Crude oil futures were little changed on Tuesday after losing 1% yesterday, the most since Jan 8. The Western powers and Iran reached an agreement over the Persian nation’s nuclear program on Sunday.
North American WTI for February delivery rose 0.13%, trading at $92.13 per barrel on the New York Mercantile Exchange at the time of writing. While the European benchmark Brent crude for February settlement added 4 cents to $106.79 per barrel on the ICE Futures Europe exchange. Brent was at a premium of $14.87 to WTI.
WTI – US Supply
The US crude oil stockpiles report is expected to be released by the Energy Information Administration on Wednesday. Analysts are predicting the report to show a drop by 1.15 million barrels in the week ended January 10, following the previous decline of 2.7 million barrels in the previous week.
The North American WTI crude dropped to an eight-month low of $91.66 per barrel on Jan 9 as production rose by 24,000 barrels a day to 8.15 million in the week ended Jan 3, according to reports from the EIA.
Distillate inventories, including diesel and heating oil is expected to show a rise by 1.38 million barrels last week. While Gasoline supplies are predicted to have advanced by 2.2 million.
A separate report from the American Petroleum Institute is expected to be released later during the day.
WTI – Iran Agreement
Over the weekend, the Western powers including the US, China, Russia, France, Germany and the UK finalized a six-month deal with Iran, over the country’s nuclear program; which will be implemented from January 20. As part of the deal, the Persian nation will scale back its nuclear developments, while the US will ease economic sanctions.
“Iran will also continue to take steps throughout the six months to live up to its commitments, such as rendering the entire stockpile of its 20% enriched uranium unusable for further enrichment,” Secretary of State , John Kerry said.
Iran have only been producing approximately 1 million barrel a day, the lowest in nearly 30 years; due to the sanctions imposed on the country.
WTI – Libya
Libya’s production has risen to 650,000 barrels per day (bdp) as the country’s largest oil fields, El Sharara restarted and production reached 300,000 barrels per day. However, production in the country is still below July’s level of 1.2 million barrels.
Win a luxurious trip to the Maldives & up to $30,000 cash for trading with us!
Visit for details http://alturl.com/2kysk
The post WTI Little Changed Ahead US Stockpiles Report appeared first on | HY Markets Official blog.
Article provided by HY Markets Forex Blog
