OPEC cuts oil production in February despite pressure from Trump

  • OPEC cuts oil production in February despite pressure from Trump

OPEC cuts oil production in February despite pressure from Trump

U.S. crude oil exports have set annual record highs in each year since 2014, most recently averaging 2.0 million bpd in 2018.

Oil prices were mixed on Thursday after hitting 2019 highs as OPEC stressed the need to extend its production cut program past June while lowering its forecast for crude demand.

Brent crude futures settled at $67.55 a barrel, up 88 cents, or 1.32 percent.

Brent was up 98 cents, or 1.47 percent, to $67.63 per barrel, while West Texas Intermediate climbed $1.50, or 2.64 percent, to $58.37 per barrel.

"While oil demand is expected to grow at a moderate pace in 2019, it is still well below the strong growth expected in the non-OPEC supply forecast for this year", OPEC said in the report.

The Energy Information Administration said Wednesday that USA crude inventories fell by 3.9 million barrels in the week to March 8.

Crude inventories fell by 3.9 million barrels in the last week, compared with analysts' expectations for an increase of 2.7 million barrels.

"Tighter global inventories from OPEC-led supply cuts and". "It looks very supportive as refiners come out of maintenance".

Earlier this week, the American Petroleum Institute reported that USA crude stocks had fallen in the previous week. U.S. crude oil demand in 2019 is expected to rise by 360,000 barrels to 20.81 million barrels per day, a former Energy Information Administration (EIA) for an increase of 350,000 barrels per day. The EIA also revised down its projected 2020 production figure.

BNP Paribas strategist Harry Tchilinguirian told the Reuters Global Oil Forum: "Buyers with (Iran oil) waivers are likely going to hold back until there is more clarity in the USA administration's position".

Exports from Venezuela's main oil terminal have been stranded as its worst blackout on record has left parts of the country without power for roughly a week. Power has been restored to many parts of the country in recent days.

Market shortages have been exacerbated by United States sanctions on oil exports by OPEC members Iran and Venezuela.

An unexpected dip in US crude oil inventories and production also supported prices, traders said.

Growth in China's industrial output fell to a 17-year low of 5.3 percent in the first two months of the year, official data showed on Thursday, pointing to further weakness in the world's second-biggest economy and top crude importer.