ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Budget 2023
  • Adani Saga
  • Markets
    • Stocks
    • Global Markets
    • IPO
    • Companies
    • Currency
    • Commodities
  • My Money
  • Calculators
    • Income Tax Calculator
    • Home Loan/EMI Calculator
    • Mutual Fund Returns Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • SIP calculator
    • Lumpsum Calculator
    • SWP Calculator
  • Videos
    • M Se Market
    • Jeb Zindagi Zaroorat
    • Light Camera Stocks
    • Tech Takes
    • Big Bulls Ka Nishana
    • Paisa Wasool
    • Commodity Ke MrityunjayMantra
    • The Right Property Show
  • Economy & Infra
    • Policy & Initiatives
    • Agriculture
    • Telecom
    • Aviation
    • Railways
    • Retail
    • Roadways
    • World Economy
  • Exclusive
    • Wealth Guide
    • Interviews
  • Auto
    • Cars
    • Bikes
    • Electric Vehicle
    • Commercial Vehicles
  • Tech
    • Mobiles
    • Gadgets
    • Reviews
    • Tips and Tricks
    • Apps
  • Real Estate
    • Home Buyers
    • Builders
  • Axis MF
  • Trending
    • Entertainment
    • Politics
    • Lifestyle
    • Travel
    • Sports
    • Viral
    • Education
    • Jobs
Read in App
Business News » World News

Oil prices rise in anticipation of tighter 2017 market

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
Oil prices rise in anticipation of tighter 2017 market
An offshore oil platform is seen at the Bouri Oil Field off the coast of Libya. Image Source: Reuters

Oil prices inched up on Monday in anticipation of tighter crude supply going into 2017 following the decision by OPEC and other producers to cut output to prop up prices.

Brent crude futures, the international benchmark for oil prices, were trading at $55.64 per barrel at 0218 GMT, up 43 cents, or 0.8%, from their last close.

US West Texas Intermediate (WTI) crude oil futures were up 47 cents, or 0.9%, at $52.37 a barrel.

Traders said the higher prices in front-month crude futures were due to expectations of a tighter market.

The Organisation of the Petroleum Exporting Countries (OPEC) and other producers led by Russia have announced cutbacks of almost 1.8 million barrels per day (bpd) in oil production from January 2017 in an effort to bolster prices to reduce rampant global overproduction which has seen output outstrip consumption for over two years.

"With investors now expecting a relatively high level of compliance with the production cut agreements, prices should be well supported," ANZ bank said on Monday.

"Some weakness in US dollar also helped improve investor sentiment."

The dollar has lost 0.8% against a basket of other leading currencies since hitting 2002 highs last week.

ALSO READ: Oil prices edge up as Kuwait cuts supplies by more than expected

Swings in the dollar can affect oil demand as they influence fuel prices for any country using its own currency domestically.

Reuters technical commodity analyst Wang Tao said that Brent and WTI crude futures technical chart indicators were bullish, with next resistance points seen at $55.79 and $57.57 per barrel for Brent, and at $52.74 and $53.36 per barrel for WTI crude futures.

Despite this, there were factors that weighed on markets, preventing prices - which remain relatively low - from rising more.

In the United States (US), which did not participate in the agreement to cut output, drilling for new production has increased for seven straight weeks.

Drillers added 12 oil rigs in the week to December 16, bringing the total count to 510, the highest since January, though still below 541 rigs a year ago, energy services firm Baker Hughes said on Friday.

US oil production is also edging up, rising from under 8.5 million bpd in July to almost 8.8 million bpd by mid-December.

Traders also said that downward price pressure could come from winding down financial crude futures ahead of Christmas.

ALSO READ: Oil prices fall after Fed hike, but tighter market looms

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
oil pricesMarketsWTIUSBrent CrudeOPECRussiaOil Output Cut
Written By: Reuters
Updated: Mon, Dec 19, 2016
08:59 am
Singapore , Reuters
RELATED NEWS
Oil prices edge up as Kuwait cuts supplies by more than expected Oil prices edge up as Kuwait cuts supplies by more than expected
Oil prices fall after Fed hike, but tighter market looms Oil prices fall after Fed hike, but tighter market looms
Oil prices fall on rising U.S. crude stocks, OPEC output concerns Oil prices fall on rising U.S. crude stocks, OPEC output concerns
Oil prices rise on U.S. crude stock decline, weaker dollar Oil prices rise on U.S. crude stock decline, weaker dollar
Oil prices fall further in Asia, yen gains hit Tokyo Oil prices fall further in Asia, yen gains hit Tokyo

LATEST NEWS

Magh Purnima February 2023: Date, Time, Purnima Tithi, shubh muhurat, puja rituals and significance of full moon day

Government nod to Vodafone Idea to convert Rs 16,133 crore spectrum, AGR interest dues into equity

Q3 Results 2023: Aditya Birla Capital, JK Tyre, Ethos declare December quarter results - HIGHLIGHTS

NSE, BSE put 3 Adani Group companies under short-term additional surveillance measure

"Storm in a tea cup:" Finance Secretary on the rout in Adani stocks

Marico Q3 Results 2023: Net profit rises 5% to Rs 333 crore, revenue up 2.6% to Rs 2,470 crore

Petrol, diesel prices hiked by Rs 2 per litre in THIS state

Anil Singhvi strategy for February 3: Key market triggers, important levels to track in Nifty50, Nifty Bank

Buy BEL shares, price target Rs 125: ICICI Securities

Q3 Results 2023: Emami December quarter PAT up 6%, Tata Power net profit doubles

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
© 2023. India Dot Com Private Limited. All Rights Reserved.
LIVE TV