AIRLINK 62.48 Increased By ▲ 2.05 (3.39%)
BOP 5.36 Increased By ▲ 0.01 (0.19%)
CNERGY 4.58 Decreased By ▼ -0.02 (-0.43%)
DFML 15.50 Increased By ▲ 0.66 (4.45%)
DGKC 66.40 Increased By ▲ 1.60 (2.47%)
FCCL 17.59 Increased By ▲ 0.73 (4.33%)
FFBL 27.70 Increased By ▲ 2.95 (11.92%)
FFL 9.27 Increased By ▲ 0.21 (2.32%)
GGL 10.06 Increased By ▲ 0.10 (1%)
HBL 105.70 Increased By ▲ 1.49 (1.43%)
HUBC 122.30 Increased By ▲ 4.78 (4.07%)
HUMNL 6.60 Increased By ▲ 0.06 (0.92%)
KEL 4.50 Decreased By ▼ -0.05 (-1.1%)
KOSM 4.48 Decreased By ▼ -0.09 (-1.97%)
MLCF 36.20 Increased By ▲ 0.79 (2.23%)
OGDC 122.92 Increased By ▲ 0.53 (0.43%)
PAEL 23.00 Increased By ▲ 1.09 (4.97%)
PIAA 29.34 Increased By ▲ 2.05 (7.51%)
PIBTL 5.80 Decreased By ▼ -0.14 (-2.36%)
PPL 107.50 Increased By ▲ 0.13 (0.12%)
PRL 27.25 Increased By ▲ 0.74 (2.79%)
PTC 18.07 Increased By ▲ 1.97 (12.24%)
SEARL 53.00 Decreased By ▼ -0.63 (-1.17%)
SNGP 63.21 Increased By ▲ 2.01 (3.28%)
SSGC 10.80 Increased By ▲ 0.05 (0.47%)
TELE 9.20 Increased By ▲ 0.71 (8.36%)
TPLP 11.44 Increased By ▲ 0.86 (8.13%)
TRG 70.86 Increased By ▲ 0.95 (1.36%)
UNITY 23.62 Increased By ▲ 0.11 (0.47%)
WTL 1.28 No Change ▼ 0.00 (0%)
BR100 6,944 Increased By 65.8 (0.96%)
BR30 22,827 Increased By 258.6 (1.15%)
KSE100 67,142 Increased By 594.3 (0.89%)
KSE30 22,090 Increased By 175.1 (0.8%)

NEW YORK: Oil prices were trading near unchanged on Wednesday, paring gains after spiking on data showing after US inventories dropped by nearly 5 million barrels and demand rose to an all-time high.

Brent crude futures gained 30 cents, or 0.3%, to $91.08 a barrel by 12:01 p.m. EST (1701 GMT). US West Texas Intermediate crude fell 25 cents to $89.11 a barrel.

US crude stocks fell by 4.8 million barrels last week, including a sharp drawdown at the key Cushing hub, as overall product supplied, a proxy for demand, hit a record 21.9 million barrels per day over the past four weeks, government data showed on Wednesday.

The heavy activity, and ramp-up in US refinery processing, suggests the market could be looking at tight supplies for coming months as well.

"This is (refinery) turnaround season which makes this report even more surprising," said Robert Yawger, director of energy futures at Mizuho. "This could be crude oil runs to refineries, refiners trying to restock inventories. We're exporting a large amount of crude as well."

Oil falls $1 on positive signals from US-Iran talks

The prospect of increased supply from Iran pressured the market this week, and the crude benchmarks slid about 2% on Tuesday as Washington resumed indirect talks with Iran to revive a nuclear deal.

An agreement could lift US sanctions on Iranian oil and quickly add supply to the market, although a number of vital issues need to be resolved.

"If US-Iran talks continue to progress, this (price) level should come under some pressure, while a collapse of negotiations could be the catalyst that drives the price towards triple-figure territory," said Craig Erlam, senior market analyst at OANDA.

Industry worries over political risks worldwide had ebbed a bit on Wednesday, several analysts said.

"The concerns about a further escalation of the Russia-Ukraine conflict appear to have eased somewhat following the latest diplomatic efforts, which is reducing the risk premium on the oil price," said Commerzbank commodities analyst Carsten Fritsch.

Comments

Comments are closed.