From Their Last Close

 end-ofTags: oil prices, crude oil, opec, oil productionLocation: Singapore, –, Singapore.Secretary of State Mike Pompeo will announce “that, as of China Wood plastic crust foam screw barrel Factory May 2, the State Department will no longer grant sanctions waivers to any country that is currently importing Iranian crude or condensate”, Rogin said, citing two State Department officials that he did not name.PTI Published: Apr 22, 2019, 10:54 am IST Updated: Apr 22, 2019, 10:54 am IST Brent crude futures rose as much as 3.82 by 0452 GMT, up 2.In March, Iran was the fourth-largest producer among the Organization of the Petroleum Exporting Countries (OPEC) at 2.”He added that Brent prices are likely to rise toward USD 86.31 a barrel, the highest since November.29 a barrel, the highest price it reached in 2018, while WTI may climb to USD 76.A person familiar with the situation told Reuters the report was accurate, although a State Department spokesman declined to comment.Brent crude futures rose as much as 3.3 per cent to USD 74.

Analysts criticised the end to the exemptions, which would hit Asian buyers the hardest.Washington, however, granted Iran’s eight main buyers of oil, mostly in Asia, waivers to the sanctions which allowed them limited purchases for six months.6 per cent from their last close.The US put the sanctions back on Iranian oil exports after President Donald Trump unilaterally pulled out of a 2015 nuclear accord between Iran and six world powers.9 percent to USD 65.Iran’s biggest oil customers are China and India, who have both been lobbying for extensions to sanction waivers.31 a barrel, the highest since November 1, before easing back to USD 73.75 million barrels per day (bpd) though exports have shrunk to about 1 million bpd since sanctions were reimposed in November.Singapore: Oil prices rallied by about 3 per cent on Monday to their highest since late 2018 as the United States was set to announce that all imports of Iranian oil must end or be subject to sanctions.“This is not a good policy for Trump,” said Takayuki Nogami.

Chief economist at Japan Oil, Gas and Metals National Corporation (JOGMEC), adding that “concerns over tightening global oil supply and lower excess production capacity are expected to bolster oil prices higher.38 at 0452 GMT, up 2.6 per cent from their last close.3 per cent to USD 74.Brent prices are likely to rise toward USD 86.29 a barrel, the highest price it reached in 2018, while WTI may climb to USD 76.41.News that the United States is preparing to announce on Monday that current buyers of Iranian oil would no longer be given waivers to current sanctions was first reported on Sunday by Washington Post foreign policy and national security columnist Josh Rogin.87 per barrel, the most since Oct 31, and were at USD 65.41.US West Texas Intermediate (WTI) crude futures climbed by as much as 2.

To Bear High Fuel Price

 Petrol and diesel prices are spiralling out of control. But now when international crude oil prices are rising and the rupee is falling, consumers have to bear the burden. But as fuel prices continue to pinch consumers, the question remains — Have we done enough to tackle the crisis?Petrol and diesel prices are on a fire again, hitting farmers, transporters, fishermen, consumers and commuters. In all, duty on petrol was hiked by Rs 11.Excise duty on petrol China single screw barrel Factory is currently at Rs 19. India meets over 80 per cent of it’s fuel demand through imports so prices are largely dependent on external factors and taxes by Centre and state governments.It seems consumers will have to bear high fuel prices until political pressure forces governments to reduce taxes on fuel, work out some alternative mechanism for oil prices or external factors improve.47 a litre. Besides, finance ministry officials thinks that while a Rs 2-3 cut in tax may not provide a large benefit to general public, it will have an adverse impact on revenue. The current spurt in fuel prices is due to two factors: free fall in Indian rupee’s value in the international currency market and the volatility in international prices of crude. Delhi charges a VAT of 27 per cent on petrol and 17. The total tax incidence on petrol comes to 45-50 per cent and on diesel, it is around 35-40 per cent.

States, especially Kerala, pointed out that with everything being brought under GST, states’ options to raise resources have come down. In initial years of the Modi government, the crude prices had fallen to below $40 a barrel against high of $120 per barrel witnessed during UPA 2. So consumers in India did not really benefit from lower global prices.24 per cent on diesel. They said that products that are outside GST’s purview should remain so. the government seems to be looking away and pointing towards global issues. Opposition parties have also announced nation-wide strikes and protests over the record-high fuel prices. Besides, the states also impose high rate of taxes on fuel that vary from one state to another.48 per litre and on diesel by Rs 15. However, states are reluctant to let go of their right to tax petrol and diesel. In its earlier years, the Narendra Modi government benefited from a low global crude oil prices due to excess crude inventory world-wide. Crude oil prices were hovering around $76. Due to geopolitical factors international crude oil prices are also volatile. This week the rupee fell to a new low of 71 against US dollar.77 per litre and that on diesel by Rs 13. 

