Trump bullies OPEC...again

Trump bullies OPEC...again

Trump bullies OPEC...again

Oil futures inched up on Friday amid concerns over supply as US sanctions on Iran's crude exports loom, although calls by US President Donald Trump for lower oilprices dragged.

The U.S. Energy Information Administration (EIA) released its weekly petroleum status report Wednesday morning showing that U.S. commercial crude inventories decreased by 2.1 million barrels last week, maintaining a total U.S. commercial crude inventory of 394.1 million barrels.

Brent crude oil had edged towards the $80 per barrel shortly before Trump's comments, while West Texas Intermediate (WTI) crude had crept above $71 per barrel, despite increased production in Saudi Arabia and Russian Federation.

That figure has now nearly doubled in the last six years, though there was a dip between 2014 and early 2016 when the price of crude plunged and oil companies were forced to scale back operations.

So, as the coalition prepares to meet again on Sunday in Algiers, ministers and delegates will be sure to keep an eye on Twitter as they discuss how to implement their agreed 1 million b/d production rise and whether to make permanent their market management deal beyond its expiry at year-end.

Rising U.S. gasoline prices could create a political headache for Trump before November congressional elections by offsetting Republican tax cuts.

OPEC and its allies seem poised for another contentious meeting in Algeria this weekend as Iran - wounded by USA sanctions - cries betrayal and threatens to veto decisions.

For this year's April-September driving season, the EIA expects U.S. regular gasoline retail prices to average $2.87 a gallon, up 19% from a year ago, mostly due to expectations of higher crude oil prices.

Over the past year, refiners in the East Coast have been receiving as much US crude oil from the Gulf Coast by tanker or barge as they have received from the Midwest by rail. They also don't want oil prices to fall too much'.

According to AAA, the current national average pump price per gallon of regular gasoline is $2.843, up less than a penny from $2.839 a week ago and virtually unchanged compared with the month-ago price. However, that war is not having an impact on crude oil.

By beating Russian Federation and Saudi Arabia, the United States of America this year has become the topmost crude oil producer.

Futures in London were little changed near $79 a barrel after a 1.3 percent gain Tuesday. However, the United State's numbers were less than Russia's 11.21 Million bpd for the same month.

While buyers have already reduced their purchases of Iranian oil due to the USA sanctions, it is not clear yet how other oil producing countries will be able to compensate for the loss of supply.

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