Latest news with #Kilduff
The Star
2 days ago
- Business
- The Star
Oil edges down on easing Middle East risks but gains for a second month
HOUSTON: Oil prices edged down on Monday as investors weighed easing Middle East risks and a possible OPEC+ output increase in August. Both Brent and U.S. crude oil benchmarks posted their biggest weekly declines since March 2023 last week but rose for the second consecutive month, gaining around 6% and 7% respectively. Brent futures settled down 16 cents, or 0.2%, to $67.61 a barrel and expired on Monday. The more active September contract ended at $66.74. U.S. West Texas Intermediate crude settled down 41 cents, or 0.6%, at $65.11 a barrel. A 12-day war that started with Israel targeting Iran's nuclear facilities on June 13 sent prices above $80 a barrel before sliding back to $67. "This ceasefire that was quickly engineered appears to be holding up, so the supply risk premium that was in place is continuing to be withdrawn in a rapid fashion," said John Kilduff, a partner at Again Capital. Meanwhile, U.S. crude oil production hit a record 13.47 million barrels per day in April, up from 13.45 million bpd in March, according to data released by the Energy Information Administration as part of its Petroleum Supply Monthly series. The record U.S. oil production was adding to the bearish sentiment on Monday, Kilduff added. OPEC+ SET TO BOOST PRODUCTION IN AUGUST Four OPEC+ sources told Reuters last week that the group was set to boost production by 411,000 bpd in August after similar increases for May, June and July. If the increase is agreed, it would bring the total rise in supply from OPEC+ to 1.78 million bpd so far this year, equivalent to over 1.5% of total global demand. "I believe this potential supply pressure remains under-priced, leaving crude vulnerable to further weakness," said Ole Hansen, head of commodity strategy at Saxo Bank. The oil producer group is set to meet again on July 6. Some market tightness remains despite rising output, however, said Giovanni Staunovo, analyst at UBS. A Reuters survey found that OPEC oil output rose in May, but gains were limited by cuts by countries that had previously exceeded their quotas. Saudi Arabia and the United Arab Emirates, meanwhile, made smaller increases than allowed. Kazakhstan, which has persistently exceeded quotas set by OPEC+, may exceed its previous oil production forecast by around 2% this year following an upgrade to output at its largest Caspian oilfields, Reuters calculations, based on data from state-owned energy company KazMunayGaz, showed. A survey of 40 economists and analysts in June forecast Brent crude will average $67.86 per barrel in 2025, up from May's $66.98 forecast, while U.S. crude is seen at $64.51, above last month's $63.35 estimate. - Reuters
New Straits Times
2 days ago
- Business
- New Straits Times
Oil edges down on easing Middle East risks but gains for a second month
HOUSTON: Oil prices edged down on Monday as investors weighed easing Middle East risks and a possible OPEC+ output increase in August. Both Brent and US crude oil benchmarks posted their biggest weekly declines since March 2023 last week but rose for the second consecutive month, gaining around 6 per cent and 7 per cent respectively. Brent futures settled down 16 cents, or 0.2 per cent, to US$67.61 a barrel and expired on Monday. The more active September contract ended at US$66.74. US West Texas Intermediate crude settled down 41 cents, or 0.6 per cent, at US$65.11 a barrel. A 12-day war that started with Israel targeting Iran's nuclear facilities on June 13 sent prices above US$80 a barrel before sliding back to US$67. "This ceasefire that was quickly engineered appears to be holding up, so the supply risk premium that was in place is continuing to be withdrawn in a rapid fashion," said John Kilduff, a partner at Again Capital. Meanwhile, US crude oil production hit a record 13.47 million barrels per day in April, up from 13.45 million bpd in March, according to data released by the Energy Information Administration as part of its Petroleum Supply Monthly series. The record US oil production was adding to the bearish sentiment on Monday, Kilduff added. OPEC+ SET TO BOOST PRODUCTION IN AUGUST Four OPEC+ sources told Reuters last week that the group was set to boost production by 411,000 bpd in August after similar increases for May, June and July. If the increase is agreed, it would bring the total rise in supply from OPEC+ to 1.78 million bpd so far this year, equivalent to over 1.5 per cent of total global demand. "I believe this potential supply pressure remains under-priced, leaving crude vulnerable to further weakness," said Ole Hansen, head of commodity strategy at Saxo Bank. The oil producer group is set to meet again on July 6. Some market tightness remains despite rising output, however, said Giovanni Staunovo, analyst at UBS. A Reuters survey found that OPEC oil output rose in May, but gains were limited by cuts by countries that had previously exceeded their quotas. Saudi Arabia and the United Arab Emirates, meanwhile, made smaller increases than allowed. Kazakhstan, which has persistently exceeded quotas set by OPEC+, may exceed its previous oil production forecast by around 2 per cent this year following an upgrade to output at its largest Caspian oilfields, Reuters calculations, based on data from state-owned energy company KazMunayGaz, showed. A survey of 40 economists and analysts in June forecast Brent crude will average US$67.86 per barrel in 2025, up from May's US$66.98 forecast, while US crude is seen at US$64.51, above last month's US$63.35 estimate.
