{"id":5059,"date":"2023-04-27T12:31:17","date_gmt":"2023-04-27T12:31:17","guid":{"rendered":"http:\/\/roydadnaft.ir\/English\/?p=5059"},"modified":"2023-04-27T12:34:37","modified_gmt":"2023-04-27T12:34:37","slug":"oil-prices-stabilise-after-hefty-losses","status":"publish","type":"post","link":"https:\/\/roydadnaft.ir\/English\/5059\/","title":{"rendered":"Oil prices stabilise after hefty losses"},"content":{"rendered":"<div class=\"entry-content\" itemprop=\"description\">\n<p>Oil prices steadied on Thursday after the previous day&#8217;s price drop reversed the supportive impact of a surprise cut to OPEC production targets this month.<\/p>\n\n\n\n<p>Brent crude edged up by 25 cents, or 0.32%, to $77.94 a barrel by 1209 GMT while U.S. West Texas Intermediate crude rose 19 cents, or 0.26%, to $74.49.<\/p>\n\n\n\n<p>Prices stabilised after Russian Deputy Prime Alexander Novak described oil markets\u00a0on Thursday\u00a0as balanced.<\/p>\n\n\n\n<p>The OPEC+ group of leading oil producers does not see the need for further oil output cuts but is always able to adjust its policy, Novak said.<\/p>\n\n\n\n<p>Oil prices\u00a0dropped almost 4%\u00a0on Wednesday as jitters about a U.S. economic downturn overshadowed a larger than expected fall in U.S. crude inventories.<\/p>\n\n\n\n<p>U.S. capital goods spending fell more than expected, the latest\u00a0data\u00a0showed, and weak risk sentiment spread from the banking sector after First Republic Bank&#8217;s\u00a0continued slump.<\/p>\n\n\n\n<p>Analysts see weak refinery margins as a major contributor to the oil price decline, with oil broker PVM&#8217;s Tamas Varga pointing to heating oil and gasoil as &#8220;the main possible culprit for the outsized weakness&#8221;.<\/p>\n\n\n\n<p>&#8220;Inventories in this product are somewhat reluctant to deplete, possibly due to resilient Russian exports,&#8221; Varga said.<\/p>\n\n\n\n<p>Russia has increased exports of refined products despite an EU embargo and oil price cap, sources told Reuters.<\/p>\n\n\n\n<p>Falling refinery profit margins could lead to runs being cut and a further reduction in crude demand, said Ole Hansen, head of commodity strategy at Saxo Bank.<\/p>\n\n\n\n<p>&#8220;For now, position adjustments will set the agenda, but with an overall negative bias until refinery margins show signs of stabilising,&#8221; Hansen said.<\/p>\n\n\n\n<p>Backwardation in the Brent futures curve has flattened to about $1.75\/bbl, having touched $4\/bbl on April 12.<\/p>\n\n\n\n<p>Backwardation, when prices for a front-month loading contract are higher than contracts for later loadings, typically indicates tight supply.<\/p>\n\n\n\n<p>Markets will look for direction from the first quarterly print of euro zone gross domestic product growth, which is due on Friday. The data could affect monetary policy decisions by the European Central Bank when it meets on May 4.<\/p>\n<div class=\"post-date no-social-btn post-updated\">Updated on<time class=\"updated dt-updated\" itemprop=\"dateModified\" datetime=\"2023-04-27T12:34:37+00:00\"> 27 April 2023<\/time><\/div><\/div>","protected":false},"excerpt":{"rendered":"Oil prices steadied on Thursday after the previous day&#8217;s price drop reversed the supportive impact of a surprise cut to OPEC production targets this month. Brent crude edged up by 25 cents, or 0.32%, to $77.94 a barrel by 1209 GMT while U.S. West Texas Intermediate crude rose 19 cents, or 0.26%, to $74.49. Prices [&hellip;]","protected":false},"author":1,"featured_media":5061,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[17,36,19,16],"tags":[],"services":[],"class_list":["post-5059","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy","category-lastnews","category-news","category-oil"],"_links":{"self":[{"href":"https:\/\/roydadnaft.ir\/English\/wp-json\/wp\/v2\/posts\/5059","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/roydadnaft.ir\/English\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/roydadnaft.ir\/English\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/roydadnaft.ir\/English\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/roydadnaft.ir\/English\/wp-json\/wp\/v2\/comments?post=5059"}],"version-history":[{"count":0,"href":"https:\/\/roydadnaft.ir\/English\/wp-json\/wp\/v2\/posts\/5059\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/roydadnaft.ir\/English\/wp-json\/wp\/v2\/media\/5061"}],"wp:attachment":[{"href":"https:\/\/roydadnaft.ir\/English\/wp-json\/wp\/v2\/media?parent=5059"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/roydadnaft.ir\/English\/wp-json\/wp\/v2\/categories?post=5059"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/roydadnaft.ir\/English\/wp-json\/wp\/v2\/tags?post=5059"},{"taxonomy":"services","embeddable":true,"href":"https:\/\/roydadnaft.ir\/English\/wp-json\/wp\/v2\/services?post=5059"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}