Crude Oil MCX yesterday settled up by 1.11% at 2920 as the latest tropical storm in the Gulf of Mexico lost strength, but worries about fuel demand persisted with flare-ups around the globe in coronavirus cases.
U.S. crude oil mcx stockpiles likely fell last week, and gasoline stockpiles were expected to have fallen for a seventh consecutive week. U.S. crude oil production rose last week for the second week in a row, growing to 10.9 million barrels per day, the U.S. Energy Information Administration said.
Meanwhile, crude inventories fell to 496 million barrels, their lowest since April, the data showed. Gasoline inventories also fell, dropping to 231.5 million barrels, their lowest since November.
U.S. oil output from seven major shale formations is expected to decline by about 68,000 barrels per day (bpd) in October to 7.64 million bpd, the U.S. Energy Information Administration (EIA) said.
Output at every formation is expected to fall in October, except the Permian basin of Texas and New Mexico, where production is expected to rise by about 23,000 bpd to 4.17 million bpd, the data showed.
That would be the smallest increase since production declined in May, the data showed. A record amount of U.S. crude oil is likely to be discharged at Chinese ports this month, and then volumes are likely to fall off sharply as the relative price advantage enjoyed by U.S. exporters fades.
Read More :