Global crude oil prices

Brent crude futures slipped 3 cents to $113.09 a barrel by 0515 GMT, after rising as much as 1 percent earlier. Front-month prices tumbled 7.3 percent last week, their first weekly fall in five (Representative image) After shooting to near $123 per barrel last week amid various global factors, crude oil prices slid by as much as 6 percent or $11 to $112 per barrel on June 17. This was a sudden reversal from the steep climb in the wake of Russia’s invasion of Ukraine, global travel opening up, and services reviving. Speaking to CNBC-TV18 on June 20, Vandana Hari, founder and CEO of Vanda Insights, said the correction was mainly due to two factors — Libya’s oil production being confirmed at 700,000 barrels per day (bpd) instead of the earlier expected 100,000 bpd; and tumble in United States markets due to sell-off in broader risk assets. “What happened on Friday (June 17) was quite late in the US session and quite a surprise,” Hari said. Follow our Market LIVE blog … [Read more...] about Crude oil sell-off a bit overdone as prices could be ticking back up soon, says Vandana Hari of Vanda Insights

Share to Twitter Share to Linkedin Topline With oil prices down this month, billionaire investor Warren Buffett is once again buying the dip by adding to one of his favorite energy stocks, as his investing conglomerate Berkshire Hathaway purchased roughly $500 million worth of Occidental Petroleum shares this week. Key Facts Buffett’s Berkshire Hathaway purchased roughly 9.5 million shares of Occidental over the past week at a cost of nearly $530 million, according to a new regulatory filing late on Wednesday. After a buying spree that started in late February, Buffett’s investing conglomerate now owns roughly 152 million shares of Occidental—a 16.3% stake worth nearly $8.5 billion that makes Berkshire by far and away the largest shareholder in the energy giant. Shares of Occidental Petroleum failed to rally on the news Thursday, but it remains one of the best-performing stocks this year, rising over 90% thanks to the massive spike in oil … [Read more...] about Warren Buffett Adds To Massive Stake In Occidental Petroleum, Buying The Dip After Oil Prices Drop

- A + A (June 24): Oil prices rose slightly in early Asian trade on Friday (June 24) as nations seek to address global crude oil and fuel supply tightness. Brent crude futures had risen 39 cents, or 0.4%, to US$110.44 (about RM486.43) a barrel at 0012 GMT, while US West Texas Intermediate crude futures rose 37 cents, or 0.4%, to US$104.31 a barrel. OPEC and allied producing countries including Russia will likely stick to a plan for accelerated output increases in August in hopes of easing crude prices and inflation as US President Joe Biden plans to visit Saudi Arabia, sources said. The group known as OPEC+ agreed in its last meeting on June 2 to boost output by 648,000 barrels a day in July, or 7% of global demand, and by the same amount in August, up from the initial plan to add 432,000 barrels per day a month over three months until September. However, the group has struggled to hit the monthly increase targets due to underinvestment in oilfields by some OPEC … [Read more...] about Oil prices rise on tight supply, inventory uncertainty

- A + A (June 22): Oil plunged for the second time in a few days on concerns that a global economic slowdown will ultimately hobble demand. West Texas Intermediate tumbled toward US$103 a barrel, before paring some losses. Investors are concerned about the impact of sharply higher US interest rates, with Federal Reserve Chair Jerome Powell due to testify before Congress Wednesday on his bid to curb inflation raging at the fastest pace in decades. Prices are also surging outside the US, with UK inflation at a fresh 40-year high. Since a spike in prices after Russia invaded Ukraine, oil markets have been grappling with a liquidity crisis. Futures holdings are at the lowest since 2016, leaving headline prices prone to outsized swings. The US crude benchmark also fell below its 100-day moving average early on Wednesday for the first time since January, adding technical pressure to an already fragile market. While crude has been shaky over the past week, plunging 6.8% … [Read more...] about Crude oil buckles as recession angst rattles commodity investors

Share to Twitter Share to Linkedin Topline Energy stocks once again outperformed the rest of the market as oil and gas prices remain elevated due to inflation; despite ongoing risks to tight global supply such as Russia’s invasion of Ukraine, some experts are now predicting that prices will decline by next year. Key Facts Energy prices have been surging in recent months: Demand remains high but supply has been tight ever since the West imposed sanctions on Russian oil after the country’s invasion of Ukraine in late February. Despite their first weekly loss in over a month last Friday, oil prices jumped again on Tuesday: The price of U.S. benchmark West Texas Intermediate sits at nearly $111 per barrel, while international benchmark Brent crude trades at more than $114 per barrel. Major energy companies were among the best-performing stocks on Tuesday as the market rebounded from its worst week since March 2020, with the Dow gaining over … [Read more...] about Energy Stocks Jump As Oil Surges Again—Prices Will Remain Elevated Through Summer

