Diamondback Energy reports lower oil prices in the fourth quarter
Diamondback Energy, the U.S. producer of shale oil, announced on Monday that its production prices were lower in the fourth quarter compared with the previous three months. Crude oil prices dropped about 6% during the quarter of October-December, due to a patchy recovery from the pandemic, China's slow economy, and an excess supply worldwide. Prices are down nearly 12% compared to a year earlier. The company reported that the average realized price…
Palm gains strength over soyoil at Dalian, Chicago
Malaysian palm oils futures continued to rise on Monday, following the strength of rival soyoil in Dalian and Chicago. By midday, the benchmark contract for palm oil delivery in March on the Bursa Derivatives exchange rose by 93 ringgit or 2.12% to $4,484 ringgit (US$994.90) per metric ton. A Kuala Lumpur trader stated that the market today is monitoring external performance of Dalian soyoil and Chicago soyoil. Dalian's palm oil contract also rose by 2.43%, while the most active soyoil contract increased by 2.44%.
Are price movements a result of structural shifts? China's commodity imports are bifurcated: Russell
China's imports in 2024 of major commodities were a mixed bag. Iron ore, coal, and natural gas volumes reached record levels, while crude oil was weak. Raw data from the largest buyer of natural resource in the world suggests that some parts of the economy perform well, while others are struggling or are undergoing structural changes. The main challenge when analysing China's imports of commodities is to separate temporary factors from those that are part a longer-term trend. Crude oil may be the best example.
Occidental Petroleum received lower prices for oil it produced in the fourth quarter
Occidental Petroleum, a U.S. shale oil producer, said that the prices received for oil produced in the fourth quarter of 2014 were lower than those for the previous three months due to a weakening global demand. The crude oil prices fell by about 6% sequentially in the fourth quarter of last year due to a patchy recovery from the pandemic, China's slow economy, and an excess supply worldwide. Prices dropped nearly 12% compared to a year earlier. Exxon Mobil…
Palm tracks Chicago soyoil but is set to lose money for the second consecutive week
Malaysian palm futures were slightly higher on Friday as they tracked stronger Chicago soyoil. However, they are set to suffer a second weekly loss. At midday, the benchmark contract for palm oil delivery in March on the Bursa Derivatives exchange rose 45 ringgit or 1.05% to 4,341 Ringgit ($966.17) per metric ton. This week, the contract has fallen by 0.89%. Anilkumar bagani, the head of research for Mumbai-based Sunvin Group's vegetable oil broker, said that crude palm oil futures traded higher today on the back a strong recovery overnight in Chicago soyoil.
As tensions in the Middle East increase, demand worries are offset.
The oil prices rose on Monday, as the heightened tensions that followed the rebels' overthrow in Syria of President Bashar al Assad offset concerns about the weak Chinese demand highlighted by Saudi Aramco’s price reductions to Asian buyers. Brent crude futures increased by 22 cents or 0.3% to $71.34 a barrel at 0140 GMT. U.S. West Texas Intermediate Crude Futures rose 22 cents or 0.3% to $67.42 a barrel. Brent fell more than 2.5% and WTI dropped 1.2%…
Palm oil drops for the third consecutive day due to weaker competitors and selling pressure
Malaysian palm futures ended lower on Thursday for the third session in a row, due to weakness in the prices of vegetable oils listed in Dalian and pressure from sellers in crude palm (CPO). The benchmark Bursa Derivatives Exchange palm oil contract closed down 23 ringgit or 0.46% at $4,964 Ringgit ($1,108.53). Paramalingam Supramaniam is the director of brokerage Pelindung Bestari in Selangor. He said that the CPO market was suffering from the constant selling pressure. This has generated interest and kept offers high for the local olein.
Devon Energy expects US crude oil to be priced between $60 and $80 per barrel in the near future
The benchmark U.S. WestTex Intermediate (WTI), crude oil, will be $60-$80 a barrel for the foreseeable future. This was what Devon Energy's Chief Executive Officer told attendees of an energy conference held in Dallas on Tuesday. This price forecast falls within the range of U.S. crude oil prices that have been traded throughout the majority of this year. On Wednesday, it settled at $68.43 per barrel. Richard Muncrief, CEO of Devon in Oklahoma City, said that crude demand will grow modestly by 2025, compared with 2024.
EOG Resources to boost shareholder returns
EOG Resources announced on Friday that its debt levels would allow the oil and natural gas producer to use more than 100% free cash flow for shareholder returns. In afternoon trading, shares of the company rose by 4.8% to $132.54. The company announced that it would increase its debt to between $5 and $6 billion over the next 12-18 months. This would allow for additional cash to be available to pay out to investors. "In the short term, this does mean that we will be in a place to surpass the 70% (returns commitment) and quite frankly... at times...
Commodities fall amid increased risks of Trump's second-term: Russell
Commodities have reacted to Donald Trump's election to a second U.S. term with fear, and most are losing ground due to fears that a new trade war will hit the global economy. The negative reaction contrasted sharply with the record-breaking performance of U.S. stocks, which rose to new highs amid optimism about Trump's tax cut agenda, at least for the United States. The contrasting reaction to Trump's win over Democrat nominee, and now departing U.S.
