Informist, Thursday, Sep 8, 2022
By Sayantan Sarkar
MUMBAI – Crude oil prices in India fell today, tracking heavy overnight losses in international prices as lockdowns in China continued to dominate the narrative, said analysts.
* China extended its lockdowns to curb the COVID-19 pandemic in Chengdu city, which depressed traders' sentiment. China is the top importer of crude oil in the world.
* "After such a long period of supply driving the crude price, it's demand that appears to be dominating now with traders anticipating a slowdown, maybe even a recession next year," Craig Erlam, senior market analyst, UK, OANDA, said in a note.
* Concerns about steep interest rates in the US and Europe have also weighed on oil prices. The European Central Bank is expected to raise interest rates steeply at its meeting later today, while the US central bank is also likely to go ahead with a steep rate hike later this month.
* At 1710 IST:
--September contract on the Multi Commodity Exchange of India was down 0.2% at 6,598 rupees per barrel.
--October contract on the New York Mercantile Exchange was up 0.7% at $82.51 per bbl.
* Prices have fallen amid the brewing energy crisis in Europe as Russia has indefinitely stopped gas supplies to the continent through the Nord Stream 1.
* Even as prices fell today, the increasing shortage of energy supply in Europe is likely to squeeze the market with the winter just around the corner.
* The US Energy Information Administration said in its Short Term Energy Outlook that higher gas prices are likely to lead to increased consumption of oil in the next two quarters.
* Outlook for the evening session by HDFC Securities:
--MCX contract is seen at 6,450-6,650 rupees per bbl
--NYMEX contract is seen at $80-$84 per bbl
End
US$1 = 79.71 rupees
IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT
Edited by Avishek Dutta
For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.
Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.
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© Informist Media Pvt. Ltd. 2022. All rights reserved.
Informist, Thursday, Sep 8, 2022
By Sayantan Sarkar
MUMBAI – Crude oil prices in India fell today, tracking heavy overnight losses in international prices as lockdowns in China continued to dominate the narrative, said analysts.
* China extended its lockdowns to curb the COVID-19 pandemic in Chengdu city, which depressed traders' sentiment. China is the top importer of crude oil in the world.
* "After such a long period of supply driving the crude price, it's demand that appears to be dominating now with traders anticipating a slowdown, maybe even a recession next year," Craig Erlam, senior market analyst, UK, OANDA, said in a note.
* Concerns about steep interest rates in the US and Europe have also weighed on oil prices. The European Central Bank is expected to raise interest rates steeply at its meeting later today, while the US central bank is also likely to go ahead with a steep rate hike later this month.
* At 1710 IST:
--September contract on the Multi Commodity Exchange of India was down 0.2% at 6,598 rupees per barrel.
--October contract on the New York Mercantile Exchange was up 0.7% at $82.51 per bbl.
* Prices have fallen amid the brewing energy crisis in Europe as Russia has indefinitely stopped gas supplies to the continent through the Nord Stream 1.
* Even as prices fell today, the increasing shortage of energy supply in Europe is likely to squeeze the market with the winter just around the corner.
* The US Energy Information Administration said in its Short Term Energy Outlook that higher gas prices are likely to lead to increased consumption of oil in the next two quarters.
* Outlook for the evening session by HDFC Securities:
--MCX contract is seen at 6,450-6,650 rupees per bbl
--NYMEX contract is seen at $80-$84 per bbl
End
US$1 = 79.71 rupees
IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT
Edited by Avishek Dutta
For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.
Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.
Informist Media Tel +91 (11) 4220-1000
Send comments to feedback@informistmedia.com
© Informist Media Pvt. Ltd. 2022. All rights reserved.
