Sinopec, a top refiner, claims that China's oil demand will peak in 2027.
Sinopec, the state-owned refinery, said that China's oil demand will peak in 2027. This is due to a decline in diesel and gasoline consumption, which has slowed down global oil markets. Sinopec stated that the peak oil demand in 2027 will not exceed 800 million metric tonnes, or 16 millions barrels of crude oil per day. Sinopec predicted peak China oil demand at 800 million tonnes around 2026-2030. The energy sector in China faces new uncertainty by 2025…
Palm oil prices continue to fall amid uncertainty about biofuel policies in Indonesia and the US
Malaysian palm futures fell on Thursday for the fifth consecutive session as market uncertainty over Indonesian biofuel policies and U.S. policy weighed on it. At midday, the benchmark contract for palm oil delivery in March on the Bursa Derivatives exchange fell 44 ringgit or 0.97% to 4,485 Ringgit ($996.45) per metric ton. Anilkumar bagani, head of commodity research at Mumbai's Sunvin group, explained that the price decline in crude palm oil continued from Wednesday…
Russell: China's crude oil imports in November recover and other commodities remain strong
The Chinese economy is having a great week, as the outlook has improved amid new stimulus measures. Commodity imports have also performed well in November. The CSI300 index, which is the benchmark, rose 3.2% on the opening day, while government bonds rallied. The announcement of additional monetary stimulus in the official media boosted sentiment. However, the high imports of commodities in November also helped.
Oil drops as US storm threat subsides, China's stimulus disappoints
The oil prices continued to fall on Monday, as investors disappointed by China's stimulus program and the threat of disruptions in supply from a storm in the United States. Oil prices continued to fall on Monday as the threat of a supply disruption from a U.S. storm eased and after China's stimulus plan disappointed investors seeking fuel demand growth in the world's No. Brent crude futures fell 31 cents or 0.4% to $73.56 a bar by 0340 GMT, while U.S.
OPEC is optimistic about global oil demand and does not see a peak in sight
Haitham Al Ghais, secretary general of the Organization of Petroleum Exporting Countries in Abu Dhabi, said that oil demand is expected to be very high in the near and medium term. He said that while there are challenges, the overall picture is not as bad as it sounds. The so-called "peak demand" will not occur as long as the global economy grows. Ghais stated that the oil producing group was optimistic about the global economy. He noted growth in the U.S. as well as in China.
VEGOILS - Palm closes 3% more, reaches highest level in nearly two and half years
Malaysian palm futures rose more than 3% Friday, the highest level in nearly two-and-a-half years, in response to higher soyoil, crude oil, and positive estimates for domestic exports. The benchmark contract for palm oil delivery in January on the Bursa Derivatives Exchange rose 169 ringgit or 3.6% to 4,865 Ringgit ($1,112.00), its highest closing since June 30, 2020. This week the contract posted a gain of 7.25%, which is its second weekly increase in a row and its best performance since mid-June.
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.
China's rapid electricification is hurting oil producers, says Russell
O Ver-estimating China's desire for crude oil has played a role in the oil markets, particularly by OPEC. This theme is likely to continue into future years. China is the leader in the transition to electric cars, having already reached 50% of new sales. The rest of the globe is expected to reach this level by 2030. According to this forecast (which is what the IEA calls the Stated Policies Scenario, or STEPS), the growth of EVs will displace around 6,000,000 barrels of crude oil per day.
TSX reaches record highs as markets bet on possible Fed rate cuts
Canada's main index of stocks hit a new record on Tuesday. Energy stocks helped to boost the index as investors assessed domestic annual inflation figures amid optimism about a policy cut made by the U.S. Federal Reserve last week. If gains continue, the S&P/TSX Composite Index of the Toronto Stock Exchange is poised to close at a record level for a fourth consecutive session. The markets remained focused on the U.S. Federal Reserve’s policy decision scheduled for Wednesday.
Morgan Stanley lowers Brent crude oil price forecast as market signals softening demand
Morgan Stanley cut its Brent crude forecasts for the coming quarters on Monday and said that the global oil market was facing a period similar to recessions when demand is weak. Brent crude futures reached their lowest level since December 2021 at $71,06 on Friday. Brent crude was trading at around $71.74 per barrel by 1026 GMT. Morgan Stanley stated that the rising fuel inventories and lower refining margins…
Palm oil ends two-day losing streak on short-coverage
After a two-day losing streak traders filled short positions on the market. However, India, which is the largest buyer of vegetable oil in the world, imposed higher import taxes, which limited gains. The benchmark palm-oil contract for delivery in November on the Bursa Derivatives Market closed up 22 Ringgit (0.56%) to $3,942 Ringgit ($915.04) per metric ton. Lingam Supramaniam said that there is some short covering in the palm oil markets today.
