Asian equities pared losses. Last week, WTI broke below $40 support for the first time since April, entering bear market territory after falling 20 percent from June peaks. More clarity about the US economy’s health and the Federal Reserve’s next move on interest rates could come with Friday’s release of July retail sales and a speech by Janet Yellen, the chair of the USA central bank, later this month.
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“I’m surprised gasoline fell as much as it did today despite the good draw numbers”, said Pete Donovan, broker at Liquidity Energy in NY.
Oman, a non-Opec oil producer, doesn’t “see the point of continuing to be part” of the group, Rumhy told Reuters in an interview in Muscat.
Global stocks were mixed on Thursday. Singapore cut the top end of its 2016 growth forecast after the economy expanded less than previously estimated in the second quarter.
Japan’s markets .N225 are closed for a holiday. That would be a slowdown from this year’s growth of 1.4 million barrels a day.
The IEA said oil markets are re-balancing, but also slashed their demand outlook for 2017.
The Paris-based agency reduced its forecast for 2017 by 100,000 barrels per day citing a dimmer economic outlook following the UK’s vote to leave the European Union.
Oil futures seesawed Wednesday, with USA crude trading about 2 percent lower after the Energy Information Administration’s weekly inventories data release.
Weak oil hurt sentiment on demand for commodities, ending a four-day rally in nickel. A forecast calling for slower global demand for oil next year helped boost crude prices. The number of shares changing hands was about a third less than the 30-day average.
The Dow Jones industrial average fell 37.39 points, or 0.2 percent, to 18,495.66.
Investors bid up shares in several companies that reported strong earnings. Consumer-focused companies, energy and technology stocks were among the biggest gainers. With about 90 per cent of S&P 500 members having posted results, 78 per cent have beaten profit predictions and 56 per cent have topped sales projections.
Futures climbed as much as 0.6 percent in NY after surging 4.3 percent Thursday. Hong Kong and Indonesia are up with modest gains.
US stock index futures were marginally higher as investors turned their focus to a new batch of corporate earnings. The broader All Ordinaries Index is down 43.60 points or 0.77 percent to 5,584.60.
West Texas Intermediate crude oil was up 0.4% to $42.92 a barrel on Tuesday.
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The U.S. dollar edged up 0.2 percent against a basket of currencies. This is 1.2% more than the same period in 2015. Brazil’s real led gains in the past 12 months, up 11 per cent, followed by South Korea’s won with a 7.2 per cent jump. The yield on the 10-year Treasury note rose to 1.52 percent from 1.50 late Wednesday.
