By Srinivas Chowdary Sunkara // petrobazaar // 11th Oct, 2018.
Shocking horror - Brent plunged 2.25 pct at $83.09 after losing $1.91 and U.S crude futures were down steeply by 2.39 pct or $1.79 to $73.17 last night. Both the crude markers posted above 1 % gain in the previous session. WTI is discounted to Brent at nearly 10 pct. Falling world's major equity markets along with the report of rise in U.S crude inventories during the last week weighed on oil prices yesterday. Worries were eased as the Hurricane Micheal spared oil assets from major damage in Gulf of Mexico also contributed to downside trend.
The current price down trend may cool off the hot air out of trump's latest tweets on higher oil prices. I dont think cold front of OPEC meets the hot air of Trump. Why should they? when they are comfortable and attracted to $80- $90. Now surely Mr.Donald sees the solution to his problem is to increase the U.S production instead of depending on the cartel, which is also indicated by EIA in its latest monthly report. On the other hand, Saudis are set to deliver extra 4 Mb of it oil to India in Nov. OPEC report is to be released today and EIA need to confirm API numbers during the late hours. Today, Asian markets are opened with gap down. Good day.
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