Will oil prices hit peak again?

Crude oil posted its worst monthly loss in two years in July

The price for Brent crude oil, the global benchmark, was up 0.15 percent as of 9:22 a.m. EDT to $72.39 per barrel.

"There is room for [prices in] the crude market to soften a bit more", says John Woods of JJ Woods Associates, adding that inventories could rise further as refineries head toward maintenance season after the summer driving season.

The absence of China, the largest buyer of US crude after Canada, is likely to partly weigh on USA spot crude prices, making them more affordable for other buyers in Asia.

The total exported quantities of Oman crude oil during July 2018 has reached 24.08 million barrels, with a daily average of 776,800 barrels. Helping to underpin prices is the first round of US sanctions against Iran which came into effect earlier in the week.

In another sign that exporters are preparing for slower demand from some of the big Asian buyers, Iraq cut its official selling price for September cargoes of Basra Light crude for its Asian customers on Thursday.

Crude oil prices are under pressure because a tariff on imported US crude oil means a drop in demand.

Crude oil prices were moving between small gains and losses ahead of the start of trading in NY.

"We view that it is very unlikely that the USA administration will be successful in reducing Iranian exports to zero", analysts at MUFG said in a note on Wednesday.

Saudi Arabia-Canada spat hits 16,000 students as the Kingdom suspends scholarships
Jubeir added that Saudi Arabia was "considering additional measures" against Canada, without elaborating. Since then, the Saudi kingdom has pursued a scorched-earth policy towards anything related to Canada.


Oil has declined about 7 percent from the highs of June as trade tensions between the USA and China imperil economic growth and energy demand.

ANALYST'S TAKE: "Looking at the rhetorical battle between the United States and China recently, it may appear that finding a clue to resolve (the trade war) is impossible", said Lee Seunghoon, an analyst at Meritz Securities Co.in Seoul, South Korea.

Oil prices rose on Tuesday after US sanctions on Iranian goods went into effect, intensifying concerns that sanctions on Iranian oil, expected in November, could cause supply shortages. From November, Washington will also target Iran's petroleum sector.

Analysts estimated that Iranian production would drop further amid the restored sanctions and drive the oil price further up. In addition, Libya reopened some of the closed oil ports, which raised the market expectations of the growth of oil supplies.

"We are going to work with individual countries on a case-by-case basis, but our goal is to reduce the amount of revenue and hard currency going into Iran", Reuters quoted a senior U.S. administration official as saying on Monday. Meanwhile, the USA said Tuesday it will begin imposing tariffs on an additional $16 billion in Chinese imports in two weeks. Both countries placed tariffs on $34 billion in imports earlier this month, and they have threatened much larger tariffs to come. "We are going to work with individual countries on a case-by-case basis, but our goal is to reduce the amount of revenue and hard currency going into Iran", a senior USA administration official said on Monday.

Analysts in a Reuters poll had expected stocks to drop by 3.3 million barrels.

Prior to this deal, International Olympic Committee had struck deals for importing 10 million barrels from six cargoes in the spot market.

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