LIVE TV
ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Budget 2021
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Jobs
  • Indian Railways
  • World
    • Economy
    • Politics
    • Markets
  • videos
  • photos
  • Authors
  • More ...
    • VIDEOS
    • PHOTOS

Read in App
Business News » World News

Oil rises on OPEC-led cuts, but market remains range-bound

"The usually fairly volatile oil price has barely budged for two months, the reason being conflicting dynamics in the market," said Dutch bank ABN Amro.

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
Oil rises on OPEC-led cuts, but market remains range-bound
Brent crude futures , the international benchmark for oil prices, were trading at $55.76 per barrel at 0112 GMT, up 17 cents from their last close. Photo: Pixabay
Written By: Reuters
Updated: Tue, Feb 14, 2017
07:10 am
Singapore, Reuters
RELATED NEWS
Diesel prices down 19-21 paise across metros Diesel prices down 19-21 paise across metros
Oil price climbs for third straight week, buoyed by producers holding back output Oil price climbs for third straight week, buoyed by producers holding back output
Surprise! Diesel prices to surpass petrol prices for 1st time in India Surprise! Diesel prices to surpass petrol prices for 1st time in India
Fuel prices today: Petrol, Diesel gets expensive for 2nd consecutive day Fuel prices today: Petrol, Diesel gets expensive for 2nd consecutive day
Oil prices edge up ahead of upcoming OPEC+ meeting Oil prices edge up ahead of upcoming OPEC+ meeting

Oil rose on Tuesday, supported by an OPEC-led effort to cut output, but rising production elsewhere kept prices within the narrow range that has contained them so far this year.

Brent crude futures , the international benchmark for oil prices, were trading at $55.76 per barrel at 0112 GMT, up 17 cents from their last close.

U.S. West Texas Intermediate (WTI) crude futures , were up 14 cents at $53.07 per barrel.

The gains followed 2-percent falls in the previous session. Both oil benchmarks have remained within a $5 per barrel trading range since the beginning of the year.

"The usually fairly volatile oil price has barely budged for two months, the reason being conflicting dynamics in the market," said Dutch bank ABN Amro.

The Organization of the Petroleum Exporting Countries (OPEC) and other producers including Russia have agreed to cut output by almost 1.8 million barrels per day (bpd) during the first half of 2017 in a bid to rein in a global fuel supply overhang.

But undermining these efforts has been rising production in the United States, where increased drilling activity especially by shale oil producers has lifted overall output to 8.98 million bpd, up 6.5 percent since mid-2016 and to its highest level since April last year.

"A floor is being formed by the production reduction agreed by OPEC and several non-OPEC oil producers ... At the other end of the spectrum, a ceiling is being created by the stepped-up shale oil production in the U.S.," ABN said.

Despite an OPEC compliance rate of around 90 percent with the announced cuts, scepticism remained over the end result.

"OPEC producers want the market to believe they will stick to the agreed production freeze (cut). But lessons from the past have made the market deeply suspicious," ABN said.

Traders also pointed out that even at an OPEC compliance of 90 percent, and a much lower rate for non-OPEC members, producers would have to accelerate their cuts in the coming months in order to achieve the average daily reduction target agreed for the first half of the year.

ABN said it had reduced its average Brent oil price forecast for the first half of 2017 "from $55 per barrel to $50 per barrel, while allowing for a possible temporary dip towards $45 per barrel".

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 PriceBrent CrudeBrent crude oil pricesOPECnon-OPECEconomyoil benchmark
RELATED NEWS
Diesel prices down 19-21 paise across metros Diesel prices down 19-21 paise across metros
Oil price climbs for third straight week, buoyed by producers holding back output Oil price climbs for third straight week, buoyed by producers holding back output
Surprise! Diesel prices to surpass petrol prices for 1st time in India Surprise! Diesel prices to surpass petrol prices for 1st time in India
Fuel prices today: Petrol, Diesel gets expensive for 2nd consecutive day Fuel prices today: Petrol, Diesel gets expensive for 2nd consecutive day
Oil prices edge up ahead of upcoming OPEC+ meeting Oil prices edge up ahead of upcoming OPEC+ meeting

LATEST NEWS

IRDAI panel for separate payments of vehicle, insurance premium

FAKE INVOICE FRAUDS - GST officers arrest 258 persons; 8 chartered accountants among arrested

Rs 5, 10 and 100 news: Will old notes be valid after March 2021? Here is truth from Modi government

How actor Matthew McConaughey got over rom-com image trap

Budget 2021 Expectations LIVE: Here is what India wants - Check latest news, updates, demands here

Your voter IDs to go digital from today; Check what is e-EPIC, how to download, features and more

Grasim Industries Share Price II Details decoded by Nirmal Bang

NEET, IIT JEE, NDA, CDS, UPSC exams: Free coaching for students, Abhyudaya scheme, announced by Yogi Adityanath-led UP government

Credit Suisse On Commercial Aerospace Outlook II Details Explained

Check Modi government's latest notices to Chinese apps including Tiktok, PUBG mobile game

  • 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
Copyright © Zee Media Corporation Ltd. All rights reserved