Crude Oil Prices Suffer Another Loss for the Week as OPEC Postpones Meeting

Strategic Insights -

Crude oil prices continued their downward trend, with both Nymex and IPE futures experiencing losses on Friday. Despite an initial surge in buying interest, the market's interest waned, with prices dropping to session lows. This comes as OPEC has postponed its ministerial monitoring subcommittee meeting, originally scheduled for today, until April 30. The delay has left the market in uncertainty, with some players hoping for an upgrade to the meeting, while others see it as a sign of the cartel's lack of consensus. As a result, April Nymex crude futures lost 14 cents to settle at $14.06/bbl, while May Nymex crude fell 14 cents to $14.43/bbl.

Key Takeaways:

  • Nymex crude futures lost 14 cents to settle at $14.06/bbl on Friday, continuing their downward trend.
  • May Nymex crude fell 14 cents to settle at $14.43/bbl, with front-month Nymex crude futures losing 85 cents/bbl on the week.
  • April IPE Brent futures on the International Petroleum Exchange (IPE) lost 23 cents to settle at $12.76/bbl, while May IPE Brent fell 22 cents to settle at $13.05/bbl.
  • According to Tom Knight, East Coast manager of operations and trading at Fina Oil and Chemical Co., crude's bottom hasn't been reached yet, with Nymex crude's bottom potentially near $13.75/bbl.
  • Refined products prices are unlikely to improve in the near-term due to economically attractive refining margins, ensuring that refiners continue to produce products for an already well-stocked market.
  • April Nymex gasoline futures lost 0.75 cents to end the day at 47.25 cents/gallon, while April Nymex heating oil futures lost 1.90 cents/gallon.

Statistics:

  • Nymex crude futures lost 14 cents to settle at $14.06/bbl on Friday.
  • May Nymex crude fell 14 cents to settle at $14.43/bbl.
  • Front-month Nymex crude futures lost 85 cents/bbl on the week.
  • April IPE Brent futures lost 23 cents to settle at $12.76/bbl on Friday.
  • May IPE Brent futures fell 22 cents to settle at $13.05/bbl.
  • Nymex crude's bottom potentially near $13.75/bbl according to Tom Knight, East Coast manager of operations and trading at Fina Oil and Chemical Co.
  • April Nymex gasoline futures lost 0.75 cents to end the day at 47.25 cents/gallon.
  • April Nymex heating oil futures lost 1.90 cents/gallon.

Sources:

  • Bloomberg
  • New York Mercantile Exchange (Nymex)
  • International Petroleum Exchange (IPE)
  • Fina Oil and Chemical Co.