Iran tells Trump his tweets raised oil price

Iran tells Trump his tweets raised oil price

Global benchmark Brent slipped 28 cents to settle at $77.11 a barrel.

US crude was bullish after official data on Thursday showed inventories at Cushing, the delivery point for USA crude futures, fell to their lowest in 3-1/2 years.

Nonetheless, the potential trade war between the United States and China comes amid a tight oil market.

India is also facing US pressure, and despite an official stance that it will continue buying Iranian crude, some large buyers are already winding down imports on fears their access to American bank financing will be closed if they violate the sanctions.

The discount has halved to $5.54 a barrel on Friday from $11.57 in early June.

Futures dropped as much as 1.7 per cent in NY following the US Independence Day holiday.

"That has been exacerbated by the Canadian Syncrude outage.which has resulted in a scramble for supplies in the Midwest".

For the week, WTI was on track for a loss of about 0.4 percent while Brent was down about 3 percent.

"The UAE wants to have stability in the oil market and like other Opec countries doesn't want to have a shortage of global supply due to some countries seeing lower production in H2 2018, such as Iran", Malik said.

Although Saudi Arabia and Russian Federation have said they would raise output to make up for disruptions, FGE said "there simply is not enough capacity to make up for Iran's crude losses, plus Venezuela and Libya", and warned of the possibility of oil prices rising to $100 per barrel.

NAB said its oil price forecasts "point to Brent spending the next few months largely in the mid-to-high $70s (per barrel) range, although meaningful OPEC-Russia output increases could push prices lower later in the year and higher U.S. shale production should impose an upside limit on WTI". The joint Opec and non-Opec producers' committees will monitor overall compliance, Mazrouei said.

At the time, Trump tweeted that he spoke with Saudi Arabia's King Salman to ramp up oil production to lower prices. There was no settlement on Wednesday due to the USA holiday. That blunted the impact of an escalating U.S.

"You are hammering on good guys in OPEC", Kazempour said.

Iran has threatened to block oil exports through a key Gulf waterway in retaliation against any hostile U.S. action.

According to Commerzbank, OPEC now has just enough oil to meet global demands without Iran's supply. "OPEC has not defined oil prices for the past 30 years, it is a financial market and regional hubs for marker crudes who does it?"

In the U.S., crude imports rose to the highest level since February 2017, with crude coming from Canada at the highest on record. The last time there were sanctions against Iran, South Korea managed to score a waiver by pledging to cut the amount of crude it buys from Tehran. This is on the top of 1.5 mbpd of Venezuelan production lost during the last two years and another disruption expected from Libya due to rising conflicts.

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