Oil Inventories Are On The Rise Again (USO)

Oil Inventories Are On The Rise Again (USO)

Oil Inventories Are On The Rise Again (USO)

On Irma's heels, Hurricane Jose is heading for the Caribbean Leeward islands, which have just been devastated by Irma, with wind speeds of 120 miles per hour.

Brent crude LCOc1 increased 16 cents at $54.65 a barrel by 1145 GMT, after earlier hitting its highest level since April at $54.80.

West Texas Intermediate for October delivery was at US$49.08 a barrel on the New York Mercantile Exchange, down 1 cent, at 1:36pm in London yesterday.

WTI, the USA standard, declined as demand for oil from refineries has been slow to return to normal levels in the wake of Harvey (http://www.marketwatch.com/story/hurricane-harvey-could-cost-190-billion-be-worst-ever-us-natural-disaster-says-accuweather-2017-08-31).

The amount of oil held in US storage tanks rose by 4.6 million barrels last week after Hurricane Harvey added to the glut that has kept crude prices low for more than three years.

US crude oil prices rose and gasoline prices fell at the start of the holiday-shortened week as the gradual restart of refineries in the Gulf of Mexico that were shut by Hurricane Harvey raised demand for crude and eased fears of a serious supply crunch. Nationwide crude output slid by 749,000 barrels a day to 8.78 million a day.

"Hurricanes can have a lasting effect on refinery and industry demand", said Eugen Weinberg, head of commodities research at Commerzbank in Frankfurt.

Refineries forming 20% of the country's daily refining capacity are still closed, although the majority are in the process of resuming operations. US oil output dropped by almost 8 percent, from 9.5 million barrels per day (bpd) to 8.8 million bpd, according to the Energy Information Administration (EIA).

China: UN should take more action against North Korea
South Korean military officials are working on a ground-to-ground ballistic missile which can carry up to a two-ton warhead. Nikki Haley has dismissed the Russian-Chinese roadmap, saying the United States is "done talking about North Korea".

Rihanna's make-up line has dropped and it looks LIIIIIT
Killawatt Freestyle for the highlighter, Gloss Bomb for the lip luminizer, and Match Stix for the contouring sticks. Fenty Beauty is already receiving rave reviews from the masses based on marketing and advertising alone.

House passes almost $8 billion in Hurricane Harvey relief
If all goes as planned, the Senate would then attach the debt-limit increase and hold a vote before the end of the week. These numbers, which combined amount to about $15 billion, are just for immediate spending needs after Harvey.

"Irma looks like it will miss the key Gulf areas, and we're more anxious about shale", said Mark Watkins, regional investment manager at U.S. Bank.

"The oil market was little changed, as the recovery from Hurricane Harvey stalled at the same time that Hurricane Irma threatened to disrupt the sector in Florida", ANZ bank said.

"With another hurricane threatening to hit the USA coast, traders still remain cautious".

It won't be clear what will happen to oil prices until we know what kind of damage coastal facilities have sustained, but the possibility of higher prices can't be ruled out.

The latest COT data will also be watched closely in late United States trading given the possibility of a sharp adjustment in positions after hurricane Harvey.

Drillers cut three oil rigs in the week to September 8, bringing the total down to 756, the least since June.

The group raise its combined futures and options position in NY and London by 20,525 contracts to 186,421 during the period.

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