Ministry of Foreign Affairs Strongly Condemns and Denounces Lebanese Foreign Minister's Disgraceful Insults against Saudi Arabia, its People, and GCC Countries    Saudi Arabia Wins WSIS Prize 2021    Saudi Stock Exchange Main Index Ends Trading Higher at 10,423.51 Points    Jordan Records 1,174 New COVID-19 Cases    Bahraini Foreign Minister Receives Phone Call from His US Counterpart    Al-Asoumi commends Saudi Arabia's support for Sudan    Dr. Al-Sheikh affirms Saudi Arabia's commitment to achieve sustainable development    EAD continues to implement plans to protect Al Wathba Fossil Dunes    India logs record number of Covid deaths as caseload hits 25 million    Indian Navy hunts for 80 missing at sea after devastating cyclone    Russia Reports 8,183 New COVID-19 Cases, 364 Deaths    OIC's IPHRC holds Israel fully accountable for random killing of innocent Palestinians    Museums Commission to host a virtual concert on International Museum Day    Saudi Press: Social Responsibility Leads Next Phase of Controlling Pandemic    Prosthetics Center in Aden Continues to Provide Services with KSRelief's Support    Biden expresses 'support' for Gaza ceasefire in call with Netanyahu    King Salman reviews bilateral ties with Bahraini king in phone call    US secretary of state, UAE foreign minister review developments in Israel, Palestine Blinken speaks to EU's Borrell to coordinate efforts to ease Mideast tensions    Museums Commission to host a virtual concert on International Museum Day    Working for 55 hours or more in a week health hazard: WHO Long working hours killing 745,000 people a year, study finds    FDIs into UAE grow by 44.2 percent in 2020    First Flight Flown Form Hail International Airport Heading to Cairo    Al-Attiyah guides Toyota to victory in Andalucia Rally    Saudi Arabia Ranks 5th Worldwide, in Terms of Mobile Internet's Speed    Madinah airport ready for resumption of international flights    STA brings the best of Saudi to Arabian Travel Market 2021    Ensure digital technologies are 'a force for good' — Guterres    Gardening is 'political' says Irish celebrity horticulturist    Only 'coronavirus immune' citizens over 18 years of age can travel to Bahrain    Tyson Fury confirms date for long-awaited fight against Anthony Joshua    Saudi Arabia to Take Part in the World Hypertension Day    Diego Maradona    Remarkable collection of Syrian art transcends horrors of war: Arte Arta Gallery    Champions League final 2021 moved from Istanbul to Porto's Estádio do Dragão    Tawakkalna Launches Registration Service to Donate Organs on its Website    From whom do we take Shariah? How do we get legitimacy?    Sheikh Salman Al Khalifa: Saudi Football Association is distinguished and professional    Saudi Rower Hussain Alireza sets for 2021 Tokyo Olympics qualifiers    Asian Handball Championships' Draw to Take Place in Jeddah on Saturday    President of Union of Arab Football Associations Meets with Heads of FIFA, AFC and CAF    Business Lady Led Saudi World Competitiveness Edge, in Banana Planting    Welcome to beautiful Ramadan customs    Vaccination does not invalidate fasting, says UAE Fatwa Council    It is high time to correct wrong concepts about women's status    Council of Senior Scholars: Muslim Brothers' Group Don't Represent Method of Islam, rather only Follows its Partisan Objectives, Violating our Graceful Religion    Eid Al-Adha Prayer Performed at the Grand Holy Mosque    Pilgrims Perform Dhuhr and Asr Prayers in Arafat Holy Site    Senior Scholars Council Issues Decision No. 246 Regarding Attendance of Friday Prayer and Prayers at Mosques in a Case of Spread of Epidemic or Fear of its Spread    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.





Oil prices stable as market avoids leaning heavily on positive vaccine news
Published in The Saudi Gazette on 02 - 12 - 2020

Oil prices are largely stable on Wednesday as the market avoids leaning heavily on positive vaccine news, waiting for the next day's crucial OPEC+ meeting instead.
The price of OPEC basket of 13 crudes stood at $46.72 a barrel on Tuesday, compared with $46.43 the previous day, according to OPEC Secretariat calculations.
The OPEC Reference Basket of Crudes (ORB) is made up of the following: Saharan Blend (Algeria), Girassol (Angola), Djeno (Congo), Zafiro (Equatorial Guinea), Rabi Light (Gabon), Iran Heavy (Islamic Republic of Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Arab Light (Saudi Arabia), Murban (UAE) and Merey (Venezuela).
Oil prices are largely unchanged Wednesday as bearish new of a projected crude stocks build-up in the US got matched by bullish news of the first approval of a COVID-19 vaccine in the UK, said Rystad Energy's Head of Oil Markets Bjornar Tonhaugen.
Either of these two reasons could tip the scale towards one direction but their combined effect is more muted, he said.
"But even so, traders would not take huge gambles today, as they are waiting for the final verdict of Thursday's OPEC+ meeting. What the alliance decided to do from January could shake markets and no trader wants to be too quick today before a definite indication," said Tonhaugen.
He added, "If OPEC+ decides to delay its planned oil output increase, it will provide a great relief to the market and that is bound to definitely help prices rise. Although trader confidence priced in such a decision way before the meeting, there is still room for euphoria if the hopes get met with action.
"Some of the earlier gains are also now reversed after Monday's first meeting turbulence, so a positive effect on prices can be even more profound if OPEC+ does what's expected and finds a consensus to keep production stable."
Tonhaugen said: "Should the current differences weigh heavily on the negotiation table and the alliance is forced to increase production by about 1.9 million bpd as planned, we can expect the market to get a serious hit and prices to become a punchbag again.
"As there is a lot at stake, the OPEC+ decision does not look like it will go unnoticed, the effect will not be muted. Traders expect it either very positive or the opposite. And when stakes are so high, it is dangerous to move prices much ahead of such decisions, even on the news of the Pfizer vaccine approval in the US."
Looking at the bigger picture, the real action in the market will be tomorrow and prices may face volatility from early on, as first reports of the meetings discussions surface. Traders will be looking for officials' statements and leaks of disagreements -or a consensus, he said.
"And as disagreements get resolved or a consensus gets back in trouble it will not be out of question to see prices moving from gains to losses and back. Volatility is the word tomorrow and that's why today's muted price reaction is like the calm before the storm," added Tonhaugen. — Rystad Energy


Clic here to read the story from its source.