MARKET WATCH: NYMEX, Brent crude oil prices gain moderately pending inventory

Crude oil prices gained about 85¢ on the New York and London markets July 6 pending release of the weekly US crude and products inventory report, which was delayed a day later than normal because of the July 4 holiday.

A Wall Street Journal survey of 14 investment banks sees Brent crude averaging $57/bbl for 2017, which was unchanged from WSJ’s May survey results. The bankers expect US light, sweet crude will average $55/bbl in 2017.

Separately, Raymond James & Associates Inc. raised its 2017 oil price forecasts. RJA’s price forecast remain higher than forecast from many other analysts.

“Specifically, our 2017 forecast for West Texas Intermediate increased to $80/bbl from $75/bbl and Brent increased to $83/bbl from $79/bbl—marking the cyclical peak of the oil recovery,” RJA said in a July 5 note.

RJA said its 2018 forecast is that WTI will average $75/bbl and Brent will average $80/bbl.

“Our previous price forecast was considerably more bullish than street consensus, and as a result our revised forecast was even more so,” RJA said.

Energy prices

The crude oil contract for August on the New York Mercantile Exchange gained 83¢ on July 6 to settle at $47.43/bbl. The September contract rose 85¢ to $48.14/bbl.

The natural gas contract for August gained 2¢ to close at a rounded $2.79/MMbtu. The Henry Hub gas price was $2.75/MMbtu, down 7¢ on July 6.

Heating oil for August delivery gained 2.5¢ to a rounded $1.47/gal. The price for reformulated gasoline stock for oxygenates blending for August was up less than a penny to a rounded $1.43/gal.

The September Brent crude contract on London’s ICE gained 84¢ on July 6 to $48.80/bbl. The contract for October rose 83¢ to $49.40/bbl. The July gas oil contract for July 6 was $417.25/tonne.

The average price for the Organization of Petroleum Exporting Countries’ basket of 12 benchmark crudes was $44.35/bbl on July 6, up 1¢.

Contact Paula Dittrick at paulad@ogjonline.com.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...

Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...