OPEC won't react to Trump's threats, pushing Brent crude oil prices higher

Traders gathered at the Asia Pacific Petroleum Conference in Singapore anticipated oil prices to go back to the heady days of $100 per barrel levels. REUTERS

"We protect the countries of the Middle East, they would not be safe for very long without us, and yet they continue to push for higher and higher oil prices!".

"Saudi Arabia and Russian Federation confirmed that they not raising output - and this is bad news for President Trump as he wants a lower oil price that is good for business", said CMC Markets David Madden.

The United States from November will target Iran's oil exports with sanctions, and Washington is putting pressure on governments and companies around the world to fall in line and cut purchases from Tehran.

Crude oil futures have spiked in early Asian trade on Monday, a move unlikely to be welcomed by US President Donald Trump who took to Twitter late last night to express his displeasure at recent price gains.

The official further underlined the fact that OPEC's Joint Ministerial Monitoring Committee (JMMC) which set to meet on Sunday in Algiers has no authority to impose a new supply arrangement.

"It is now increasingly evident, that in the face of producers reluctant to raise output, the market will be confronted with supply gaps in the next three-six months that it will need to resolve through higher oil prices", BNP Paribas oil strategist Harry Tchilinguirian told Reuters Global Oil Forum. He sees US$90 oil by Christmas and US$100 in early 2019.

More news: Karl-Anthony Towns Agrees To $190M Max Deal With Timberwolves

Brent for November settlement rose $1.81 to $80.61 a barrel on the ICE Futures Europe exchange at 10:47 a.m.in NY.

"Fears that supply will be hit when the USA sanctions on Iran kick in come November are pushing up oil prices".

The U.S. trade balance between imports and exports widened during that time, with net imports reaching 4.54 million barrels per day in August, up 56 percent from two months prior. "This is because OPEC have essentially ignored President Trump's call to raise output to help lower prices", said Ashley Kelty, oil and gas research analyst at financial services firm Cantor Fitzgerald.

"The biggest issue is not with the producing countries, it's with the refiners, it's with the demand".

"OPEC did not guarantee that they would automatically replace lost Iranian barrels of oil due to sanctions", said Bob Yawger, director of the futures division at Mizuho Securities USA. "The reason Saudi Arabia didn't increase more is because all of our customers are receiving all of the barrels they want".

That suggests OPEC's power to influence the market will be tempered by USA production for about another decade.

Related News:

Most liked

Mohamed Salah Beats Out Bale And Ronaldo Among Others For Puskas Award
It is for my Real Madrid team-mates, the Croatia national team and all my coaches. The award were presented at this season's Champions League group-stage draw.

Modric and Marta scoop Federation Internationale de Football Association player of the year awards
Best Goalkeeper award: The best goalkeeper was by Belgian global and Chelsea goalkeeper, Thibaut Courtois . Real Madrid and Croatia midfielder Luka Modric has emerged the victor of the 2018 FIFA Men's Best Player.

49ers quarterback done for season with torn ACL — Jimmy Garoppolo injury
But the point is that Savage has started games in the National Football League so teams value that experience, somehow. Jimmy Garoppolo's addition last season immediately turned around the fortunes of the San Francisco 49ers .

A 'devastated' Michelle Guthrie departs the ABC
In an internal email to staff, the ABC said the board had given "long and detailed consideration to this serious matter". David Anderson , a 30-year ABC veteran, will be acting managing director while a formal search for a replacement begins.

Kerala Nun Rape: Bishop Mulakkal Arrested
The decision to arrest the Bishop will be taken post-interrogation, reported the daily. The nun has reportedly faced backlash for reporting the bishop to authorities.

Tiger Woods caps comeback with Tour Championship victory
Finau's chances of winning the tournament are slim, as are his chances of capturing the season-long FedEx Cup championship. The roars were earsplitting as Woods stepped into the sand trap and sent the shot just a few feet from the hole.

Lindsey Graham Says Ford Testimony Won’t Change His Vote
Ford has also not provided a date, time , or specific house, making any criminal investigation unlikely. He has said he wants to testify as soon as possible to clear his name.

Government calls off meeting with Pakistan at UNGA: MEA Spokesperson
India called off on Friday a planned meeting of its foreign minister with her Pakistani counterpart on the sidelines of the U.N. Asked if Pakistan will approach India again for negotiations, he said, "We said that we want dialogue but in a dignified way".

Several dead, dozens wounded after unknown gunmen attack military parade in Iran
Iran's Revolutionary Guard is a paramilitary force answerable only to Supreme Leader Ayatollah Ali Khamenei. Gholamreza Shariati told IRNA that two gunmen were killed and other two were arrested.

Unai Emery provides update on Lucas Torreira
Torreira's injury comes at a bad time for the Arsenal , as the Gunners prepare to face Everton in the Premier League on Sunday . The Uruguayan worldwide was impressive and I'd like to see him keep his place but I don't think Emery will risk him.

Kavanaugh Accuser Christine Blasey Ford Willing to Testify Next Week
Ford's lawyers said on Tuesday she would testify before the committee only if the FBI first investigated her allegation. Trump and other Republicans, cautious of alienating women, had treated Ford carefully while calling for a quick vote.

Five talking points from the weekend's Premier League
And he drew a laugh when he joked about goal-scorer Chris Smalling's new haircut. He said on beIN SPORTS: "I think they are overly reliant on Hazard".

This is the iPhone XS queue in Singapore
The new prices are R1,500 more than the starting prices of the previous iPhone X in South Africa a year ago . Along with this big display, Apple has tucked the new A12 Bionic processor under the glass and metal body.

No Deal Brexit? May Promises To Protect EU Nationals In UK
Challenges to her Brexit plan and her leadership will take centre stage at a raucous party conference in early October. Jeremy Corbyn said May's negotiating strategy had been a "disaster".

Ford attorney demands: Kavanaugh testifies first, Judge subpoena, and no outside counsel
Ford rejected that, saying she "knew them both, and socialized with" them, according to a Washington Post report . Court of Appeals for the District of Columbia Circuit, has repeatedly denied her allegation.