While the U.S. gave Huawei a 90-day reprieve, allowing American businesses to keep selling specific products to the Chinese firm, it also added more affiliates of the...Technologyread more
The attacks come after state and local ransomware attacks in New York, Louisiana, Maryland and Florida resulted in the loss of significant sums.Technologyread more
United States Steel Corp will temporarily lay off hundreds of workers at its Great Lakes facility in Michigan in coming weeks, according to a filing the steelmaker made with...US Marketsread more
While Hong Kong leader Carrie Lam painted a bleak picture of the city's economy, she expressed hope that dialogue with protesters could provide "a way out."China Politicsread more
China's pursuit of the Middle East may spur growth in the Islamic finance sector.World Economyread more
Twitter and Facebook have suspended accounts believed to be tied to a state-backed disinformation campaign originating from inside China.Technologyread more
U.S. President Donald Trump and his former White House communications director Anthony Scaramucci have had a public falling out recently.Politicsread more
The report comes as Trump in recent days has lashed out over media reports about growing recession fears.Politicsread more
Beijing will lower borrowing costs for companies, but that may not boost the economy as much as some hope.China Economyread more
Stocks are bouncing higher but could be trapped in a range longer term, until there's a resolution of the trade wars.Market Insiderread more
Stocks in Asia mostly traded higher Tuesday afternoon as minutes from the Reserve Bank of Australia's July meeting were released. The People's Bank of China also published its...Asia Marketsread more
OPEC is widely expected to extend production cuts that initially boosted oil futures above $50, but prices just keep falling.
That raises concerns that oil prices could struggle to return to their 2017 highs in the mid and upper $50s even if the Organization of the Petroleum Exporting Countries carries over the output reductions through the second half 2017 when it meets in three weeks.
That announcement could boost prices by $2 or $3 a barrel, said John Kilduff, founding partner at energy hedge fund Again Capital.
But that would leave a lot of ground to cover. Thursday's sell-off sent U.S. crude prices below $46 a barrel, while Brent futures slumped to under $49. Those levels have not seen since Nov. 30, when OPEC agreed to slash output by 1.2 million barrels a day in a bid to shrink huge stockpiles around the world.
U.S. West Texas Intermediate crude oil 3-day performance
Early losses fueled by technical selling accelerated after OPEC sources told Reuters that the cartel was unlikely to make cuts deeper. Some believe that is necessary because U.S. drillers have taken advantage of this year's higher prices to increase production, while OPEC members Libya and Nigeria, both exempt from the deal, have raised output more than anticipated.
Despite historically high compliance to production quotas, the world's storage tanks are still brimming.
This week, a Reuters survey indicated that OPEC's April compliance remained above 90 percent, but had slipped from the previous month. That shows compliance "is as good as it's going to get for them, and it's still not working," said Kilduff.
"People keep forecasting that global inventories are going to come down, but so far, they haven't for the most part," he said.
U.S. crude stockpiles have fallen in the last four weeks, but remain near an all-time high set in March. Meanwhile, inventories in developed countries were 336 million barrels above the five-year average in February, the International Energy Agency said in its latest report.
"I think there's a consensus view that the glut is slimming down, but ... it is at a painstakingly slow pace that makes a glacier look like a rocket," said Tom Kloza, global head of energy analysis at Oil Price Information Service.
Kloza expects stockpiles to draw more quickly this quarter and next as the summer driving season gets under way, but refiners risk creating a glut of refined fuels like diesel and gasoline.
That is becoming a growing concern for analysts because recent government data has shown weak demand for gasoline despite robust activity at the refineries that churn out fuel.
"The problem is that gasoline demand in the U.S. certainly appears to be off compared to last year, and if we don't pull gasoline inventories during the driving season, what it means is we're just turning the crude oil surplus into a petroleum products surplus," said Andy Lipow, president of Lipow Oil Associates.
Helima Croft, global head of commodity strategy at RBC Capital Markets, cautioned that the market may be reading too much into recent headlines.
She noted that the implied drop in OPEC compliance was driven by a production increase in Angola and a smaller-than-expected output drop from the United Arab Emirates, while overall adherence, particularly among large exporters, remains high.
As for worries about rising output in Libya, the country has experienced stops and starts in its oil fields throughout a long civil conflict, she said. It also remains to be seen whether militias will support a nascent power-sharing deal between the nation's chief adversaries.
Traders are "looking for any sign that OPEC will capitulate," she said. "Everything is read through a bearish lens."