- A + A (June 23): Oil retreated along with other key commodities as concern over a global economic slowdown intensified, with Federal Reserve Chair Jerome Powell warning that a US recession is possible. West Texas Intermediate sank below $103 a barrel after closing at a six-week low on Wednesday. The US benchmark has lost more than 15% since the close on June 8 as the drumbeat of warnings over the state of the world’s economy has grown steadily louder, drowning out signs the oil market remains tight. Powell said while he didn’t see the likelihood of a recession as particularly elevated, it was a possibility. Commodity price hikes were “clearly” connected to the war in Ukraine, he said. Crude’s retreat has been accompanied by deep losses in other raw materials, especially base metals such as copper. Oil is rapidly giving up its gains in what’s been a volatile quarter as investors attempt to gauge the trajectory of the US economy and its impact on raw materials. … [Read more...] about Crude oil sinks again as specter of US slowdown alarms investors

Representative image Trade Watchlist Portfolio Message Set Alert live bse live nse live Volume Todays L/H More × Shares of fast-moving consumer goods companies saw hefty buying on June 24 on the perception that ongoing decline in global commodity prices could improve profitability of these companies going ahead. FMCG companies had come under pressure earlier this year as rising prices of commodities, such as wheat, crude palm oil and others, led to fears of continued decline in margins of these companies. In the quarter ended March, most FMCG companies reported a year-on-year decline in their margins due to high input price inflation. However, recent decline in global commodity prices due to rising concerns over demand in the West and the government’s efforts to contain prices of key imports like edible oils have helped ease concerns around margins of these companies. … [Read more...] about FMCG stocks surge on easing concerns over margins

- A + A KUALA LUMPUR (June 23): CGS-CIMB Securities Sdn Bhd said on Thursday (June 23, 2022) crude palm oil's (CPO) price decline to below RM5,000 a tonne on Wednesday (June 22, 2022) was sharper than expected, possibly driven by slower global economic growth concerns and as CPO prices tracked price losses of crude oil and rival edible oils, besides taking cue from rising palm oil exports from Indonesia. "The benchmark active three-month futures palm oil contract for September [2022] delivery fell RM482/tonne, or 9.68%, to RM4,498/tonne, its sharpest daily loss since Jan 2020," CGS-CIMB analysts Ivy Ng Lee Fang and Nagulan Ravi wrote in a note. They said the declining CPO price trend is broadly in line with CGS-CIMB's expectation based on CGS-CIMB's 2022 and 2023 average CPO price forecasts of RM5,600 and RM3,800 a tonne respectively. CGS-CIMB's assumption is for CPO prices to average around RM5,000 per tonne in the second half of 2022 (2H22) versus RM6,391 a tonne … [Read more...] about CGS-CIMB: CPO price drop was sharper than expected

- A + A KUALA LUMPUR (June 24): Inflation in Malaysia is poised to catch up with neighbouring countries in the second half of this year, after relatively benign consumer price index (CPI) readings until April, thanks to the blanket fuel subsidy, low utilities prices and the inclusion of price-controlled items in the CPI basket. Across the Causeway, Singapore’s headline inflation hit 5.6% in May, the highest since November 2011, and up from 5.4% in April. Thailand and Indonesia also reported multi-year high inflation figures in May. In Malaysia, food prices are set to rise further after the removal of price caps for chicken and eggs, and the discontinuation of subsidy for bottled cooking oil, said economists. In addition to food — which has a 29.5% weightage in the CPI basket — the upcoming electricity surcharge review for the July-December period, the planned rationalisation of fuel subsidies and the ringgit’s weakness also post an upside risk to … [Read more...] about Malaysia’s inflation set to catch up with regional peers in 2H

- A + A KUALA LUMPUR (June 24): Kenanga Research expects crude palm oil (CPO) prices to stay firm, averaging at RM4,500 per tonne in 2022 and RM4,000 per tonne in 2023. In a note on Friday (June 24), the research house said the outlook is mainly based on supply needs, resilient demand for the golden commodity and supportive biofuel demand. “Current global edible oil tightness began when production dipped and failed to meet demand in 2020. Inventory slipped and continued doing so in 2021. “If the pending second-half season goes well, 2022's inventory should edge up year-on-year but unlikely to exceed 2019 levels,” it said. It also said that a favourable 2023 scenario is possible given that prices are still good but helpful weather is also needed, and Malaysia’s labour shortage does not curtail palm oil output substantially. Meanwhile, the research house said that demand for CPO continues to be resilient, underpinned by rising populations and affluence where … [Read more...] about Kenanga Research expects CPO prices to stay firm in 2022 and 2023