Oil & Gas Market Updates – 29June2011

  • Crude oil rebounded on Tuesday to post the biggest one-day percentage gain in almost six weeks on optimism that Greece would move to resolve its debt crisis and a weaker dollar. This rebound was also expected from a technical perspective, since crude oil was oversold and had to rebound. The real price trend of crude will be visible after a week.
  • U.S. crude oil stocks showed a larger-than expected drop last week, while gasoline stocks unexpectedly fell, according to data released Tuesday by the American Petroleum Institute.
  • European demand can not absorb the 15 million barrels of fuels that the West’s energy watchdog aims to release over the next month and whatever supplies are sold will deepen the refining industry’s crisis.
  • Yemen is considering using force to secure and repair its main oil pipeline, blown up in an attack by angry tribesmen in mid- March, a senior Yemeni official told Reuters on Tuesday.
  • Russia will call on Japan to jointly develop oil and natural gas resources near an island chain north of Japan, the Nikkei business daily said, in an area claimed by both which has overshadowed relations for more than six decades.