US sanctions against Iran, the third biggest exporter of oil to India, make it difficult for its allies like India to manage the oil demand supply. So, every time there is an increase in crude prices public sector oil marketing companies pass on the hike in to consumers, on a daily basis.16 a barrel on Friday. However, in October 2017, the Centre had reduced basic excise duty on petrol and diesel by just Rs 2 per litre.Since the UPA-2 days, oil producing countries have tried to bring down their production to jack up crude oil prices and geopolitical tension has made things worse.India deregulated the price of petrol in 2010 and that of diesel in 2014, ending government’s control over fuel prices that are now decided depending upon the price of crude oil in international market. 

However, when crude oil prices were falling the Modi government started hiking taxes on petrol and diesel to increase its tax kitty.12 per cent on petrol, while Telangana levies the highest VAT of 26 per cent on diesel. Taxes from GST have not been as per expectation and shortfall in taxes could hit government’s fiscal deficit target of 3.3 per cent of the GDP. Between November 2014 and January 2016, Centre had raised excise duty on petrol and diesel on nine occasions to take away most gains arising from plummeting international oil prices. Mumbai has the highest VAT of 39.However, the Centre currently does not want to reduce taxes on fuel as this might hit its revenue.With Assembly elections scheduled in four important states including Madhya Pradesh and Rajasthan soon, the Centre is under pressure to intervene and offer relief to people.Oil minister Dharmendra Pradhan has suggested bringing petrol and diesel under GST to bring down taxes on diesel and petrol to give relief to consumers.

Waivers To The Sanctions

  Brent crude futures rose as much as 3.3 per cent to USD 74.31 a barrel, the highest since November.Brent prices are likely to rise toward USD 86.29 a barrel, the highest price it reached in 2018, while WTI may climb to USD 76.41.Singapore: Oil prices rallied by about 3 per cent on Monday to their highest since late 2018 as the United States was set to announce that all imports of Iranian oil must end or be subject to sanctions.Brent crude futures rose as much as 3.3 per cent to USD 74.31 a barrel, the highest since November 1, before easing back to USD 73.82 by 0452 GMT, up 2.6 per cent from their last close.US West Texas Intermediate (WTI) crude futures climbed by as much as 2.9 percent to USD 65.87 per barrel, the most since Oct 31, and were at USD 65.38 at 0452 GMT, up 2.6 per cent from their last close.

News that the United States is preparing to announce on Monday that current buyers of Iranian oil would no longer be given waivers to current sanctions was first reported on Sunday by Washington Post foreign policy and national security columnist Josh Rogin.Secretary of State Mike Pompeo will single screw barrel announce “that, as of May 2, the State Department will no longer grant sanctions waivers to any country that is currently importing Iranian crude or condensate”, Rogin said, citing two State Department officials that he did not name.A person familiar with the situation told Reuters the report was accurate, although a State Department spokesman declined to comment.In March, Iran was the fourth-largest producer among the Organization of the Petroleum Exporting Countries (OPEC) at 2.75 million barrels per day (bpd) though exports have shrunk to about 1 million bpd since sanctions were reimposed in November.

The US put the sanctions back on Iranian oil exports after President Donald Trump unilaterally pulled out of a 2015 nuclear accord between Iran and six world powers.Washington, however, granted Iran’s eight main buyers of oil, mostly in Asia, waivers to the sanctions which allowed them limited purchases for six months.Analysts criticised the end to the exemptions, which would hit Asian buyers the hardest.“This is not a good policy for Trump,” said Takayuki Nogami, chief economist at Japan Oil, Gas and Metals National Corporation (JOGMEC), adding that “concerns over tightening global oil supply and lower excess production capacity are expected to bolster oil prices higher.”He added that Brent prices are likely to rise toward USD 86.29 a barrel, the highest price it reached in 2018, while WTI may climb to USD 76.41.Iran’s biggest oil customers are China and India, who have both been lobbying for extensions to sanction waivers.

Most Recent Peak This Year

Brent has risen by around 20 per cent from the most recent lows in August.Crude prices continued their meteoric rise as Canada and (the) US updated the NAFTA treaty.Singapore: Oil markets were firm on Tuesday, with Brent crude holding near four-year highs reached the previous day as markets adjust to the prospect of tighter supply once the US sanctions against Iran kick in next month.International benchmark Brent crude oil futures were at $85.03 per barrel at 0439 GMT, up 5 cents from their last close, and not far off the $85.45 peak reached in the previous session, the highest since November 2014.Brent has risen China Wood plastic crust foam screw barrel Factory by around 20 per cent from the most recent lows in August.US West Texas Intermediate (WTI) crude futures were up 24 cents, or 0.3 per cent, at $75.54 a barrel.WTI is up by about 17 per cent since mid-August.