EIA reports that US crude, gasoline, and distillate stocks rose last week.
The Energy Information Administration (EIA), which released its report on Wednesday, said that the U.S. crude, gasoline, and distillate inventory increased last week. The EIA reported that crude inventories increased by 2.1 millions barrels, to 427.7million barrels during the week ended Nov. 1. This was a far cry from the 1.1 million barrels analysts had predicted in a recent poll. Crude oil stocks at Cushing, Oklahoma's delivery hub, rose by 522,000 barrels during the past week. U.S. crude oil prices rose after the report.
Oil India's Q2 profit forecast misses the mark due to lower prices and muted demand
State-run explorer Oil India reported a smaller-than-expected second-quarter profit on Tuesday, weighed down by lower crude prices and tepid fuel demand. The company's profit grew six-fold in three months to 18,34 billion rupees ($218 million), but it was below analysts' expectations, which were 18.72 billion rupees. Data compiled by LSEG. Oil India's earnings are exclusive of profits from joint ventures or operations outside the country. India's Oil…
Palm prices rise on higher soyoil and crude oil prices; second week of gains expected
Malaysian palm futures rose more than 2% Friday on the back of higher soyoil, crude oil and positive estimates for domestic exports. At midday, the benchmark palm oil contract on Bursa Derivatives Exchange for January delivery gained 134 Ringgit or 2.85% to 4,830 Ringgit ($1,103.24). The contract has gained 3.53% this week, and is expected to gain a second consecutive weekly. David Ng is a proprietary trader with Kuala Lumpur's Iceberg X Sdn. Bhd. He said that the palm market was reacting to higher soyoil prices and crude oil.
Cenovus Energy reports 56% drop in quarterly profits on lower production
Cenovus Energy, a Canadian oil and natural gas producer, reported a 56% drop in its third-quarter profits on Thursday. This was due to lower commodity prices and a decrease in production volumes and throughput. Global Brent crude averaged $78,3 per barrel during the quarter reported, a drop of nearly 9% from a year ago, while Canadian gas prices plummeted to their lowest levels in over two years. Cenovus reported that its total upstream output was 771.300 barrels equivalent per day (boepd), down from 797,000 a year ago.
Malaysia's natural gas and crude oil production will decline by 2025
KUALA LUMPUR - Malaysia's government announced on Friday that it expects a lower crude oil and natural gas output in 2025 as a result of planned maintenance shutdowns and a softer demand for some export markets. In a report that was released along with its budget for 2025, the government stated that natural gas production would decline in 2025 as a result of the planned closures in the state of Sarawak due to maintenance. The government did not identify the two facilities.
Palm oil continues to decline against weaker competitors; export data cap losses
The price of Malaysian palm oils futures dropped for the second session in a row on Tuesday. This was due to the weakness of rival edible oil and crude oil, but robust export data helped limit this fall. The benchmark palm-oil contract for December delivery at the Bursa Derivatives exchange closed down by 1.04% to 4,268 Ringgit ($993.26) per metric ton. It has fallen 1.89% over two sessions. David Ng, a proprietary trading at Kuala Lumpur's Iceberg X Sdn.
Prices of gas in Europe are lower due to profit-taking and lower demand
The Dutch and British wholesale prices of gas were lower on Tuesday morning due to profit-taking and after media reports that Israel was willing not strike Iranian oil targets. This eased concerns about a disruption in supply. LSEG data shows that the benchmark front-month contract for the Dutch TTF hub dropped by 1.00 euros to 39.40 Euro per megawatt hour, or $12.91/mmbtu by 0849 GMT. The front-month contract on the British market was reduced by 3.00 pence, to 98.00 per therm. The British day-ahead contracts was 2.6 cents lower at 95.00 pence per therm.
VEGOILS - Palm erases early gains, speculative purchasing and short covering cap losses
Malaysian palm futures reversed gains and closed lower on Monday as crude oil prices fell. However, speculative purchases and short-covering helped limit the losses. The benchmark palm-oil contract for December delivery at Bursa Malaysia's Derivatives exchange fell 36 ringgit or 0.83% to 4,314 Ringgit ($1,005.36) per metric ton. The contract gained 0.51% earlier during the lunch break. Paramalingam Supramaniam is the director of Selangor brokerage Pelindung Bestari.
Palm reverses losses due to higher crude oil prices
Malaysian palm futures recovered from early losses and ended higher for the second session in a row on Monday, due to higher crude oil price. The benchmark palm-oil contract for December delivery at the Bursa Derivatives exchange ended the session with a gain of 1.05%, ending the day at 4,345 Ringgit ($1,015.66) per metric ton. Earlier in the morning it had fallen as low as 4,247 Ringgit. The contract gained 3.87% in the last two sessions. A Kuala Lumpur…
Energy prices are falling, putting pressure on big oil's huge payouts
Analysts said that major energy companies will borrow billions of dollars to maintain payouts to shareholders or reduce the rate of share purchases in response to a decline in oil prices following more than two years' bumper profits. Since decades, the majors have attracted investors with their promises of steady payouts. However, the shift to low-carbon energy has cast doubt on the long-term prospects of the industry. Since the beginning of 2022, BP…
