
Oil Down In Asia On Oversupply Woes
Mohammad Ali (@ChaudhryMAli88) Published August 10, 2016 | 12:31 PM

SINGAPORE, (UrduPoint / Pakistan Point News - 10th Augst,2016) - Oil prices extended losses in Asia on Wednesday after industry data showed a rise in US crude stockpiles, supporting oversupply concerns. The American Petroleum Institute said overnight Tuesday that crude supply had increased by around 2.1 million barrels last week. Investors are now waiting for official data on US commercial crude stockpiles for the week ending August 5 due later Wednesday, which will give further indication of demand in the world's top oil consumer. "The API figures have added pressure on prices, which are likely to continue to fluctuate until we see official figures from the US Department of Energy later tonight," said IG Markets strategist Bernard Aw. At about 0445 GMT, US benchmark West Texas Intermediate for September was down five cents to $42.72 while Brent crude for October was unchanged at $44.98 a barrel. Oil prices have been fluctuating since entering a "bear" market last week, falling more than 20 percent and closing below $40 a barrel for the first time since April.
They rebounded after the Organization of the Petroleum Exporting Countries said Monday that it would hold talks on the sidelines of the International Energy Forum in Algeria from September 26 to 28, ahead of a planned meeting due at the end of November. The announcement was seen as a hint OPEC could take action to stabilise the crude market, amid rumours it may freeze output. "The crude supply overhang is going to keep the price from rallying too strongly," David Lennox, a resources analyst at Fat Prophets in Sydney, told Bloomberg news.
"Until we see supplies return to historical averages, significant price gains will be capped." Aw added there was instability in the market as investors remain unsure about what to expect from the OPEC meeting.
The last time OPEC met in April it could not come to an agreement about the production freeze and its members have been pumping crude at record high levels. "After twice in a row of not succeeding, the markets are more cautious, but I would say it is cautiously optimistic," Aw said.
Related Topics
Recent Stories

Gautam Gambhir praises Babar Azam's World Cup potential

Tareen vows to serve people if given chance

Fujairah Crown Prince attends Prophet Mohammed’s birthday commemoration

Sultan bin Ahmed witnesses agreement to implement 'Sharjah Sat-2'

COP28 Presidency tells United Nations General Assembly: “Climate change is our ..

ZHO disseminates sign language for deaf members of society, facilitate their emp ..

Abu Dhabi City Municipality hosts event promoting Beauty of Al Shamkha gardens

Nawaz Sharif did not escape from jail to fly to London, says Solangi

A Mighty Price-drop Comes to a Stellar realme C-Series Line-up

Sharjah Airport receives Saudi passengers with festive atmosphere

World Cup 2023: Indian Visa delay forces Pakistan to cancel 'team-bounding trip' ..

4th annual Emirates Oncology Society conference launched in Dubai
More Stories From Business
-
Far-right attitudes on rise in Germany
21 minutes ago -
Turkish stock exchange flat at Thursday open
31 minutes ago -
Weekly inflation goes up by 0.93 percent
31 minutes ago -
Thailand ready to finalize FTA with Pakistan to improve trade ties: Envoy
41 minutes ago -
Govt determined to break nexus of cartels: Kausar Abdullah
51 minutes ago -
Japan keen to develop trade ties with Pakistan: Ambassador Mitsuhiro
1 hour ago
-
FTO for growing role of regionalism in globalization transformation
1 hour ago -
Secretary holds meeting with SCCI president
2 hours ago -
T�rkiye's consumer sentiment improves in September
2 hours ago -
Work on Pak-Iran gas pipeline initiated: Muhammad Ali
7 hours ago -
Currency Rate In Pakistan - Dollar, Euro, Pound, Riyal Rates On 23 September 2023
10 hours ago -
Today Gold Rate in Pakistan 23 September 2023
10 hours ago