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Market News International oil prices rebounded, although the IEA released large-scale reserves, it is difficult to match the figure
International oil prices rebounded, although the IEA released large-scale reserves, it is difficult to match the figure
On Thursday (April 7), international oil prices rebounded from a three-week low hit in the previous session, although some oil consuming countries announced the release of large emergency crude oil reserves, but worries about tight supply still clouded the market outlook. , the release of reserves will hardly make up for the potential supply loss of more than 2 million barrels per day in Russia.
2022-04-07
8049
On Thursday (April 7), international oil prices rebounded from a three-week low hit in the previous session, although some oil consuming countries announced the release of large emergency crude oil reserves, but worries about tight supply still clouded the market outlook. .
At 15:30 GMT+8, NYMEX crude oil futures rose 1.32% to $97.50 a barrel; ICE Brent crude futures rose 1.29% to $102.37 a barrel. Both markets hit their lowest daily levels since March 17, at $95.73 a barrel and $100.54 a barrel, respectively.
International Energy Agency (IEA) Director Birol said on Wednesday (April 6) that IEA member countries other than the United States agreed to release 60 million barrels of oil reserves, while Washington had announced last week that it would release 180 million barrels of oil reserves. The action is aimed at cooling off high oil prices following Russia's invasion of Ukraine.
But even with the release of emergency oil reserves, supplies remain tight, analysts and traders said. The release of oil by IEA members reflects strong political resolve to sanction Russian oil over Russia's invasion of Ukraine, but it is not enough to fill an actual supply shortfall.
Claudio Galimberti, senior vice president at consultancy Rystad Energy, said the release of reserves will hardly make up for the potential loss of supply in Russia of more than 2 million barrels per day. Doing so is just a drop in the bucket.”
National Australia Bank analyst Baden Moore said the latest release, combined with the coordinated release announced by the International Energy Agency on March 1, equates to an additional 1 million barrels per day (bpd) of supply from May to the end of 2022. Limit prices in the short term.
But he added: "An expected need to replenish reserves in 2023 adds to the tightness in the forward market, with the underlying supply outlook unchanged, skewing price risks to the upside."
Indirect talks between Iran and the United States to revive the 2015 nuclear deal stalled, further delaying the possibility of lifting sanctions on Iranian oil, keeping markets on edge. Negotiators said Tehran and Washington needed to make political decisions to resolve the remaining issues.
At 15:30 GMT+8, NYMEX crude oil futures rose 1.32% to $97.50 a barrel; ICE Brent crude futures rose 1.29% to $102.37 a barrel. Both markets hit their lowest daily levels since March 17, at $95.73 a barrel and $100.54 a barrel, respectively.
International Energy Agency (IEA) Director Birol said on Wednesday (April 6) that IEA member countries other than the United States agreed to release 60 million barrels of oil reserves, while Washington had announced last week that it would release 180 million barrels of oil reserves. The action is aimed at cooling off high oil prices following Russia's invasion of Ukraine.
But even with the release of emergency oil reserves, supplies remain tight, analysts and traders said. The release of oil by IEA members reflects strong political resolve to sanction Russian oil over Russia's invasion of Ukraine, but it is not enough to fill an actual supply shortfall.
Claudio Galimberti, senior vice president at consultancy Rystad Energy, said the release of reserves will hardly make up for the potential loss of supply in Russia of more than 2 million barrels per day. Doing so is just a drop in the bucket.”
National Australia Bank analyst Baden Moore said the latest release, combined with the coordinated release announced by the International Energy Agency on March 1, equates to an additional 1 million barrels per day (bpd) of supply from May to the end of 2022. Limit prices in the short term.
But he added: "An expected need to replenish reserves in 2023 adds to the tightness in the forward market, with the underlying supply outlook unchanged, skewing price risks to the upside."
Indirect talks between Iran and the United States to revive the 2015 nuclear deal stalled, further delaying the possibility of lifting sanctions on Iranian oil, keeping markets on edge. Negotiators said Tehran and Washington needed to make political decisions to resolve the remaining issues.
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