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A fire at an oil depot in Russias Krasnodar region has been put out, regional authorities said.Honda Motor rose in the short term, with the increase expanding to 8%; Nissan Motor plunged in the short term, turning from a rise to a drop of more than 4%.Honda Motors rose in the short term, with the increase expanding to 8%, while Nissan Motors plunged in the short term, turning from rising to falling by more than 4%.On February 5, DeepSeek impacted the AI supply chain. DIGITIMES Research stated that DeepSeek will not impact the AI chip market demand in 2025. In 2025, the global semiconductor industrys revenue will continue the trend of 2024, with an expected annual increase of 13.4% to reach a peak of US$714 billion.Futures News on February 5th: During the holiday, the overall demand for gasoline was acceptable, mainly supported by the expansion of public travel and the accelerated consumption rate of demand. The downstream mainly consumed the previous stocking inventory. Although the terminal consumption of diesel was limited, it was basically operated with low inventory. Therefore, the downstream stocking demand after the holiday supported the market price. However, considering that the trend of crude oil is not optimistic, the expectation of this round of price adjustment is initially stranded, and the expectation of the next round of price adjustment starts with a negative value, which has obviously suppressed the market price, and the market wait-and-see sentiment is difficult to eliminate. Taking all factors into consideration, it is expected that the price of gasoline and diesel will be mainly stable and weak after the holiday, and the downstream will maintain a medium-low inventory operation first.

Oil costs increase as supply restrictions trump economic worries

Charlie Brooks

Jul 05, 2022 11:12


Oil prices climbed on Monday as supply worries spurred by a decrease in OPEC production, unrest in Libya, and sanctions against Russia trumped fears of a worldwide recession that would diminish demand.


In June, Euro zone inflation hit an all-time high, boosting the case for rapid rate rises by the European Central Bank, while consumer sentiment in the United States reached an all-time low.


Brent oil rose $2.26, or 2%, to $113.89 a barrel as of 12:47 p.m. ET (1648 GMT), after shedding more than $1 in early trading. The price of U.S. West Texas Intermediate (WTI) crude rose $2.20, or 2%, to $110.63 despite the lack of trading activity over the Fourth of July holiday.


According to a Reuters survey, the Organization of the Petroleum Exporting Countries (OPEC) failed to meet its June goal of increasing production.


Thursday, authorities in OPEC member Libya declared force majeure at the Es Sidr and Ras Lanuf ports and the El Feel oilfield, claiming a reduction of 865,000 barrels per day in oil output (bpd).


Meanwhile, more than two weeks of unrest have caused Ecuador to lose almost 2 million barrels of production, according to Petroecuador, the country's state-owned oil company.


This week, a strike in Norway may restrict supply from the biggest oil producer in Western Europe and reduce overall petroleum production by 8 percent.


"This background of rising supply interruptions clashes with a probable shortage of spare production capacity among Middle Eastern oil producers," said Stephen Brennock of oil trader PVM, referring to the producers' limited ability to pump more oil.


And prices will climb if new oil production does not reach the market shortly.


On Monday, British Prime Minister Boris Johnson asked OPEC+ to raise oil output to tackle the growing cost of living.


As a consequence of Russia's invasion of Ukraine, supply concerns have sent Brent oil prices close to 2008's record high of $147 a barrel.


As a consequence of restrictions on Russian oil and limited gas supplies, surging energy prices have driven inflation in certain countries to multi-decade highs and stoked fears of a recession.


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