Oil prices to go sideways with minor changes, expert says
The Bunker Review is contributed to IAA PortNews by Marine Bunker Exchange
West Texas Intermediate (WTI) crude is falling a fourth day on speculation that fuel demand will decline outweighed concern that Middle Eastern exports may be disrupted by political unrest. Presidential election will take place tomorrow in Iran, holder of the world’s fourth-largest oil reserves.
Investor’s sentiment is mixed between hopes for the economic recovery on the one hand and disappointing economic data on the other. Economic growth is expected to increase somewhat in the second half, but otherwise it will remain very modest and that will keep the lid on oil prices.
The demand outlook is that the global economy is expected to expand 2.2 percent this year, down from a January projection of 2.4 percent, the World Bank said in a report released in Washington. The World Bank said further that its outlook for developing economies and estimated the euro region’s gross domestic product will shrink 0.6 percent. The Bank increased forecasts for the U.S. and Japan.
Demand for oil from OPEC in the second half of the year will be weaker than earlier projections amid signs of slowing growth in China, IEA (International Energy Agency) said yesterday. OPEC needs to supply an average 29.8 million barrels a day, reducing its previous assessment by 200.000 barrels. That would require the group to cut output by 1.1 million barrels from the 30.9 million a day, pumped in May.
Brent futures slipped towards $103 a barrel on Thursday as a jump in U.S. gasoline stocks with the summer driving season already underway stoked worries about demand, but a weak dollar helped stem the slide.
The Brent crude oil is estimated to trade between $100 and $105 per barrel over the next few days, and the WTI between $92 and $97 per barrel. The IEA said modest economic growth was limiting oil demand worldwide, and that some developed economies would see absolute declines in oil consumption in 2013.
In the coming week oil prices are expected to go sideways with minor changes.
|
Product |
380 cSt HSFO |
380 cSt LSFO |
|
|
|
|
|
Rotterdam 2013-06-13 |
583 |
611 |
|
Rotterdam 2012-06-13 |
571 |
611 |
|
|
|
|
|
Gibraltar 2013-06-13 |
612 |
675 |
|
Gibraltar 2012-06-13 |
613 |
652 |
|
|
|
|
|
St Petersburg 2013-06-13 |
543 |
563 |
|
St Petersburg 2012-06-13 |
375 |
435 |
|
|
|
|
|
Panama Canal 2013-06-13 |
593 |
674 |
|
Panama Canal 2012-06-13 |
687 |
- |
|
|
|
|
|
Busan 2013-06-13 |
629 |
774 |
|
Busan 2012-06-13 |
610 |
- |
|
|
|
|
|
Fujairah 2013-06-13 |
614 |
740 |
|
Fujairah 2012-06-13 |
608 |
- |
All prices stated in USD / Mton
All time high Brent= $147.50 (July 11, 2008)
All time high Light crude (WTI)= $147.27 (July 11, 2008)
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Product |
Close Jun.12 |
|
Light Crude Oil (WTI) |
$95,88 |
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Brent Crude Oil |
$103,49 |