Brent crude eases, but stays near $70 as demand optimism lends support

Brent crude eases, but stays near $70 as demand optimism lends support

Brent crude prices eased on Friday but hovered near $70 a barrel as production cuts by major oil producers constrained supply, with optimism about a recovery in demand for the resource in the second half of the year also lending support, Trend reports with reference to Reuters.

Brent crude futures for May slipped 11 cents, or 0.2%, to $69.52 a barrel by 0403 GMT while U.S. West Texas Intermediate crude for April was at $65.83 a barrel, down 19 cents, or 0.3%.

Front-month Brent is on track to post weekly gains for the eighth week after touching a 13-month high on Monday following attacks on Saudi Arabian oil facilities.

Sentiment was also buoyed by the decision of the Organization of Petroleum Exporting Countries (OPEC) and its allies, a group known as OPEC+, earlier this month to largely hold production cuts in April.

Investors have been pumping funds into commodities such as oil on expectations of a demand recovery in the second half of the year as the global economy grows, while a wider rollout of vaccines against the COVID-19 pandemic allows more people to travel this summer.

“Assuming vaccination programmes are successful, we expect pent-up demand for gasoline to be released this summer during the U.S. and European driving season,” FGE analysts said in a note.

RBC Capital analysts said the fundamentals for summer gasoline is the most bullish in nearly a decade.

“We think this will support the entire oil complex this summer and beyond.”

OPEC said on Thursday a recovery in oil demand will be focused on the second half of the year.

The United States, world’s largest oil consumer, saw a massive draw on U.S. gasoline stocks last week as the winter storm in Texas disrupted refining output.

Oil prices sustained at higher levels are expected to draw U.S. producers to increase output, JP Morgan analysts said in their weekly note.

“At current prices, most U.S. onshore operators are economic, leaving a vast group of operators, from large public companies to private players, in good position to ramp up activity in 2H21 and build solid momentum for higher volumes in 2022,” JP Morgan said.

The bank now expects U.S. crude oil production to average 11.78 million barrels per day (bpd) in December 2021, up 0.71 million bpd annually, with the full year volume to average 11.36 million bpd compared with 11.32 million bpd in 2020.

