Oil
Crude Oil Back Positive After Down to $ 97
Thursday, March 17, 2011 14:53
Crude futures recovered from a sharp drop below $ 97 per barrel Thursday and returned to positive path, after Japan's largest utility said it hoped to restore power to nuclear power Fukushima Daiichi affected by the earthquake in a few hours.
Feedback Tokyo Electric Power Co. '(9501.TO) close to reactor coolant at risk krisis help calm the market, previously confused with the statement that top U.S. officials responsible for the regulation of nuclear power which signals the possibility of atomic krisis worse than previously thought .
On the New York Mercantile Exchange, light, sweet crude futures for delivery in April was trading at $ 98.60 a barrel at 6:58 PM local time, up $ 0.62 on the Globex electronic session.
That represents a major recovery after the offense level of support for $ 97 within the first hour of trading pushed the major liquidation of ownership, driving the front month contract to an intraday low $ 96.60 a barrel at 22:53 GMT local time.
Oil Brent crude on London's ICE Futures exchange for May rose $ 0.70 to $ 111.30 per barrel, after earlier hitting an intraday low $ 109.45.
The oil market was watching developments in Japan as the country's third largest oil user after the United States and China, consumed about 4.4 million barrels of crude a day.
Traders sell crude oil futures in recent days, given the lack of clarity about how big the impact of the earthquake and tsunami last Friday for an economic slowdown in Japan and for how long.
"The reaction from the oil market to the Japanese earthquake excessive, in our view, given the increasing demand for oil due to the potential permanent loss of nuclear capacity far exceeds the short-term negative impact on demand," said Amrita Sen, an oil analyst at Barclays Capital.
Petroleum Association of Japan said Thursday that the processing of crude oil in the country is expected to recover to 3.4 million barrels per day by the end of the month, from 2.7 million barrels per day immediately after the quake.
Which has allowed the traders to measure the output lost at 600,000 barrels per day, although Japan may will require additional volumes of fuel to digunakan dalam power to ensure thermal coal supply while the damaged and nuclear power plants offline.
The PAJ said it had canceled 650 000 kiloleters exports of oil products after the earthquake, and that it also may need to import 450 000 kiloleters at the end of the month to help close the gap in domestic supply.
Refiners in South Korea are among those hiking exports to Japan. S-Oil Corp. (010950.SE) said Thursday it plans to supply 2.4 million barrels of oil products to the Japanese refining industry. Japan has also formally asked Indonesia to send additional liquefied natural gas and crude oil.
Support for the oil price is also from the Middle East and North Africa. Bahraini security forces to crack down on protesters on Wednesday to expel them from the center of the capital Manama, and imposed a curfew in many towns, as the island kingdom effort that seeks to end the demonstrations weekly.
Libya has intensified between the rebels and the approach of the ruling regime. Moammar Gadhafi troops attacked the last major town held by rebels in western Libya and expand the area of rebels near the eastern capital of Benghazi, because the government gained momentum in its efforts to reassert control.
However, this is not a view that makes the sale of oil-corrected excess.
This is a sign of how the commodity markets continued to nervously, oil fell sharply after Gregory Jaczko, chairman of the Nuclear Regulatory Commission, said the pool of fuel in reaktor fourth nuclear power plant in Fukushima Daiichi in Japan have lost all or most of the water and the radiation level is "very high. "
Given the risks, Jaczko said the U.S. would recommend "larger radius" for the evacuation of the Japanese.
Jim Ritterbusch, president of advisory firm Ritterbusch & Associates oil trade, believes that the decline in oil futures still has some way to go, perhaps to $ 95/bbl, as global equity markets fell following the bad news continues to flow out of Japan.
Dow Jones Industrial Average closed 242.12 points lower on Wednesday, or 2.04%. In Asia on Thursday, the Nikkei Stock Average fell 2.2%, Australia's S & P / ASX 200 flat, and South Korea's Kospi Composite down 0.7%.
Nymex reformulated gasoline blendstock for April - the benchmark gasoline contract - rose 72 points to $ 2.8509 a gallon, while April heating oil traded at $ 3.0100, 128 points higher.
ICE gasoil for May switch to $ 958.50 per metric ton, down $ 0.50 from the position Wednesday.