Palm oil reaches 3-week high due to biodiesel plans in Indonesia and Malaysia's production woes
The price of Malaysian palm oils futures rose for the fourth time in a row on Monday. They reached their highest level in over three weeks due to Indonesia's plans to increase its biodiesel blend and worries about rainy weather affecting Malaysia's production. By midday, the benchmark palm oil contract on Bursa Malaysia's Derivatives exchange rose 52 ringgit or 1.34% to 3,919 Ringgit ($902.79) per metric ton. The contract reached its highest intraday level since August 2 at 3,925 ringgit.
OPEC faces a moment of truth about planned output increases: Kemp
Saudi Arabia and its OPEC allies will have to make a difficult decision in the coming weeks. They must decide whether they want to proceed with production increases planned for October or postpone them due an uncertain economic outlook. Saudi Arabia and its OPEC?Recent falls in Brent futures prices for the front-month, calendar spreads, and refinery margins amid concerns over the outlook for oil consumption…
The global oil demand must rise faster to absorb OPEC+'s hike
According to analysts, data and industry sources, the global oil demand growth must accelerate in the coming months, or else, the market may struggle to absorb a planned increase in oil production by OPEC+ starting in October. The United States and China, the two largest oil consumers in the world, failed to meet expectations for the growth of oil demand during the first seven-month period of the year. This was even before renewed fears about a U.S.
Kemp: Oil traders focus on economy, not dwindling stock.
The oil prices have fallen in recent weeks, as traders focus their attention on a potential slowdown of the major economies. At the end of the month of June, the Organization for Economic Cooperation and Development's (OECD) advanced economies had 2,761,000,000 barrels of crude and refined product in their commercial stocks. The stocks were 120 million barrels below the seasonal average of the past ten years (-4%…
Kemp: Oil traders focus on the economy, not dwindling stock
The oil prices fell in recent weeks, as traders looked past the depletion of global inventories and focused on a future threat that could be posed by the possible slowdown of major economies.At the end of the month of June, the Organization for Economic Cooperation and Development's (OECD) advanced economies had 2,761,000,000 barrels of commercial crude and refined product stocks.The stocks were 120,000,000 barrels below the seasonal average of the past ten years (-4%…
Red Sea Route Diversions Prop Up Tanker Demand
Large scale route diversions as a consequence of the Red Sea/Suez Canal crisis have seen deadweight demand for crude and product tankers increase by 5.5% and 4.5% respectively in 2024.In its Q2 2024 report, MSI finds that the market is currently in an unfamiliar equilibrium after two years of extreme volatility. This has been supported by wider stability in oil markets and falling vessel deliveries.Analysis…
Saudi Arabian Crude Oil Exports Fall 12%
“By agreeing to an additional voluntary production cut within OPEC (Organization of the Petroleum Exporting Countries) of 500,000 barrels per day in May and announcing a further independent production cut of 1,000,000 barrels per day in July, Saudi Arabia is aiming to reduce excess supply and support prices,” says Niels Rasmussen, Chief Shipping Analyst at BIMCO.According to the EIA (U.S. Energy Information Administration)…
IEA Says World Oil Demand to Rise 2% in '23
World oil demand will rise more than 2% to a record high of 101.6 million barrels per day (bpd) in 2023, the International Energy Agency said on Wednesday, although sky-high oil prices and weakening economic forecasts dimmed the future outlook.The Paris-based IEA also said in its monthly report supply was being constrained because of sanctions on Russia over its invasion of Ukraine."Economic fears persist…
Asian Countries Looking to Release Oil Reserves after U.S. Request
The world's biggest economies said on Thursday they were looking into releasing oil from their strategic reserves, following a rare request from the United States for a coordinated move to cool global energy prices.The U.S. move reflects frustration with the Organization of the Petroleum Exporting Countries (OPEC) and allies such as Russia who have rebuffed Washington's requests to speed up oil production as the world economy rebounds from the pandemic.It also comes as U.S.
