Published: Fri, November 09, 2018
Finance | By Cynthia Curry

Oil drops for a 10th day, a record losing streak

Oil drops for a 10th day, a record losing streak

"Opec and Russian Federation may use cuts to support US$70 per barrel", said Ole Hansen, head of commodity strategy at Saxo Bank.

A ministerial committee of some OPEC members and allies will on Sunday meet in Abu Dhabi to discuss the market and outlook for 2019.

The United States on Wednesday warned all ports and insurance companies to steer clear of Iranian ships, which it called a "floating liability" after the imposition of sweeping USA sanctions.

As of 10:18 a.m. EST, WTI front-month crude prices traded at $59.71 per barrel, or a 1.6 percent decline, while Brent front-month crude oil futures traded at $69.63 per barrel, or down 1.4 percent. Russian Federation and the Saudis have pledged to increase production to more than make up for any lost Iranian supplies. The group led by Saudi Arabia will gather in Abu Dhabi this weekend as they face a fresh surge of USA shale oil threatening to unleash a new surplus in 2019.

In London, Brent sank to a six-month low below US$70 a barrel.

U.S. West Texas Intermediate (WTI) crude futures were at $61.95 per barrel, up 28 cents, or 0.4 percent, from their previous settlement.

"I think that you're going to see even more sanctions coming into play over time and much tighter enforcement of the sanctions", Bolton told reporters in Paris. On Oct. 3 it closed at $76.41, the highest level in nearly four years.

Delhi air pollution: Hours before the 'emergency'
Gurgaon recorded "severe" air quality at 416, while it was "very poor" in Ghaziabad, Faridabad, Noida and Greater Noida. Shallow fog and haze during the daytime is also expected on Wednesday and Thursday.

The United States is warning other countries not to allow Iranian oil tankers into their ports, saying the tankers not only could incur penalties under us sanctions but may be courting "environmental disaster". Brent crude is the standard for worldwide oil prices and it has also fallen sharply over the last five weeks.

Any return to limiting supply would follow a June decision by the OPEC-led group to relax output curbs in place since 2017, after pressure from U.S. President Donald Trump to cool prices and make up for losses from Iran.

In the U.S., crude production increased to 11.6 million barrels per day last week, the highest level on record, according to Energy Information Administration data.

Inventories in the Cushing, Oklahoma facility this week had climbed by 3.07 million barrels, adding to the inventory builds this week.

According to EIA's data, the weekly production of US crude oil since January 2018 averaged about 10.6 million barrels per day. On Thursday, Nov. 8, 2018, Iranian state TV quoted the minster as predicting a painful time for global oil customers as USA sanctions take hold, saying waivers that Washington granted to eight major oil-importing countries are not enough for market demands.

Mr. Trump has repeatedly has asked oil producers to pump more crude to lower prices.

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