Business Times
2 days ago
- Business
- Business Times
Oil edges down on easing Middle East risks but gains for a second month
[HOUSTON] Oil prices edged down on Monday as investors weighed easing Middle East risks and a possible Opec+ output increase in August. Both Brent and US crude oil benchmarks posted their biggest weekly declines since March 2023 last week but rose for the second consecutive month, gaining around 6 per cent and 7 per cent respectively. Brent futures settled down 16 cents, or 0.2 per cent, to US$67.61 a barrel and expired on Monday. The more active September contract ended at US$66.74. US West Texas Intermediate crude settled down 41 cents, or 0.6 per cent, at US$65.11 a barrel. A 12-day war that started with Israel targeting Iran's nuclear facilities on June 13 sent prices above US$80 a barrel before sliding back to US$67. 'This ceasefire that was quickly engineered appears to be holding up, so the supply risk premium that was in place is continuing to be withdrawn in a rapid fashion,' said John Kilduff, a partner at Again Capital. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Meanwhile, US crude oil production hit a record 13.47 million barrels per day in April, up from 13.45 million bpd in March, according to data released by the Energy Information Administration as part of its Petroleum Supply Monthly series. The record US oil production was adding to the bearish sentiment on Monday, Kilduff added. Opec+ set to boost production in August Four Opec+ sources told Reuters last week that the group was set to boost production by 411,000 bpd in August after similar increases for May, June and July. If the increase is agreed, it would bring the total rise in supply from Opec+ to 1.78 million bpd so far this year, equivalent to over 1.5 per cent of total global demand. 'I believe this potential supply pressure remains under-priced, leaving crude vulnerable to further weakness,' said Ole Hansen, head of commodity strategy at Saxo Bank. The oil producer group is set to meet again on July 6. Some market tightness remains despite rising output, however, said Giovanni Staunovo, analyst at UBS. A Reuters survey found that Opec oil output rose in May, but gains were limited by cuts by countries that had previously exceeded their quotas. Saudi Arabia and the United Arab Emirates, meanwhile, made smaller increases than allowed. Kazakhstan, which has persistently exceeded quotas set by Opec+, may exceed its previous oil production forecast by around 2 per cent this year following an upgrade to output at its largest Caspian oilfields, Reuters calculations, based on data from state-owned energy company KazMunayGaz, showed. A survey of 40 economists and analysts in June forecast Brent crude will average US$67.86 per barrel in 2025, up from May's US$66.98 forecast, while US crude is seen at US$64.51, above last month's US$63.35 estimate. REUTERS
Qatar Tribune
24-06-2025
- Business
- Qatar Tribune
Oil falls over 7% as Iran focuses retaliation on US military base
Agencies New York Oil prices sank more than seven percent on Monday after Iran attacked a US military base in neighboring Qatar in retaliation for US weekend strikes on Iranian nuclear facilities. Futures for West Texas Intermediate fell 7.42 percent to $68.36 a barrel, while Brent oil futures dropped 7.34 percent to $71.36 a barrel, its lowest level in 10 days. A US defence official said there were no known American casualties from the incident, which analysts said did not appear to be near key oil infrastructure. John Kilduff of Again Capital described the Iranian action as 'somewhat measured' and apart from population centers. 