Tuesday, 23 April 2013

WTI Crude Trades Near One-Week High; U.S. Stockpiles Seen Rising




West Texas Intermediate crude traded near the highest price in more than a week. U.S. stockpiles probably rose to the largest in more than 22 years, a Bloomberg News survey showed before a government report.
Futures were little changed in New York after climbing a third day yesterday. U.S. supplies increased by 1.75 million barrels last week to 389.4 million, the highest since July 1990, according to the median of nine analyst estimates before a report from the Energy Information Administration tomorrow. Global oil markets are in balance and receiving ample crude, Suhail Mohammed Al Mazrouei, the energy minister of the United Arab Emirates, said yesterday.
WTI for June delivery was at $89.36 a barrel, up 17 cents, in electronic trading on the New York Mercantile Exchange at 9:26 a.m. Sydney time. The volume of all contracts traded was 73 percent below the 100-day average. The May future gained 75 cents to $88.76, the highest close since April 12, as it expired yesterday. Prices are down 2.7 percent this year.
Brent for June settlement climbed 74 cents to $100.39 a barrel on the London-based ICE Futures Europe exchange yesterday. The front-month European benchmark grade ended the session at a premium of $11.20 to WTI futures.
U.S. gasoline stockpiles were probably unchanged last week while distillate inventories, a category that includes heating oil and diesel, rose by 400,000 barrels, the Bloomberg survey showed.
The Organization of Petroleum Exporting Countries, which plans to meet May 31 to review its production target, is ensuring that global crude supplies are sufficient, Al Mazrouei told reporters in Abu Dhabi. The U.A.E.’s governor to OPEC, Ali Al Yabhouni, said the group’s limit of 30 million barrels a day is adequate for 2013. Both officials spoke at the Middle East Petroleum and Gas Conference.
(Source: Bloomberg)

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