Earlier this month, an OPEC source familiar with the kingdom's oil thinking told Reuters that Saudi Arabia is monitoring the impact on oil supplies of the USA withdrawal from the Iran nuclear deal and is ready to offset any shortage but it will not act alone to fill the gap.
These factors have helped push Brent and WTI to multi-year highs, with Brent breaking through an $80 threshold last week for the first time since November 2014.
The bidding wars: Comcast challenges Disney in a fight for FOX
Disney has agreed to pay $52.4bn for Fox , but Comcast said it was in the "advanced stages" of preparing a better bid. The Comcast deal would include Fox's 39% stake in European TV company Sky.
United States crude oil production for yet another week for week ending May 11-the most recent data available-increased to 10.723 million bpd, according to the EIA.
The prospect of renewed sanctions on Iran after Trump pulled out of an global nuclear deal with Tehran has further boosted prices in recent weeks. "Putting some oil back into the market will prevent oil prices from going to $100 in the second half of 2018, which is good. The mere contemplation of it has hit oil prices this week", said John Kilduff, a partner at Again Capital LLC in NY.
Tuesday evening the American Petroleum Institute (API) reported that crude inventories fell by 1.3 million barrels in the week ending May 18.
Oil prices have been supported by the reduced crude output from the OPEC and the fact that USA crude inventories have been falling of late.
North Korean Officials Reportedly Stood up a US Delegation in Singapore
Talks between the Koreas will likely resume after Friday, once Max Thunder finishes, said Moon's media secretary, Yoon Young-chan. Trump made it clear on Thursday, however, that the summit could still happen despite the saber-rattling between the two leaders.
Brent futures fell 37 cents, or almost 0.5 percent, to $79.20 a barrel by 0636 GMT, after climbing 35 cents on Tuesday. USA refineries produced about 10 million barrels of gasoline a day last week, down by about 500,000 barrels compared to the prior week.
Phil Flynn, the senior market analyst for the PRICE Futures Group in Chicago, said in a daily emailed newsletter the USA crackdown on Iran and Venezuela is adding a risk premium to the price of oil.
U.S. West Texas Intermediate (WTI) crude rose 59 cents to 72.83 dollars a barrel. For the same period, analysts expected crude inventories to decrease by about 1.5 million barrels and gasoline inventories to drop by 1.4 million barrels.
Representatives of OPEC and other major oil producers convened May 22 before the group's main meeting next month to review the impact of production cuts.
US President Trump Cannot Legally Block Followers On Twitter, Rules US Judge
The feature prevents selected accounts from appearing in a user's Twitter mentions - effectively blocking them from Trump's view. The Knight Institute hopes that the ruling against Trump will set a precedent for other public officials across the country.
Some of the biggest oil-producing nations should step in to ease any supply shortfall should shipments from Venezuela or Iran collapse, IEA Executive Director Fatih Birol said earlier this week.
- National Football League kneelers 'maybe shouldn't be in country'
- As criticism for Israel mounts, Guatemala opens its embassy in Jerusalem
- Pakistan on damage control mode over Sharif's interview
- Census: Chicago's population drops 3rd year in a row
- Memorial Day ceremonies, parades planned around region
- State Dept.: Employee in China suffers possible sonic attack
- Mo Salah is not on same level as Messi, Ronaldo - Kwadwo Asamoah
- Everton looking for new boss
- Texas governor opens school safety summit, vows to protect the 'innocent'
- Total CEO says oil price could hit US$100 'in coming months'