Oil rises as forecast drop in U.S. stockpiles beats demand woes

Oil rises as forecast drop in U.S. stockpiles beats demand woes

A row of pumpjacks is seen at a Diamondback Energy Inc. oil rig in Midland. Permian Basin production continues to grow and drive record U.S. oil output. Oil rose amid estimates that U.S. crude inventories fell, tempering concerns that a drawn-out trade dispute between the world’s two largest economies is putting pressure on demand. Prices are also inching up on expectations that the OPEC+ coalition will reach an agreement to extend supply curbs when it meets the coming weeks, said James Williams, president at WTRG Economics in London, Arkansas. PREVIOUSLY: Oil drops below $54 as global recession, supply concerns mount “We probably have some upside here in oil, commodities and risky assets," Jeffrey Currie, global head of commodities research at Goldman Sachs Group. said in a Bloomberg Television interview. Crude has recovered slightly since slipping into a bear market last week. Still, concerns remain that the ongoing trade dispute between the U.S. and China, the largest oil users, will hurt fuel demand. The Group of 20 summit at the end of June and the upcoming meeting of the Organization of Petroleum Exporting Countries and its allies are shaping up as pivotal events for the market. West Texas Intermediate futures for July advanced 7 cents to $53.33 a barrel on the New York Mercantile Exchange at 10:42 a.m. local time. The contract fell 73 cents to close at $53.26 on Monday, snapping a two-day gain. From HoustonChronicle.com: Quick response limits impact of Ship Channel spill Brent for August settlement gained […]

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