{"id":40243,"date":"2018-11-07T10:53:26","date_gmt":"2018-11-07T15:53:26","guid":{"rendered":"http:\/\/olduvai.ca\/?p=40243"},"modified":"2018-11-07T10:53:26","modified_gmt":"2018-11-07T15:53:26","slug":"wti-slumps-to-61-handle-after-us-crude-production-soars-to-new-record-high","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=40243","title":{"rendered":"WTI Slumps To $61 Handle After US Crude Production Soars To New Record High"},"content":{"rendered":"<div id=\"block-zerohedge-page-title\" class=\"block block-core block-page-title-block\">\n<h3 class=\"page-title\"><span class=\"field field--name-title field--type-string field--label-hidden\"><a href=\"https:\/\/www.zerohedge.com\/news\/2018-11-07\/wti-slumps-61-handle-after-surprise-crude-gasoline-builds\">WTI Slumps To $61 Handle After US Crude Production Soars To New Record High<\/a><\/span><\/h3>\n<\/div>\n<div id=\"block-zerohedge-content\" class=\"block block-system block-system-main-block\">\n<article class=\"node node--type-article node--view-mode-full\" role=\"article\" data-gtm-vis-recent-on-screen-2077925_22=\"1116\" data-gtm-vis-first-on-screen-2077925_22=\"1116\" data-gtm-vis-total-visible-time-2077925_22=\"100\" data-gtm-vis-has-fired-2077925_22=\"1\">\n<div class=\"node__content\">\n<div class=\"clearfix text-formatted field field--name-body field--type-text-with-summary field--label-hidden field__item\">\n<p>Despite sliding after<a href=\"https:\/\/www.zerohedge.com\/news\/2018-11-06\/wti-extends-losses-after-big-surprise-crude-build\"> last night&#8217;s API-reported big Crude and Cushing build<\/a>, WTI has rebounded overnight amid a post-midterms tumbling dollar, but a larger crude build than expected from DOE, combined with a smaller gasoline draw, <em><strong>could lead to WTI \u201cset to test $60 easily,\u201d<\/strong><\/em>\u00a0Tariq Zahir, a commodity fund manager at Tyche Capital Advisors, says<\/p>\n<p>Additionally, Oil rose on the back of headlines that <strong>OPEC and its allies were said to plan talks on fresh production cuts next year, <\/strong>responding to recent increases in crude inventories amid surging U.S. supply.<\/p>\n<blockquote><p><em><strong>\u201cThe Saudis want to stop the price decay,\u201d <\/strong><\/em>said Giovanni Staunovo, an analyst at UBS Group AG in Zurich.<\/p>\n<p>\u201cThere are many moving variables until the OPEC meeting in December, like Iran and U.S. production growth. But as the Saudis say they aim for market stability, if the data suggests an oversupplied market next year the probability of a cut is high.\u201d<\/p><\/blockquote>\n<p>However, as Bloomberg notes, <strong>if OPEC, led by Saudi Arabia, does ultimately decide fresh cutbacks are necessary, it will confront a number of challenges. <\/strong>It will need to once again secure the support of rival-turned-partner Russia, which has less need for high oil prices. There\u2019s also the risk of antagonizing the kingdom\u2019s key geopolitical ally, President Trump.<\/p>\n<p><u><strong>API<\/strong><\/u><\/p>\n<ul>\n<li><strong>Crude +7.831mm (+2mm exp)<\/strong><\/li>\n<li>Cushing +3.073mm (+2.1mm exp)<\/li>\n<li>Gasoline -1.195mm<\/li>\n<li>Distillates -3.638mm<\/li>\n<\/ul>\n<p><u><strong>DOE<\/strong><\/u><\/p>\n<ul>\n<li><strong>Crude +5.78mm (+2mm exp)<\/strong><\/li>\n<li>Cushing +2.419mm (+2.1mm exp)<\/li>\n<li><strong>Gasoline +1.85mm (-1.7mm exp)<\/strong><\/li>\n<li>Distillates -3.465mm<\/li>\n<\/ul>\n<p><strong>Crude and Cushing inventories rose for the seventh straight week <\/strong>(considerably more than expected) and a <strong>surprise gasoline build, <\/strong>sent WTI prices back below pre-API levels from last night and back to a $61 handle&#8230;<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/inline-images\/2018-11-07_7-33-03.jpg?itok=d3Imkqmi\" data-image-external-href=\"\" data-image-href=\"\/sites\/default\/files\/inline-images\/2018-11-07_7-33-03.jpg?itok=d3Imkqmi\" data-link-option=\"0\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/inline-images\/2018-11-07_7-33-03.jpg\" srcset=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/styles\/inline_image_desktop\/public\/inline-images\/2018-11-07_7-33-03.jpg?itok=d3Imkqmi 1x\" alt=\"\" width=\"500\" height=\"263\" data-entity-type=\"file\" data-entity-uuid=\"785d4537-3e1a-4738-b9a9-c0735ac6e86a\" data-responsive-image-style=\"inline_images\" \/><\/a><\/p>\n<p>&nbsp;<\/p>\n<p>And as inventories rose,<strong> production surged a huge 400k b\/d to a new record high&#8230;<\/strong><\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/inline-images\/2018-11-07_7-37-27.jpg?itok=iMalXUn-\" data-image-external-href=\"\" data-image-href=\"\/sites\/default\/files\/inline-images\/2018-11-07_7-37-27.jpg?itok=iMalXUn-\" data-link-option=\"0\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/inline-images\/2018-11-07_7-37-27.jpg\" srcset=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/styles\/inline_image_desktop\/public\/inline-images\/2018-11-07_7-37-27.jpg?itok=iMalXUn- 1x\" alt=\"\" width=\"500\" height=\"288\" data-entity-type=\"file\" data-entity-uuid=\"8e7627f2-8c3e-451c-bc1d-a7a00ca4959b\" data-responsive-image-style=\"inline_images\" \/><\/a><\/p>\n<p>\u2026click on the above link to read the rest of the article\u2026<\/p>\n<\/div>\n<\/div>\n<\/article>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>WTI Slumps To $61 Handle After US Crude Production Soars To New Record High Despite sliding after last night&#8217;s API-reported big Crude and Cushing build, WTI has rebounded overnight amid a post-midterms tumbling dollar, but a larger crude build than expected from DOE, combined with a smaller gasoline draw, could lead to WTI \u201cset to [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[3],"tags":[185,6986,592,595,600,694,701,827,1474,4318],"class_list":["post-40243","post","type-post","status-publish","format-standard","hentry","category-energy-2","tag-crude-oil-production","tag-oil-inventories","tag-oil-price","tag-oil-production","tag-opec","tag-russia","tag-saudi-arabia","tag-united-states","tag-us-oil-production","tag-zerohedge"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/40243","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=40243"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/40243\/revisions"}],"predecessor-version":[{"id":40244,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/40243\/revisions\/40244"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=40243"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=40243"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=40243"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}