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The Russian-appointed governor said the death toll from the attack on a holiday camp in the Russian-controlled Zaporizhia region of Ukraine has risen to 11, including four children.On July 25, Syrian Transitional Government President Ayatollah Shah met with UN Secretary-General António Guterres and his delegation in Damascus, the capital. Syrian Transitional Government Foreign Minister Ayatollah Shibani and several other officials were also present. During the meeting, the two sides discussed ways to strengthen cooperation between Syria and the United Nations in the fields of humanitarian aid and development, support reconstruction efforts, and reaffirmed their respect for Syrias sovereignty, unity, and territorial integrity.On July 25, satellite images released by Iran showed that a US military ammunition depot at King Faisal Air Base in Jordan was completely destroyed. This came a day after Iran claimed to have struck US bases in the region. Jordan, meanwhile, stated that its air defense system and the Royal Jordanian Air Force intercepted and shot down seven missiles and six drones fired from Iranian airspace towards Jordanian territory on July 24.The Security Service of Ukraine (SBU) stated that Ukraine attacked the Russian Filanovsky oil platform and two cargo ships in the Caspian Sea.On July 25, Ukrainian President Volodymyr Zelenskyy stated that Ukraines long-range strikes in the Caspian region had achieved very good results, targeting ships transporting Iranian military goods and a warship. Other targets included a factory in the Kirov region, approximately 1200 kilometers from the Ukrainian border, which supplies components to Russia for its attacks on Ukraine. Additionally, strikes were also carried out on an oil refinery in the Tyumen region, a logistics facility in Yekaterinburg, and a fuel depot in Rostov-on-Don.

WTI struggles at $87 as recession worries probe OPEC's forecast and supply deficit fears intensify

Daniel Rogers

Sep 14, 2022 11:42

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After reverting from the weekly high, WTI crude oil traders seek clear direction around $87.50 during Wednesday's Asian session. However, the present hesitation in the price of black gold may be attributable to the mixed concerns regarding the demand-supply matrix.

 

The Organization of the Petroleum Exporting Countries (OPEC) indicated in a monthly report that oil consumption will climb by 3,1 million barrels per day (bpd) in 2022 and by 2,7 million barrels per day (bpd) in 2023, which is unchanged from last month. Despite obstacles such as rising prices, the news also highlighted indications that major economies were performing better than projected.

 

The news that the United States intends to replenish its emergency oil reserves, as well as the German and European move to control Russian oil and gas prices, could also be favorable for energy prices. In addition, rumors that the Western oil deal with Iran is a long way off are bolstering fears of a supply bottleneck and should have helped energy bulls.

 

Tuesday's US inflation statistics revived concerns about the Federal Reserve's fast rate hike and exacerbated recession concerns. Also acting as downward drivers for WTI crude oil are expectations of economic slowdown due to China and Russia-related concerns.

 

In spite of this, the US Consumer Price Index (CPI) for August increased by 8.3% year-over-year, surpassing market expectations by 0.1%. However, the monthly data increased to 0.1%, exceeding the -0.1% projected and the 0.0% shown in previous assessments. The core CPI, or CPI excluding food and energy, likewise exceeded the 6.1% consensus and 5.9% prior to printing at 6.3% for the month in question.

 

It should be mentioned that the weekly prints of the American Petroleum Institute's (API) industry inventory report also contributed to the commodity's downfall. The API Weekly Crude Oil Stock climbed to 6,035 million during the week ending September 9, up from 3,645,000 the previous week.

 

In the future, the price of black gold may stay under pressure due to a stronger US dollar and economic troubles. Before today's official weekly inventory data from the U.S. Energy Information Administration, however, the supply crisis concerns could test the bears (EIA). Thursday's US Retail Sales for the month of August and Friday's preliminary reading of the September Michigan Consumer Sentiment Index will also warrant close attention.

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