Revenues of Georgian Silknet mobile operator down
Revenues of Georgian Silknet mobile operator down
Georgia reports 1,030 coronavirus cases for April 15
Georgia reports 1,030 coronavirus cases for April 15
Georgia to spend significant funds on tourism infrastructure in Akhaltsikhe
Georgia to spend significant funds on tourism infrastructure in Akhaltsikhe
Loading Bars
Latest
Kazakhstan set up task force to develop local investment management system
Production of catalysts for Iran’s petrochemical sector launched
Data on cotton yarn sales on Turkmen exchange in March 2021 revealed
Bank of America profit more than doubles on reserve release boost
Group of journalists visit Azerbaijan’s Aghdam district (PHOTO)
Russian company to supply big batch of agricultural machinery to Azerbaijan
Shell targets 2-3% reduction in carbon intensity this year
Iran’s PMO unveils volume of cargo loaded, unloaded in Fereidoonkenar port
2M2021 volume of stone coal shipment via Turkish ports disclosed
Data on shipment of goods across Turkish Antalya port from January through February 2021 disclosed
Graduate of Baku Higher Oil School marries Pakistani student from same university (PHOTO)
Data on cargo movement through Turkey's Gemlik port revealed
Turkey's steel exports to China surge
Turkey’s activity on Turkmen commodity and raw materials exchange in March 2021
Iran reveals COVID-19 data for April 15
Azerbaijan announces commissioning date for 'Victory Road' to liberated Shusha (PHOTO)
Revenues of Georgian Silknet mobile operator down
Iran’s Bahar Azadi gold coin price falling
Value of Iran's import of Turkish chemicals notably up
Azerbaijan improving access of entrepreneurs to insurance services
Turkey talks number of ships received at Aliaga port from Jan. through Feb. 2021
Kazakhstan boosts import of electrical goods from Turkey
Russia discloses amount of grains and legumes imported from Turkey
Central Bank of Azerbaijan holds foreign exchange auction
Iran to create major turning point on production of petrochemicals
Turkmenistan, French Public Investment Bank may sign MoU
Russian, Belarus presidents discuss situation in Karabakh via phone
Date of next interest payment on SOCAR bonds announced
Iran's Ilam Gas Refining Company discloses its production data
Microsoft implementing projects with Azerbaijan's educational institutions
Everything we agreed on will be implemented - President Lukashenko
Turkey hopes US won't recognize so-called "Armenian genocide" - Turkish FM
Azerbaijani PASHA Bank's Q12021 total assets grow
We are ready to share vaccine with Azerbaijan - President of Belarus
We reaffirmed strategic nature of relations between Belarus and Azerbaijan - President Lukashenko
President Ilham Aliyev is the best educated, civilized person of all presidents of post-Soviet space - President of Belarus
Nagorno-Karabakh conflict has now been resolved - President Aliyev
Culprit of what happened to Armenia is precisely Armenian leadership - Azerbaijani president
What Minsk Group will be doing is still unknown to us - President Aliyev
Iran's trade turnover with Turkmenistan down
We clearly defined our goals - Azerbaijani president
Companies from three friendly countries already working on reconstruction projects in Karabakh - President Aliyev
Turkish Energy Ministry prolongs Acacia Mining Operations license for oil, gas exploration
Belarus is our friend, trusted partner - Azerbaijani president
Turkish Airlines suspends flights to Russia
Russia reports over 8,900 daily COVID-19 cases
Kazakhstan resumes supplies of scrap metal to Russia
Russia's 2020 exports of chemicals to Azerbaijan disclosed
Кazakh Electricity Grid Operating Company to buy hydraulic press via tenders
Azerbaijan's AzerGold names winner of tender for purchasing ingot purity machine
Cargo movements in Iran's Genaveh port decline
Georgia reports 1,030 coronavirus cases for April 15
Kazakhstan’s KazMunayGas pays out coupon on its international bonds
Iran declares production data for sugar beet
Share of exports of Russian machinery, equipment, vehicles to Azerbaijan unveiled
Oil market may need extra supply in 2H 2021
War Trophy Park in Baku symbolizes heroic Azerbaijani people's triumphant victory - MP
Facebook signs first deal to buy renewable energy in India
Georgia to spend significant funds on tourism infrastructure in Akhaltsikhe
Top German health official says need to break third COVID-19 wave now
Iran's bitumen exports decrease
Azerbaijan sees increase in prices for silver, platinum, palladium
Turkmenistan should closely monitor bank balance sheets for asset quality risks - IMF
Minsk IT holding voices interest in Azerbaijani-Belarusian smart projects
European oil demand sees largest fall since April 2020
Cargo transportation volumes down in Kazakhstan
Moscow ahead of regional partners in terms of exports to Azerbaijan
Azerbaijan boosts exports to Iran
Azerbaijan expanding co-op with Turkey on mail, money transfers
Kazakhstan’s Tengizchevroil to possibly face criminal case
Former heads of state, gov't call on President Biden to waive intellectual property rules for COVID-vaccines
CPI up 0.6% in March, housing prices still rising
Uzbekistan looks to build first pumped storage power plant
IMF continues to promote Turkmenistan's structural reforms aimed at economic diversification
Process begins for inviting financial bids for AI, deal to conclude by Sep
India, France discuss boosting cooperation, greater collaboration in diverse sectors
German COVID-19 cases jump by most since early January
U.S. vows to help bring investment to assist India’s mitigation efforts
Azerbaijani oil prices continue to rise
Wizz Air forecasts gradual flying recovery into late summer
PM: Despite local constraints, India sent doses to 80 countries
Oil steady near one-month highs as IEA, OPEC raise forecasts
Footage from Azerbaijani Zangilan's Agh Oyuq village (VIDEO)
Kazakhstan’s oil-producing company opens tender to buy pumps
Russia to finance modernization of 14 oil refineries
Azerbaijani currency rates for Apr.15
France's 1Q2021 chemical imports from Turkey rise in value
Iranian currency rates for April 15
Azerbaijan sees growth in securities market
Minsk Group worked ineffectively for 30 years on Karabakh - MP
SOCAR, Belneftekhim to expand opportunities in oil products’ output, sale
Azerbaijan continues to compensate workers employed in COVID-hit areas
Thailand reports record daily rise with 1,543 new coronavirus cases
Geely's EV unit Polestar raises $550 million
Iran resumes flights to UK
Uzbekistan talks projects implemented on improving country's energy sector
Central Bank of Iran continues its foreign currency policies
US IDC eyes organizing int'l forum on applying best 'smart' practices in Azerbaijan
Yemen's Houthis say they attacked Aramco, Patriot targets in Jazan
Iran stresses achieving $20-billion trade with Iraq
All news