Market News International oil prices rose more than 1%, the United States wants to close a major loophole in sanctions against Russia
International oil prices rose more than 1%, the United States wants to close a major loophole in sanctions against Russia
On Wednesday (May 25), international oil prices rose more than 1%, as the West continued to strengthen the blockade of Russian crude oil exports, and US officials wanted to prevent India from buying Russian oil at low prices. And as the U.S. driving season is about to kick off, Americans are ignoring soaring retail gasoline prices. The global supply and demand situation is further tightened.
2022-05-25
12533
On Wednesday (May 25), international oil prices rose more than 1%, as the West continued to strengthen the blockade of Russian crude oil exports, and US officials wanted to prevent India from buying Russian oil at low prices. And as the U.S. driving season is about to kick off, Americans are ignoring soaring retail gasoline prices. The global supply and demand situation is further tightened.
At 16:54 GMT+8, NYMEX crude oil futures rose 1.19% to $111.08 a barrel; ICE Brent crude futures rose 1.15% to $114.86 a barrel.
France's new foreign minister, Colonna, said on Tuesday (May 24) that she was optimistic that those who remained opposed to the EU's new sanctions plan could be persuaded. The EU aims to phase out Russian oil exports to the bloc, and the deal will have the effect of cutting global supply.
Hungarian Prime Minister Orban has previously opposed a phased embargo on Russian oil imports. He wrote to the president of the European Council on May 23, saying that Budapest could not agree with (the plan) and that it was unlikely that a solution could be found at next week's meeting of EU heads of state.
"Self-sanctions have also contributed to supply shortages as the US and UK explicitly ban imports of Russian crude, and oil companies are reluctant to buy even without a formal legal impediment," Stephen Innes, managing partner at SPI Asset Management, said in a note.
In a bid to keep pressure on Russia's energy exports, a Biden administration official traveled to India on Tuesday to discuss U.S. sanctions on Russia with officials and private-sector executives as Washington tries to prevent India from buying cheap Russian oil, the U.S. Treasury said. .
India, the world's third-largest oil importer, saw its oil imports from Russia surge from 66,000 bpd in March to about 277,000 bpd in April, which Russia should sell at a discount to many Western countries and the company's crude oil.
Crude oil supplies are tightening as the U.S. begins the summer driving season, fueling demand for fuel as more Americans plan to hit the road despite high fuel prices to escape restrictions imposed by the coronavirus pandemic.
Even though the unit price of regular gasoline has risen 50% over the past year to a national average of nearly $4.60 a gallon, driver miles driven increased 5.6% in the first three months of the year, according to the AAA. The association also said some 39 million people will drive at least 50 miles over Memorial Day weekend, an 8.3 percent increase from a year earlier and close to pre-pandemic miles.
"Americans don't seem to have reacted significantly to high oil prices," said Patrick DeHaan, director of petroleum analysis at GasBuddy. The U.S. could soon see prices above $5, he said.
Analysts at JPMorgan Chase said refinery capacity is near the upper end of the reasonable utilization range, and if exports continue to grow significantly, U.S. retail retail gasoline prices could climb to $6 a gallon or more.
At 16:54 GMT+8, NYMEX crude oil futures rose 1.19% to $111.08 a barrel; ICE Brent crude futures rose 1.15% to $114.86 a barrel.
France's new foreign minister, Colonna, said on Tuesday (May 24) that she was optimistic that those who remained opposed to the EU's new sanctions plan could be persuaded. The EU aims to phase out Russian oil exports to the bloc, and the deal will have the effect of cutting global supply.
Hungarian Prime Minister Orban has previously opposed a phased embargo on Russian oil imports. He wrote to the president of the European Council on May 23, saying that Budapest could not agree with (the plan) and that it was unlikely that a solution could be found at next week's meeting of EU heads of state.
"Self-sanctions have also contributed to supply shortages as the US and UK explicitly ban imports of Russian crude, and oil companies are reluctant to buy even without a formal legal impediment," Stephen Innes, managing partner at SPI Asset Management, said in a note.
In a bid to keep pressure on Russia's energy exports, a Biden administration official traveled to India on Tuesday to discuss U.S. sanctions on Russia with officials and private-sector executives as Washington tries to prevent India from buying cheap Russian oil, the U.S. Treasury said. .
India, the world's third-largest oil importer, saw its oil imports from Russia surge from 66,000 bpd in March to about 277,000 bpd in April, which Russia should sell at a discount to many Western countries and the company's crude oil.
Crude oil supplies are tightening as the U.S. begins the summer driving season, fueling demand for fuel as more Americans plan to hit the road despite high fuel prices to escape restrictions imposed by the coronavirus pandemic.
Even though the unit price of regular gasoline has risen 50% over the past year to a national average of nearly $4.60 a gallon, driver miles driven increased 5.6% in the first three months of the year, according to the AAA. The association also said some 39 million people will drive at least 50 miles over Memorial Day weekend, an 8.3 percent increase from a year earlier and close to pre-pandemic miles.
"Americans don't seem to have reacted significantly to high oil prices," said Patrick DeHaan, director of petroleum analysis at GasBuddy. The U.S. could soon see prices above $5, he said.
Analysts at JPMorgan Chase said refinery capacity is near the upper end of the reasonable utilization range, and if exports continue to grow significantly, U.S. retail retail gasoline prices could climb to $6 a gallon or more.
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