Oil prices drops below $61.5

Vladimir Putin and Nicolas Maduro

There is ample spare capacity in other oil producers and strategic reserves to compensate for a loss of Venezuela's crude exports, helping explain the tepid reaction of global oil prices to USA sanctions announced a week ago. Stocks increased 1.3 million barrels in the week ended February 1, compared with analysts' expectations for an increase of 2.2 million barrels.

The potential gusher comes as Venezuela's production plunges amid an economic crisis and US sanctions targeting the country's oil sector.

USA crude futures were down 50 cents, or 0.9 percent, at $54.06 a barrel by 1400 GMT.

The American Petroleum Institute reported late Tuesday that US crude inventories rose by 2.5 million barrels last week at a time of weakening global demand, Morning Star reported.

The fund would receive income accrued by state-run oil firm PDVSA's U.S. unit Citgo Petroleum Corp since last month, when U.S. President Donald Trump recognized opposition leader Juan Guaido as Venezuela's legitimate head of state, Carlos Paparoni said in an interview.

US West Texas Intermediate (WTI) crude futures were at $53.74 per barrel at 0153 GMT, up 8 cents from their last settlement.

The recent downswings in the crude oil market have been highly correlated with the release of the bearish economic data.

Citgo, the eighth-largest US refiner and Venezuela's top foreign asset, is in the middle of a tug of war as the Trump administration has made aggressive moves to remove it from Maduro's control.

Barcelona-Real Madrid combined XI
Asked about the fitness of Messi, he said: "It's always better when the best players get to play, it's as simple as that". In view of their recent form, the Real Madrid players regain confidence in their chances of winning the historic treble.

In an interview with Sputnik, Venezuela's National Representative to OPEC, the technical adviser at Venezuela's PDVSA company and Petroleum Ministry Ronny Romero spoke about the impact of the United States sanctions on the oil and gas giant.

"Cutting out Venezuela from the global oil markets would provide a short term positive strength to oil prices, but its significance would be limited", said Mihir Kapadia, chief executive of Sun Global Investments.

While OPEC and allied producers are slashing their output in an attempt to boost crude prices, which saw a rapid fall previous year, the U.S. has been opposing the measure and vowed to continue expanding its supply.

Quevedo said United States sanctions and trade wars will affect oil prices in 2019.

OPEC's share of the cut is 800,000 bpd, to be delivered by 11 members - all except Iran, Libya and Venezuela.

The global economic outlook and prospects for growth in fuel demand have been clouded by poor economic data in China and U.S. -China trade dispute have also weighed on the market. Oil fell on Tuesday after a survey showed euro zone business expansion almost stalled in January.

Senior US and Chinese officials are poised to start another round of trade talks next week.

Related News:



Most liked

Messi hits brace to salvage point for Barcelona
Asked later whether doubt over Messi's participation would affect his side's preparation for the game, Solari smiled and added: "Not at all".

Meghan Markle Hires A Doula For Childbirth & Prince Harry Getting ‘Coaching’ Lessons
Meghan Markle and Prince Harry visited Bristol last week, where they made an appearance at the Bristol Old Vic theatre. However, one of the sex workers due to be handed one of the bananas told The Sun the message was offensive .

Trump to press border wall fight in State of the Union speech
And White House officials have indicated Trump is not expected to declare a national emergency during his Tuesday evening address. Pelosi's husband, Paul, and one of her five children, the filmmaker Alexandra Pelosi, will also join.

Iraqi president says Trump did not ask permission to 'watch Iran'
Asked if that meant he wanted to be able to strike against Iran, Trump said , "No, because I want to be able to watch Iran". In both Syria and Iraq, local forces remain heavily reliant on support from the US -led coalition, the report said.

Timely detection can help Cancer survive
The writer is Consultant Medical Oncologist at Shaukat Khanum Memorial Cancer Hospital and Research Centre. In his message on World Cancer Day, he said the government is providing facilities for cancer patients.

Kyrie Irving drops shock trade U-turn hint amid Lakers and Knicks rumours
Al Horford and Gordon Hayward contributed 14 apiece, Jayson Tatum chipped in 13 and Australian Aron Baynes made nine. Irving entered Friday averaging 23.7 points, 6.9 assists and 4.8 rebounds in 43 games this season.

Captain Marvel: New clip from the Brie Larson film fails to impress
As with the previous teaser , we get little glimpses of each of the Avengers , all of whom are still leaning into their feelings. While below them Captain Marvel along with other team members is seen walking with a flawless attitude.

Maroon 5 to incorporate SpongeBob's 'Sweet Victory' in Super Bowl halftime show
He told " Entertainment Tonight " that " no one thought about " doing the halftime show performance more than he did. While there were many that enjoyed the halftime show , there were a lot of people who were not fans of it.

Difficult to win without the right tools - Pochettino makes Alonso analogy
Pochettino says there is no reason why Tottenham can not keep pace at the top of the table until May. But the Netherlands global is now set to be added to the club's 25-man Premier League squad list.

Nissan's second thoughts on UK-made SUV add to Brexit worry
Last month, Jaguar Land Rover said it would axe 4,500 jobs, with many of them management roles in the UK. Nissan employs nearly 7,000 people at the plant, which has produced cars since 1986.

Super Bowl LIII: Jersey Colors for Patriots, Rams
The Rams' past two trips to the big game were tight affairs in which they beat Tennessee and lost to New England. Patriots 31, Rams 23 - My sixth sense tells me Tom Brady is going to be scary good.

Take inspiration from Ronaldo, Solskjaer tells Martial, Latest Football News
He has scored twice and assisted a further goal in six games under Solskjaer, while his buildup play has improved considerably. That's one of the things I keep telling him - you've got to read and sniff whenever there is going to be a chance.

Arsenal boss Emery: Suarez not here to replace Ozil
Suarez, 25, has not been a prolific goalscorer at any team he has played for. Yes we have got into the top four and are doing better than anticipated.

Interim Budget has sops for voters, slips on fiscal deficit target again
The government now estimates GST collections for this year to be 6.44 trillion, lower than the Rs 7.44 trillion expected earlier. The government's total expenditure is estimated to increase 13.3% in 2019-20 from the revised estimates for the current year.

Venezuelan general defects as anti-Maduro rallies draw huge crowds
Other public workers attending the pro-government demonstration said they had been forced to go there by their bosses. Elections for the opposition-controlled National Assembly aren't supposed to take place again until 2020.