Sentiment was lifted by a last-gasp deal to salvage NAFTA as a trilateral pact between the United States, Mexico and Canada, rescuing a $1.2 trillion a year open-trade zone that had been about to collapse.“Crude prices continued their meteoric rise as Canada and (the) US updated the NAFTA treaty, which would augur well for economic growth,” said Sukrit Vijayakar, director of energy consultancy Trifecta.More fundamentally, oil markets have been pushed up by looming US sanctions against Iran’s oil industry, which at its most recent peak this year supplied almost 3 percent of the world's almost 100 million barrels of daily consumption.Trade data in Refinitiv Eikon showed Iran’s seaborne exports in September were just 1.9 million barrels per day, the lowest level since mid-2016.“Oil prices continue to climb, supported by the nearing Iran embargo and related supply concerns,” said Norbert Ruecker, head of commodity research at Swiss bank Julius Baer.“The supply situation looks fragile indeed, as any additional shortfall such as a deterioration of the situation in Venezuela would tighten oil supplies.”

HSBC said in its fourth quarter Global Economics outlook that “our oil analysts believe there is now a growing risk it (crude) could touch $100 per barrel.”Washington’s sanctions are set to start on Nov 4, and analysts say there may not be enough spare production capacity in the short-term to meet demand, potentially requiring large storage drawdowns.“The camp of believers that $100 oil could be reached continues to expand, with spare capacity concerns continuing to grow,” said Brian Kessens, managing director at investment services firm Tortoise.The Organization of the Petroleum Exporting Countries (OPEC), of which Iran is a member, has struggled to replace export falls from Iran, according to a Reuters survey published on Monday.With crude prices soaring and many currencies in emerging markets, including India’s rupee and Indonesia’s rupiah declining, analysts warn that economic growth may be eroded.“US (fiscal) tightening, higher oil prices and ongoing trade frictions are all taking their taking their toll on the growth outlook,” HSBC said.

Frustration With Oil Prices

 Saudi Arabia said it would make sure the world is adequately supplied with oil to support global economic growth.Saudi Arabia said on Thursday it would make sure the world is adequately supplied with oil to support global economic growth just as top consumer India expressed frustration with oil prices hitting USD 80 per barrel for the first time since 2014.New Delhi: Saudi Arabia said on Thursday it would make sure the world is adequately supplied with oil to support global economic growth just as top consumer India expressed frustration with oil prices hitting USD 80 per barrel for the first time since 2014.OPEC’s most influential energy minister, Saudi Arabia’s Khalid al Falih, called India’s Petroleum Minister Dharmendra Pradhan to assure him that supporting global economic growth was “one of the kingdom’s key goals”, the Saudi ministry said in a statement.“He (Falih) reiterated his commitment towards market stability and that the Kingdom together with other producers will ensure availability of adequate supplies to offset any potential shortfalls,” the statement said.

The statement came as oil prices rose back to USD 80 per barrel for the first time since 2014 due to rising concerns over disruptions to Iranian oil exports because of new US sanctions and due to plummeting output in Venezuela.Both the Saudi and Indian ministries said Pradhan expressed concern about escalating prices and the impact it has on consumers and especially on the Indian economy, the world’s third largest oil consumer.“I expressed my concern about rising prices of crude oil and its negative impact on consumers and the Indian economy and reiterated the need for stable and moderate crude oil prices,” Pradhan said in a statement.The statements said Falih briefed Pradhan on his consultations with major producing countries both in and outside of OPEC, including Russia. India is one of the world’s fastest growing energy consumers and its oil use only lags granulation screw barrel Suppliers behind the United States and China. 

OPEC and its ally Russia have cut their output since January 2017 to help reduce excessive global stockpiles.So far OPEC has said it saw no need to ease output restrictions despite global stocks falling to its desired levels and despite consuming nations voicing concerns the price rally might have gone too far and could lead to demand destruction.OPEC member the United Arab Emirates said on Thursday OPEC had bigger issues to consider than the impact of the US decision to withdraw from the international nuclear deal with Iran such as Venezuela’s collapsing output. US President Donald Trump has also called on OPEC to help cool oil prices saying they were artificially high and that it was “unacceptable”.end-ofTags: saudi arabia, dharmendra pradhan, khalid al-falih, petroleum minister, oil pricesLocation: India, Delhi, New Delhi.