Commodities and Futures News

Oil prices slip as Red Sea supply worries ease, U.S. inventories rise

2023.12.28 10:42


© Reuters.

Investing.com — Oil prices retreated Thursday as concerns surrounding supply disruptions through the crucial Red Sea region eased, while stockpiles continued to grow.

By 09:00 ET (14.00 GMT), the U.S. crude futures traded 0.6% lower at $73.67 a barrel and the contract dropped 0.6% to $79.05 a barrel.

Maersk returns to the Red Sea

Many shipping companies stopped using Red Sea routes earlier this month after Yemen’s Houthi militant group began targeting vessels, disrupting global trade and adding a risk premium to the crude market.

Although Germany’s Hapag-Lloyd said on Wednesday that it considered the route still too dangerous, shipping giant Maersk will sail almost all container vessels travelling between Asia and Europe through the Suez Canal, according to the group’s schedule.

That said, tensions remain elevated in the region as Israel has escalated its ground war in Gaza sharply, indicating that the war would last for months.

U.S. inventories grow again 

Also weighing on the market was data from the industry group on Wednesday showing U.S. crude stocks rose 1.84 million barrels in the week ended Dec. 22.

Official numbers from the are due later Thursday, a day later than usual following the Christmas holiday, after having risen by 2.9 million barrels the prior week as U.S. crude output rose to a record 13.3 million barrels per day.

A series of builds in U.S inventories over the past few weeks have rattled oil markets, especially as rising gasoline and distillate stockpiles pointed to cooling fuel demand in the largest consumer in the world.

Oil set for 2023 losses

Brent and WTI benchmark contracts are still set to lose around over 8% each in 2023. 

Concerns over top importer China – as an economic rebound failed to materialize – were a major weight on prices, as were fears of a slowdown in global crude demand due to high interest rates to combat inflation impacting economic activity.

 

Source link

Related Articles

Back to top button
bitcoin
Bitcoin (BTC) $ 103,042.61 1.72%
ethereum
Ethereum (ETH) $ 2,321.27 11.69%
tether
Tether (USDT) $ 1.00 0.01%
xrp
XRP (XRP) $ 2.35 4.42%
bnb
BNB (BNB) $ 635.94 2.79%
solana
Solana (SOL) $ 171.48 7.07%
usd-coin
USDC (USDC) $ 1.00 0.01%
dogecoin
Dogecoin (DOGE) $ 0.204338 7.34%
cardano
Cardano (ADA) $ 0.780239 5.87%
tron
TRON (TRX) $ 0.261665 2.74%
staked-ether
Lido Staked Ether (STETH) $ 2,320.11 11.74%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 103,033.61 1.68%
sui
Sui (SUI) $ 3.90 0.27%
chainlink
Chainlink (LINK) $ 15.95 3.68%
avalanche-2
Avalanche (AVAX) $ 23.09 8.55%
wrapped-steth
Wrapped stETH (WSTETH) $ 2,792.20 12.00%
stellar
Stellar (XLM) $ 0.294897 4.04%
shiba-inu
Shiba Inu (SHIB) $ 0.000015 7.23%
hedera-hashgraph
Hedera (HBAR) $ 0.200578 5.10%
hyperliquid
Hyperliquid (HYPE) $ 24.99 13.91%
the-open-network
Toncoin (TON) $ 3.27 2.91%
bitcoin-cash
Bitcoin Cash (BCH) $ 408.58 2.11%
leo-token
LEO Token (LEO) $ 8.75 0.74%
usds
USDS (USDS) $ 1.00 0.01%
litecoin
Litecoin (LTC) $ 98.99 6.84%
polkadot
Polkadot (DOT) $ 4.76 10.30%
weth
WETH (WETH) $ 2,316.51 11.42%
monero
Monero (XMR) $ 310.70 6.54%
wrapped-eeth
Wrapped eETH (WEETH) $ 2,471.09 11.76%
bitget-token
Bitget Token (BGB) $ 4.48 0.84%
binance-bridged-usdt-bnb-smart-chain
Binance Bridged USDT (BNB Smart Chain) (BSC-USD) $ 1.00 0.05%
pepe
Pepe (PEPE) $ 0.000012 17.29%
pi-network
Pi Network (PI) $ 0.719884 12.91%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.01%
coinbase-wrapped-btc
Coinbase Wrapped BTC (CBBTC) $ 103,003.60 1.67%
whitebit
WhiteBIT Coin (WBT) $ 30.33 1.00%
uniswap
Uniswap (UNI) $ 6.29 13.48%
bittensor
Bittensor (TAO) $ 427.06 2.76%
near
NEAR Protocol (NEAR) $ 2.88 10.35%
dai
Dai (DAI) $ 1.00 0.00%
aptos
Aptos (APT) $ 5.50 4.23%
okb
OKB (OKB) $ 53.71 2.05%
ondo-finance
Ondo (ONDO) $ 1.01 6.50%
aave
Aave (AAVE) $ 209.14 6.89%
susds
sUSDS (SUSDS) $ 1.05 0.00%
crypto-com-chain
Cronos (CRO) $ 0.101536 5.01%
ethereum-classic
Ethereum Classic (ETC) $ 19.03 6.47%
official-trump
Official Trump (TRUMP) $ 14.41 16.49%
blackrock-usd-institutional-digital-liquidity-fund
BlackRock USD Institutional Digital Liquidity Fund (BUIDL) $ 1.00 0.00%
internet-computer
Internet Computer (ICP) $ 5.38 6.79%