

  • US oil rig count has declined for 27 consecutive weeks, reaching its lowest level since August 2010.
  • US crude inventories fell by 2.7 million barrels last week, exceeding expectations of a 1.7 million-barrel decline.
  • The spread between international and US domestic crude benchmarks stood at $3.44, slightly below the previous level of $3.59.
  • WTI crude for August delivery eased 0.04% to $60.80 a barrel on the New York Mercantile Exchange.
  • Brent crude for August delivery gained 0.38 or 0.59% to $64.25 a barrel on the Intercontinental Exchange (ICE).
  • OAO Rosneft CEO Igor Sechin stated that the influence of Opec has been curbed by the glut of US crude in global markets.
  • Opec's yearly revenue fell to $993.3 billion in 2018, marking the first time it dipped below $1 trillion since 2010.
  • Average monthly crude prices are back around $60 a barrel after falling to near $45 this winter.
  • Venezuelan oil minister Asdrubal Chavez anticipates that the oil market will stabilize at some point this year.

Statistics:

  • US oil rig count has declined by 7 rigs to 635, its lowest level since August 2010 (Source: Baker Hughes).
  • US crude inventories fell by 2.7 million barrels to 467.9 million, the highest level at this time of year in at least 80 years (Source: Energy Information Administration).
  • Spread between international and US domestic crude benchmarks stood at $3.44, slightly below the previous level of $3.59.
  • WTI crude for August delivery eased 0.04% to $60.80 a barrel on the New York Mercantile Exchange.
  • Brent crude for August delivery gained 0.38 or 0.59% to $64.25 a barrel on the Intercontinental Exchange (ICE).
  • Opec's yearly revenue fell to $993.3 billion in 2018, marking the first time it dipped below $1 trillion since 2010.

Sources:

  • Baker Hughes (NYSE:BHI)
  • Energy Information Administration (EIA)
  • Bloomberg
  • OAO Rosneft
  • Opec
  • Venezuelan oil minister Asdrubal Chavez

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