November has proven to be an action filled month for Planet Earth. Donald Trump’s election as the next President of the United States on November 8 stunned the world’s global energy markets and media.
The "call on US shale": Should OPEC be careful of what it wishes for?
Price Stability: the focus of the upcoming OPEC meeting.
Oil prices have risen in the past weeks, with ICE Brent prices topping US$50/bbl briefly.
Bearish sentiment has arisen over what appears to be a supply and demand imbalance.
Global oil price benchmarks have experienced a rally over the last couple of months.
With many oil majors announcing subdued quarterly results over recent weeks, it is clear that the oil industry is not out of the woods yet. However, the oil markets are showing renewed signs of life, as oil prices nudge upwards towards US$50/bbl. Geo-political risk continues to be a driving factor for oil prices, with various oil-producing powers - Russia, the US, OPEC, to name but a few - locked in a struggle to agree a sustainable global supply level that could help prices bounce back. As a result, the global energy markets remain an interesting space to watch.
Mirroring the volatility that has shrouded the oil and gas markets over the last two years, ICE Brent prices have see-sawed in April, ranging between US$37-45/bbl.
ICE Brent contracts rose to over US$40/bbl in March, setting a 2016 high. Despite ominous economic signals from China, and crude exports dropped by a quarter in February, supply forecasts have supported global crude benchmarks this month.
Sharp volatility continues to permeate through the oil markets.
Sentiment surrounding crude oil benchmarks in 2016 followed a similar vein to where it left off the previous year: bearish.
Brent drops below US$40/barrel, OPEC monthly production at 3-year high.
A myriad of supply and demand forces continue to add downward price pressure on crude benchmarks.
Oil prices remained fixed around 50 US dollars (US$) per barrel (b) as the tug-of-war battle between OPEC and the US continued to take centre stage in the oil market.
Volatility in the oil markets persisted in August and early September as market contagion from Chinese equities spread to various commodity bourses, including oil price benchmarks which sunk to 6 year lows.
Crude oil prices in July and early August continued in a downward trajectory – with both the Brent and WTI benchmarks falling below a key psychological support level at 50 US dollars (US$) per barrel (b).
Oil price benchmarks traded lower in June and early July as both fundamental and technical indicators combined to paint a bleak picture for global oil prices.
The Organization of the Petroleum Exporting Countries (OPEC) continued its global market-share strategy by deciding to maintain the production ceiling at 30 million barrels per day (mb/d) during the 5 June 2015 meetings in Vienna./P>
Crude oil futures rallied throughout April and early May registering the biggest monthly gains since May 2009.
Global crude benchmarks drifted south in March and early April as news of a possible Iranian nuclear deal began to filter down to trading floors.
Oil benchmarks remained volatile in February and early March as competing market fundamentals continued to drive fluctuating price movements.
Volatility remained the watchword in the oil markets as the ICE Brent contract registered a seventh consecutive monthly fall in January, slumping to a low of United States Dollars (USD) 46.40/barrel, before rallying to a 5-week high in early February, fetching US$60.08/b.
Falling oil prices continued to dominate news headlines in December and early January. Both the WTI and Brent contracts slumped to 5½ year lows as bearish demand data triggered further selling pressure.
Global crude oil benchmarks took another dramatic fall in November as expectations that OPEC would maintain production levels were realised (c. 30/mbpd).
Global oil prices have fallen 25 percent since June 2014, and supply/demand fundamentals suggest this is the beginnings of a tug-of-war battle between the bears and the bulls.