'This is a face-saving measure by the Iranians and hopefully the diplomatic off-ramp will be taken,' Kilduff said. The Iran-Israel clash has focused worry on the Strait of Hormuz, a strategic waterway for seaborne oil that has long been used by Iran as a geopolitical bargaining chip. Tehran has for decades threatened to close the strait every time tensions soared, but never acted on its warning. But Kilduff said, 'it's pretty clear that this is not going to turn into – right away at least – any kind of impact on oil flows in the region, particularly the Strait of Hormuz.' President Donald Trump on Monday also demanded that 'everyone' keep oil prices down or they would play 'into the hands of the enemy,' as the conflict in the Middle East escalates following US strikes on Iran. Trump's message comes after the US bombed Iran's key nuclear sites over the weekend, putting the world on edge that the Islamic Republic might target energy supplies in the Middle East and cause a spike in global oil prices. It wasn't clear who specifically Trump was speaking to in his post, though he seemed to be addressing the US oil industry. Some oil companies had warned earlier in the year that they might have to cut production after prices tumbled to multiyear lows on Trump's tariffs and OPEC+ boosting supply. 'To The Department of Energy: DRILL, BABY, DRILL!!! And I mean NOW!!!,' Trump said in a subsequent post on Monday. Oil production decisions in the U.S. are made by private companies in response to market dynamics. The Energy Department does not drill for oil. 'As the President said, producers must keep oil prices down or risk playing into the hands of the enemy,' White House spokesperson Harrison Fields said when asked who Trump was addressing. Equities remained restrained, with the dollar getting a modest safe-haven bid and no sign of a rush to bonds. Some market participants hoped Iran might back down, with its nuclear ambitions curtailed, or even that regime change might bring a less hostile government to power there. 'That said, any sign of Iranian retaliation or threat to the Strait of Hormuz could quickly shift sentiment and force markets to reprice geopolitical risk more aggressively,' said Charu Chanana, chief investment strategist at Saxo. The Strait of Hormuz is only about 33 km wide at its narrowest point and around a quarter of global oil trade and 20 percent of liquefied natural gas supplies passthrough it. Analysts at JPMorgan cautioned that past episodes of regime change in the region typically resulted in oil prices spiking by as much as 76 percent and averaging a 30 percent rise over time. Goldman Sachs warned prices could temporarily touch $110 a barrel should the critical waterway be closed for a month. World share markets, especially in Asia, struggled. MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.9 percent, dragged down by shares in Taiwan which closed 1.42 percent lower, while Chinese blue chips closed higher 0.3 percent and Japan's Nikkei eased 0.1 percent. Japan's manufacturing activity data on Monday showed a return to growth in June after nearly a year of contraction, but demand conditions remain.
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First Post
23-06-2025
- Business
- First Post
Oil prices plunge over 6% after Iran's missile strike on US base in Qatar
Oil prices sank more than 6 per cent Monday after Iran attacked a US military base in neighboring Qatar in retaliation for US weekend strikes on Iranian nuclear facilities read more A pumpjack operates at the Vermilion Energy site in Trigueres, France, on June 14, 2024. Reuters File Oil prices sank more than six percent Monday after Iran attacked a US military base in neighboring Qatar in retaliation for US weekend strikes on Iranian nuclear facilities. Near 1815 GMT, futures for West Texas Intermediate fell 6.5 per cent to $69.96 a barrel, while Brent oil futures dropped 6.4 per cent to $72.07 a barrel, its lowest level in 10 days. A US defence official said there were no known American casualties from the incident, which analysts said did not appear to be near key oil infrastructure. STORY CONTINUES BELOW THIS AD John Kilduff of Again Capital described the Iranian action as 'somewhat measured' and apart from population centers. 'This is a face-saving measure by the Iranians and hopefully the diplomatic off-ramp will be taken,' Kilduff said. The Iran-Israel clash has focused worry on the Strait of Hormuz, a strategic waterway for seaborne oil that has long been used by Iran as a geopolitical bargaining chip. Tehran has for decades threatened to close the strait every time tensions soared, but never acted on its warning. But Kilduff said, 'it's pretty clear that this is not going to turn into – right away at least – any kind of impact on oil flows in the region, particularly the Strait of Hormuz.'
