MARKET WATCH: Oil benchmarks start week mixed

Crude oil benchmark prices gained moderately on the New York market but fell in London July 8. Light, sweet prices on US markets rose pending monthly reports about world oil demand, US oil production, and output by OPEC.

Crude oil benchmark prices gained moderately on the New York market but fell in London July 8. Light, sweet prices on US markets rose pending monthly reports about world oil demand, US oil production, and output by the Organization of Petroleum Exporting Countries.

The US Energy Information Administration’s Short-Term Energy Outlook was scheduled to be released July 9, OPEC’s Monthly Oil Market Report was scheduled for release July 11, and traders await the International Energy Agency’s Oil Market Report to be released on July 12.

EIA’s Petroleum Status Report showed US oil production ended June at 12.2 million b/d.

Meanwhile, the number of US rigs drilling for oil declined to 788, said Baker Hughes. That was down from a peak of 888 rigs operating in November 2018 (OGJ Online, July 3, 2019). The latest rig count was released on July 3 because of the US Independence Day holiday.

Energy prices

Light, sweet crude oil on the New York Mercantile Exchange for August delivery rose 15¢ to $57.66/bbl on July 8 while the September contract increased 17¢ to $57.76/bbl.

NYMEX natural gas for August fell nearly 2¢ to a rounded $2.40/MMbtu.

Ultralow-sulfur diesel for August declined 1¢ to $1.89/gal. The NYMEX reformulated gasoline blendstock for August decreased 3¢ to a rounded $1.90/gal.

Brent crude for September dropped 12¢ to $64.11/bbl. The October price decreased 2¢ to settle at $63.82/bbl.

The gas oil contract for July gained $2.50 to $579.25/tonne on July 8. The average for OPEC’s basket of crudes was $64.72/bbl on July 8, up $1.17.

Contact Paula Dittrick at paulad@ogjonline.com.

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