Commodity News
HeadLine : Oil prices edge down but set for biggest yearly rise since 2016
Date : Dec 31 2019
Oil prices edged lower on the final day of the year on Tuesday, but were on track for their biggest annual rise since 2016, supported by a thaw in U.S.-China trade dispute and ongoing supply cuts. Brent crude futures for March delivery (LCOc1), the new front month contract, were down 11 cents, or 0.2%, to 66.56 a barrel, while U.S. West Texas Intermediate (WTI) crude for February (CLc1) was down 11 cents, or 0.2%, at $61.57 per barrel. Brent for February delivery closed on Monday at $68.44. Brent has gained about 24% in 2019 and WTI has risen roughly 36% for the year. Both benchmarks are set for the biggest yearly gain in three years, backed by a breakthrough in U.S.-China trade talks and output cuts pledged by the Organization of Petroleum Exporting Countries (OPEC) and its allies. The White House's trade adviser said on Monday that the U.S.-China Phase 1 trade deal would likely be signed in the next week. Tensions remain high in the Middle East after U.S. air strikes on Sunday against the Katib Hezbollah militia group in Iraq and Syria. Operations resumed at Iraq's Nassiriya oilfield resumed on Monday after protesters briefly halted production. Looking ahead, U.S. crude inventories are expected to fall by about 3.2 million barrels in the week to Dec.27, heading for a third consecutive weekly fall, a preliminary Reuters poll showed on Monday. U.S. stockpiles fell by 5.5 million barrels in the week to Dec. 20. The figures will be released on Friday.

News Archives: