Oil prices stable on strong Chinese imports, OPEC-led production cuts

INDORE, India - Feb. 10, 2017 - PRLog -- * China January. Crude imports at third highest ever

* OPEC-led production reduces support oil prices

* But bloated U.S. market weighs on prices

Oil costs were steady on Friday, supported by solid Chinese crude oil imports and OPEC-drove production reduces, albeit adequate U.S. fuel inventories weighed on the market.Brent crude futures LCOc1 , the global benchmark at oil costs, were trading at $55.68/barrel at 0427 GMT, gain 5 cents from their past end .U.S. West Texas Intermediate (WTI) crude futures CLc1 were gain 7 cents at $53.07 a barrel.

Investors said that robust Chinese crude import data was supporting prices on Friday.

China's crude oil imports in Jan. Increased 27.5% from a year prior to the 3th-most elevated volume regularly, proposing strong demand despite of disturbances from the Lunar New Year holiday.China imported 34.03 million tons, or 8.01 million barrels for each day (bpd), the General Administration of Customs noted on Friday. The imports were fall from December's record 8.57 million bpd. this, both crude futures have traded inside a $5 territory since the start of the year, and this was because of contending value drivers.

"The push and draw between contending strengths in the crude oil market continued with overnight. In spite of the more grounded U.S. dollar .DXY and waiting worries about U.S. (oil) inventories, investors gave back their spotlight to the OPEC production reduces being actualized right now," it included.

The Organization of the Petroleum Exporting Countries (OPEC) and different producers including Russia have consented to cut output by right around 1.8 million barrels for each day amid the first half of 2017 to get control over a worldwide fuel supply overhang.

At first, there was broad suspicion that all producers will really make the promised reduces, however consistence with the reported decreases is presently evaluated to be in the between of 80 and 90% as OPEC's de-facto leader Saudi Arabia has implemented heavy production cuts.

The following OPEC data is expected to be published next week.Despite the OPEC-drove reduces, oil markets remain bloated as inventories, particularly in the United States, are overflowing and improving U.S. drilling action is pushing up production there also.

As a result, WTI and Brent crude oil futures are between 4 to 5% underneath their initial Jan. peaks. Posted by (https://www.swastika.co.in)