SINGAPORE, Apr 24: U.S. Crude held above $89 a barrel on Wednesday, with investors waiting for weekly oil inventory data from the U.S. Government to help gauge the outlook for demand in the world’s largest oil consumer.
FUNDAMENTALS
* U.S. Crude for June delivery had climbed 22 cents to $89.40 a barrel by 0017 GMT.
* June Brent crude edged up 6 cents to $100.37 a barrel after it closed lower on Tuesday for the first time in four sessions as weak manufacturing data from China and Europe pointed to lower fuel demand.
* Data from industry group the American Petroleum Institute showed U.S. Crude stocks fell last week and refined fuel inventories were mixed as crude imports dropped.
* API’s data showed that crude inventories fell by 845,000 barrels in the week to April 19, compared with analysts’ expectations for an increase of 1.5 million barrels.
* Government data, expected at 1430 GMT, will shed more outlook on appetite for oil.
* Goldman Sachs lowered its 2013 Brent price forecast to $105.00 from $110.00, as a possible slowdown in Chinese demand, weaker-than-expected European demand, and higher European refinery activity were seen weighing on crude.
* Last year’s surge in U.S. Oil output came with a hefty price tag as the rush by companies to exploit every opportunity drove the cost of producing marginal barrels some 28 percent higher, according to a report by Bernstein Research released.
* Loading dates for six cargoes of North Sea Forties crude from the May programme have been brought forward due to strong production, trade sources said.
* Oil production from Ghana’s offshore Jubilee field ranged between 110,000 and 115,000 barrels a day over the last 3 months, just short of the expected production plateau capacity, lead operator Tullow Oil said.
* Syria said on Tuesday the European Union had no right to buy crude oil from the country’s opposition, after the EU eased an embargo to help those fighting President Bashar al-Assad.
MARKETS NEWS
* Asian shares are set to track global equities higher on Wednesday, but the euro remained under pressure despite a modest recovery after soft German data underscored the still-fragile state of the euro zone economy.
* The euro languished at two-week lows in early Asian trade on Wednesday.
DATA/EVENTS
* The following data is expected on Wednesday:
– 0800 GMT Germany Ifo business climate April
– 1430 GMT U.S. EIA weekly oil stocks
– 2300 GMT S.Korea GDP growth January Advance
(AGENCIES)
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