Crude Oil Back Positive After Down to $ 97
Thursday, March 17, 2011 14:53
Crude futures recovered from a sharp drop below $ 97 per barrel Thursday and returned to positive path, after Japan's largest utility said it hoped to restore power to nuclear power Fukushima Daiichi affected by the earthquake in a few hours.
Feedback Tokyo Electric Power Co. '(9501.TO) close to reactor coolant at risk krisis help calm the market, previously confused with the statement that top U.S. officials responsible for the regulation of nuclear power which signals the possibility of atomic krisis worse than previously thought .
On the New York Mercantile Exchange, light, sweet crude futures for delivery in April was trading at $ 98.60 a barrel at 6:58 PM local time, up $ 0.62 on the Globex electronic session.
That represents a major recovery after the offense level of support for $ 97 within the first hour of trading pushed the major liquidation of ownership, driving the front month contract to an intraday low $ 96.60 a barrel at 22:53 GMT local time.
Oil Brent crude on London's ICE Futures exchange for May rose $ 0.70 to $ 111.30 per barrel, after earlier hitting an intraday low $ 109.45.
The oil market was watching developments in Japan as the country's third largest oil user after the United States and China, consumed about 4.4 million barrels of crude a day.
Traders sell crude oil futures in recent days, given the lack of clarity about how big the impact of the earthquake and tsunami last Friday for an economic slowdown in Japan and for how long.
"The reaction from the oil market to the Japanese earthquake excessive, in our view, given the increasing demand for oil due to the potential permanent loss of nuclear capacity far exceeds the short-term negative impact on demand," said Amrita Sen, an oil analyst at Barclays Capital.
Petroleum Association of Japan said Thursday that the processing of crude oil in the country is expected to recover to 3.4 million barrels per day by the end of the month, from 2.7 million barrels per day immediately after the quake.
Which has allowed the traders to measure the output lost at 600,000 barrels per day, although Japan may will require additional volumes of fuel to digunakan dalam power to ensure thermal coal supply while the damaged and nuclear power plants offline.
The PAJ said it had canceled 650 000 kiloleters exports of oil products after the earthquake, and that it also may need to import 450 000 kiloleters at the end of the month to help close the gap in domestic supply.
Refiners in South Korea are among those hiking exports to Japan. S-Oil Corp. (010950.SE) said Thursday it plans to supply 2.4 million barrels of oil products to the Japanese refining industry. Japan has also formally asked Indonesia to send additional liquefied natural gas and crude oil.
Support for the oil price is also from the Middle East and North Africa. Bahraini security forces to crack down on protesters on Wednesday to expel them from the center of the capital Manama, and imposed a curfew in many towns, as the island kingdom effort that seeks to end the demonstrations weekly.
Libya has intensified between the rebels and the approach of the ruling regime. Moammar Gadhafi troops attacked the last major town held by rebels in western Libya and expand the area of rebels near the eastern capital of Benghazi, because the government gained momentum in its efforts to reassert control.
However, this is not a view that makes the sale of oil-corrected excess.
This is a sign of how the commodity markets continued to nervously, oil fell sharply after Gregory Jaczko, chairman of the Nuclear Regulatory Commission, said the pool of fuel in reaktor fourth nuclear power plant in Fukushima Daiichi in Japan have lost all or most of the water and the radiation level is "very high. "
Given the risks, Jaczko said the U.S. would recommend "larger radius" for the evacuation of the Japanese.
Jim Ritterbusch, president of advisory firm Ritterbusch & Associates oil trade, believes that the decline in oil futures still has some way to go, perhaps to $ 95/bbl, as global equity markets fell following the bad news continues to flow out of Japan.
Dow Jones Industrial Average closed 242.12 points lower on Wednesday, or 2.04%. In Asia on Thursday, the Nikkei Stock Average fell 2.2%, Australia's S & P / ASX 200 flat, and South Korea's Kospi Composite down 0.7%.
Nymex reformulated gasoline blendstock for April - the benchmark gasoline contract - rose 72 points to $ 2.8509 a gallon, while April heating oil traded at $ 3.0100, 128 points higher.
ICE gasoil for May switch to $ 958.50 per metric ton, down $ 0.50 from the position Wednesday.
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