
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:
-
Emiliano Sala: French club Nantes 'demand transfer fee' from Cardiff
Authorities haven't said if the body located by an underwater camera was Sala or pilot David Ibbotson , the only people on board. Cardiff will honor the deal but have been reluctant to make a payment until they know " all the facts ".Liverpool & Man City comparisons: Gabriele Marcotti defends Maurizio Sarri's Chelsea record
Eden Hazard believes Chelsea can repeat their surprise trick of beating Manchester City next week. City have these kind of players to play together.Colin Scotts says sixth Super Bowl crown awaits Brady and Belichick
The Super Bowl is one of the most-watched television events each year, as many Americans host or attend parties to watch the game. Online betting site, Bodog has bets for what the Super Bowl champions will be served when they visit U.S. -
Kate Middleton brought family photo to school
Hundreds of children and young people will learn how to use a range of innovative techniques to promote good mental health. The course helps people to spot the early signs of mental health issues in young people aged between 8 and 18.Chinese Lunar New Year Quotes Celebrating The Year of the Pig (2019)
There's still time to get to Hong Kong to celebrate the Year of the Pig, or you could head to Manchester instead. Naturally, this date changes each year, but it will always fall sometime between January 21 and February 20.Liverpool confirm bad news with Joe Gomez set to undergo surgery
Following Manchester City's impressive 3-1 win over Arsenal on Sunday, the Reds' lead atop the table is down to just two points. However, they have shown the desire and determination to carve out results while not being at their fluent best. -
India's Predicted Playing XI for 1st T20I against New Zealand
Similarly, for India , the core of the team is expected to be the same as was in the ODIs with a couple of new entries. It is worth mentioning that India will be playing a T20I in New Zealand for the first time since 2009.Trump pushes back on intelligence assessment of North Korea
What the nuclear diplomacy with both Iran and North Korea shows is the limits of arms-control negotiations with rogue states. And, as might be expected, Trump made no mention of Russian Federation and its crimes against the United States.US Senate wants troops to stay in Syria, Afghanistan
Tammy Duckworth, D-Ill., a combat pilot veteran, and Marsha Blackburn, R-Tenn., implored Trump not to abandon the Kurds in Syria . The Senate voted 68-23 to advance nonbinding legislation warning against a "precipitous withdrawal" from Syria and Afghanistan. -
‘We want seven!’ Huge crowds fete Patriots on Super Bowl win
Boston Police officers couldn't resist the tune either, posting the video below to their official Twitter account. Staying in the Locker Room for the playing of our National Anthem is as disrespectful to our country as kneeling.USA cuts aid supply to Palestinians in West Bank, Gaza
Israeli forces stopped armed terrorists who penetrated across the Gaza border into Israel . Former Mayor of Shiloh, Israel David Rubin weigh in on the effectiveness of border walls.Cedric Marks escapes custody north of Houston, considered extremely unsafe
Hartley said Marks' and Pease's son was placed into protective custody in 2009 and he doesn't know the son's current location. He has not been charged in the deaths of Scott and Swearingin, who were reported missing from Temple on January 4.