Oil prices dip as US crude stocks swell amid record production

Agencies
March 8, 2019

New York, Mar 8: Oil prices eased on Thursday, dragged down by record U.S. crude output and rising commercial fuel inventories.

U.S. West Texas Intermediate (WTI) crude oil futures were at $56.11 per barrel at 0033 GMT, down 11 cents, or 0.2 percent, from their last settlement.

Brent crude futures had yet to trade.

U.S. crude oil stockpiles rose much more than expected last week, with inventories up by 7.1 million barrels to 452.93 million barrels, according to a weekly report by the U.S. Energy Information Administration (EIA) on Wednesday.

U.S. crude oil production remained at a record 12.1 million barrels per day (bpd), an increase of more than 2 million bpd since early 2018.

Surging U.S. production is undermining efforts led by the Organization of the Petroleum Exporting Countries (OPEC) this year to withhold around 1.2 million bpd of supply to tighten markets and prop up prices.

"The balance between rising U.S. production and the OPEC+ efforts to stabilise prices with a production cut was broken by higher than expected U.S. inventories and the OECD warning of lower global growth impacting energy demand going forward," said Alfonso Esparza, senior analyst at futures brokerage OANDA.

The Organisation for Economic Co-Operation & Development (OECD) said on Wednesday the world economy would grow 3.3 percent in 2019, down 0.2 percentage points from the OECD's last set of forecasts in November.

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News Network
May 7,2020

Islamabad, May 7: Pakistan's COVID-19 cases have crossed 24,000 after 1,523 new infections were detected, while the death toll has jumped to 564 with 38 more people succumbing to the coronavirus, health officials said on Thursday.

Even as the country is seeing an increase in the number of coronavirus cases and fatalities, Prime Minister Imran Khan will discuss the easing of lockdown restrictions with his top aides on Thursday.

The Ministry of National Health Services said that out of the 24,073 total cases, Punjab reported 9,077, Sindh 8,640, Khyber-Pakhtunkhwa 3,712, Balochistan 1,495, Islamabad 521, Gilgit-Baltistan 388 and Pakistan-occupied Kashmir 76 cases.

After 38 more deaths on Wednesday, the total coronavirus patient death toll jumped to 564. Another 6,464 have recovered. A total of 1,523 new patients were added in a single day, the ministry.

So far, 244,778 tests have been conducted, including 12,196 in the last 24 hours, it said.

Prime Minister Khan will chair the National Coordination Committee (NCC) meeting on easing the lockdown restrictions in the country. The meeting will be attended by all chief ministers.

The issue was debated in the National Command and Operation Centre (NCOC) on Wednesday and in the Cabinet on Tuesday.

Planning Minister Asad Umar said that different proposals to allow certain businesses to open were prepared and will be presented before the Prime Minister for a final decision.

Earlier, Khan, undeterred by the mounting number of deaths and the new cases, announced that he was against a lockdown as it hits the poor people badly.

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News Network
March 12,2020

Geneva, Mar 12: For the global economy, virus repercussions were profound, with increasing concerns of wealth- and job-wrecking recessions. U.S. stocks wiped out more than all the gains from a huge rally a day earlier as Wall Street continued to reel.

The Dow Jones Industrial Average dropped 1,464 points, bringing it 20% below its record set last month and putting it in what Wall Street calls a “bear market.” The broader S&P 500 is just 1 percentage point away from falling into bear territory and bringing to an end one of the greatest runs in Wall Street’s history.

WHO officials said they thought long and hard about labeling the crisis a pandemic — defined as sustained outbreaks in multiple regions of the world.

The risk of employing the term, Ryan said, is “if people use it as an excuse to give up.” But the benefit is “potentially of galvanizing the world to fight.”

Underscoring the mounting challenge: soaring numbers in the U.S. and Europe’s status as the new epicenter of the pandemic. While Italy exceeds 12,000 cases and the United States has topped 1,300, China reported a record low of just 15 new cases Thursday and three-fourths of its infected patients have recovered.

China’s totals of 80,793 cases and 3,169 deaths are a shrinking portion of the world’s more than 126,000 infections and 4,600 deaths.

“If you want to be blunt, Europe is the new China,” said Robert Redfield, the head of the U.S. Centers for Disease Control and Prevention.

With 12,462 cases and 827 deaths, Italy said all shops and businesses except pharmacies and grocery stores would be closed beginning Thursday and designated billions in financial relief to cushion economic shocks in its latest efforts to adjust to the fast-evolving crisis that silenced the usually bustling heart of the Catholic faith, St. Peter’s Square.

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News Network
May 20,2020

Washington, May 20: Once dubbed as historic by him, US President Donald Trump on Tuesday said he now feels ‘differently’ about the trade deal he signed with China earlier this year.

He said this while once again venting out his frustration with the Beijing leadership, accusing it of letting coronavirus spread.

Till Tuesday, over 92,000 Americans have died and 1.5 million tested positive for coronavirus that has globally killed around 320,000 people.

The US and China had signed a deal in January to end their 22-month-long trade war during which the two countries slapped tit-for-tat tariff hikes on products worth nearly half a trillion USD.

Under it, Beijing agreed to increase its purchase of US goods by USD 200 billion in 2020-2021.

“I feel differently now about that deal than I did three months ago,” Trump told reporters during a Cabinet meeting at the White House.

“We will see what all happens, but it's been a very disappointing situation. A very disappointing thing happened with China because the plague flowed in and that wasn't supposed to happen and it could have been stopped," he said.

Trump said he was very excited when the trade deal with China was signed.

“But once the virus came in, once the plague, as I called it, came in, I said how did they let that happen? And how come it didn't go into other sections of China? Why did they block it from leaving Wuhan? But they didn't block it from going to the rest of the world, including the United States. Why is that? Beijing doesn't have it. Other places don't have it,” he said.

Trump did not respond to questions on retaliation against China.

Meanwhile, top American senators continued to press the administration that rules of engagement with China needs to change post-coronavirus.

“As we know, they unleashed this virus on America and the world with their classic communist cover-up, deception, continued propaganda campaign, costing now over 90,000 American lives, 35 million Americans losing their jobs so far,” Senator Martha McSally said during a Congressional hearing.

“We don’t know who patient zero is, they destroyed samples, they silenced doctors, they kicked out journalists, they impacted international travel to seed this and their reckless behaviour continues to be the root of all this,” she said.

As a result of coronavirus, the American economy has been thrown into recession; more than 36 million people have lost their job – the worst ever after last century’s great depression.

Many of the US states have now started opening up, after taking necessary precautions.

By conservative estimates, it will take several quarters for the economy to be back on track.

Trump in the last a few weeks has exuded confidence that the economy will be back on track next year.

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