Index Option Calls
  • Home
  • Latest News
  • Email Whitelisting
  • Privacy Policy
  • Home
  • Latest News
  • Email Whitelisting
  • Privacy Policy
No Result
View All Result
Index Option Calls
No Result
View All Result
Home Latest News

Oil falls to six-week low on lockdown concerns, on track for longest weekly losing streak since 2020

by
November 19, 2021
in Latest News
0
0
SHARES
0
VIEWS
Share on FacebookShare on Twitter

RELATED POSTS

Jamie Dimon is being deposed over JPMorgan Chase role in Epstein lawsuits

Here’s where to invest $10,000 right now, according to the pros

Oil pumping jacks, also known as “nodding donkeys”in a Rosneft Oil Co. oilfield near Sokolovka village, in the Udmurt Republic, Russia, on Friday, Nov. 20, 2020.

Bloomberg | Bloomberg | Getty Images

Oil prices fell to a six-week low on Friday as new Covid lockdowns sparked demand concerns just as industry players signal a return of supply.

West Texas Intermediate crude futures for December delivery sank more than 4% to a session low of $75.37, a price not seen since Oct. 7. That contract expires today, with the more actively traded contract for January delivery dipping 3.8% to $75.44 per barrel.

Brent crude futures, the international benchmark, traded as low as $78.15 for the first time since Oct. 1.

Both WTI and Brent are on track for a fourth straight week of losses, which is the longest weekly losing streak since March 2020.

WTI traded in the green earlier in the day, but fell into negative territory following news of Austria’s lockdowns. The demand rebound has been a key driver of oil’s recovery this year, and any indication that it might thaw will spook market participants.

“The market still remains fundamentally in a good position but lockdowns are now an obvious risk to this if other countries follow Austria’s lead,” said Craig Erlam, senior market analyst at Oanda. “A move below $80 could deepen the correction, perhaps pulling the price back towards the mid-$70 region,” he added.

While Friday’s decline is the largest for oil since July, the commodity’s been trending lower over the last few weeks. The Biden Administration has repeatedly said it’s exploring ways to ease the burden that higher oil is putting on consumers in the form of gas prices, which are hovering around a seven-year high. One option would be for the administration to tap the Strategic Petroleum Reserve.

“If the US presidential administration wants the oil market’s attention, it now has it, as all eyes are on Washington to see whether it will up the ante on China’s SPR release with a follow-up coordinated effort to put further downward pressure on oil prices,” said Louise Dickson, senior oil markets analyst at Rystad Energy. “The US has been publicly probing the oil market, OPEC+ in particular, to ease supply and provide price relief, since the summer, and other importing countries like China, India, and Japan [are] joining the chorus.”

That said, analysts have noted that releasing oil from the SPR likely wouldn’t have much of a long-term impact.

“While such a decision would result in price setbacks, the SPR can only fill the gap during temporary production disruptions, not fix structural issues of underinvestment and rising demand,” UBS said in a Nov. 5 note to clients.

In addition to political headwinds, oil is also facing pressure from an uptick in supply as producers, including in the U.S., bring production online.

Oil’s steadily climbed higher throughout 2021 with WTI hitting a seven-year high of $85.41 on Oct. 25. Since then, it’s down 11.5%. Despite the recent weakness, U.S. oil is still up 55% for 2021.

ShareTweetPin

Related Posts

Jamie Dimon is being deposed over JPMorgan Chase role in Epstein lawsuits

by
March 29, 2023
0

Jamie Dimon, chairman and chief executive officer of JPMorgan Chase & Co., during a Bloomberg Television interview at the JPMorgan...

Here’s where to invest $10,000 right now, according to the pros

by
March 29, 2023
0

Markets have been hit by volatility over the past month leading some retail investors to question where to park their...

Mortgage demand gets a boost from bank volatility, but it may be short-lived

by
March 29, 2023
0

An 'open house' flag is displayed outside a single family home on September 22, 2022 in Los Angeles, California. Allison...

Bitcoin climbs 5% above $28,000 as investors shrug off regulatory crackdowns

by
March 29, 2023
0

In this article BTC.CM= Follow your favorite stocksCREATE FREE ACCOUNT Bitcoin is up 50% so far in 2023, beating major...

IHOP overhauls its menu: Cinn-A-Stack pancakes are back, savory crepes are in

by
March 29, 2023
0

In this article DIN Follow your favorite stocksCREATE FREE ACCOUNT IHOP's new crepe lineup features sweet and savory flavors. Source:...

Next Post

Nvidia’s latest earnings report is the ‘nail in the coffin’ for $40 billion ARM deal: Analyst

Oil prices fall 4% to six-week low on lockdown worries, but don't expect much relief at the pump yet

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

email

Get the daily email about stock.

Please Enter Your Email Address:

By opting in you agree to our Privacy Policy. You also agree to receive emails from us and our affiliates. Remember that you can opt-out any time, we hate spam too!

MOST VIEWED

  • A Couple Stored IRA Gold at Home. They Owe the IRS More Than $300,000.

    0 shares
    Share 0 Tweet 0
  • A California Couple Spent Eight Years Building Their Dream Retirement Home in Costa Rica

    0 shares
    Share 0 Tweet 0
  • Goldman Sachs says buy these stocks to play Web 3.0 and the metaverse

    0 shares
    Share 0 Tweet 0
  • In his final warning, this stock trading wizard — who made big money in bear markets and crashes — called this market a bubble like no other

    0 shares
    Share 0 Tweet 0
  • Goldman Sachs picks new stocks to buy — and says these 5 have over 100% upside

    0 shares
    Share 0 Tweet 0
  • Home
  • Latest News
  • Email Whitelisting
  • Privacy Policy
All rights reserved by www.indexoptioncalls.com
No Result
View All Result
  • Home
  • Latest News
  • Email Whitelisting
  • Privacy Policy

All rights reserved by www.indexoptioncalls.com