Higher drilling activity in USA affects oil prices

Posted 29 October, 2018

Prices for oil dropped on Monday, with excessive supply concerns persisting in the market.

WTI oil slackened to some 67.17/bbl. WTI prices recorded a decline for the third week in a row last week. A similar situation was seen with the Brent, which fell to $77.50/bbl. Quotes lost 2.7% over the past week.

As for other data, petroleum futures on the NYMEX rose to $1.8132/gl. Fuel oil was priced at $2.2869/gl. 

According to the analytical reports, the USA kept ramping up drilling operations. Specifically, the number of operating drill rigs rose to 875 (2 units up), the highest level since spring 2015.

Higher drilling activities followed reports about increased oil reserves in the USA. It was reported that oil reserves rose by 6.3 million over the past week, which in fact indicates the fifths week of the rise in the country. Oil production in the USA hiked to 11 million bbl per day.

As a result, the market keeps monitoring possible supply reduction given the upcoming US sanctions against Iran (top-3 oil producer in OPEC). For reference, Washington will restore restrictions against Iran on November 4. Earlier, Donald Trump cancelled the nuclear deal with Iran.

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30 October, 2018 10:53

← US dollar mostly maintains positions

The US dollar trims gains vs the euro during the Tuesday Asian trading. At the same time, higher Asian stock market pushes yen down. Additional pressure is coming from fears of the global economic upturn slowdown that affected market confidence. The US Dollar index rose to some 96.49. The euro-to-US dollar exchange rate was seen at $1.1375, while the Monday session was closed at $1.1373. However, the euro is still depressed on persisting political uncertainties in Europe. The sterling was priced at $1.2800 ($1.2793). The yen has kept slackening vs the US dollar following the overnight decline. The US dollar gained grounds vs the Japanese currency reaching some 112.80.

US dollar mostly maintains positions

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29 October, 2018 15:46

StarkWare completes $30 million investment round →

StarkWare, an Israel blockchain company, has managed to attract funds via completed investment round run by Paradigm. The list of participants included Intel Capital, Sequoia, Atomico, DCVC, Wing, Consensys, Coinbase Ventures, Multicoin Capital, Collaborative Fund, Scalar Capital and Semantic Ventures. StarkWare develops "STARK zero-knowledge proof system" which is used as a foundation for the solutions boosting scalability and privacy level of the blockchain. Among the plans, the company is going to provide a complex proof system based on ZK-STARK technology. This will include hardware and software solutions for fast generation and verification of  "of computational integrity proofs for general computations."

StarkWare completes $30 million investment round
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