Oil prices slip on US 'fiscal cliff' concerns

Oil prices fell on Tuesday under the shadow of the looming US "fiscal cliff" and ongoing eurozone debt crisis, and after the International Energy Agency cut its global demand forecasts for crude.

In late morning London deals, Brent North Sea crude for delivery in December fell 96 cents to $108.11 a barrel.

New York's main contract, light sweet crude for December or West Texas Intermediate (WTI), dropped 65 cents to $84.92 a barrel.

"The oil market is falling on fears of slowing growth and the possibility of going off the fiscal cliff," said Phil Flynn, energy analyst at 321energy.

Rival US politicians must reach a deal to avoid the imposition of deep spending cuts and huge tax hikes on January 1 and which observers say would tip the country back into recession -- and dent energy demand in the world's top oil consuming nation.

There were also European debt fears as Eurogroup head Jean-Claude Juncker said Monday that Greece had made progress on its debt bailout targets but regional finance ministers will have to meet again on November 20 to clear the way for its next aid tranche.

"Crude oil prices extended losses and retreated further on Tuesday, tracking losses in the global equity markets as raising concerns about eurozone economic stability," said Sucden brokers analyst Myrto Sokou.

"The release of the US Fed budget details could provide an interesting insight about the US economic prospects, giving some clear momentum to the oil market," she added.

Sentiment was also hit by growing fears that the eurozone sovereign debt crisis could propel Germany into recession, following news that investor sentiment in the bloc's biggest economy has dropped unexpectedly.

The widely watched index of investor confidence compiled by the ZEW economic institute fell to minus 15.7 points in November from minus 11.5 in October.

Investor gloom spread after the International Energy Agency -- which represents oil consuming countries -- predicted that global demand will have increased by 670,000 barrels per day (bpd) in 2012 to 89.6 mbpd. This was 60,000 bpd less than assumed a month ago.

For 2013, the Paris-based IEA also slashed its demand forecast by 100,000 bpd to a rise of 830,000 bpd to reach 90.4 mbd, in its latest monthly report.

The agency said that the downward revisions were mainly owing to sluggish economies in developed countries and the knock-on effects of Hurricane Sandy which wrought havoc on the US eastern seabord three weeks ago.

Sandy was expected to have slashed US demand by 230,000 barrels per day in October, as people curtailed travel and product deliveries were impeded.

Despite recent losses, oil prices remain at elevated levels close to $110 per barrel in London.

OPEC Secretary-General Abdullah El-Badri, speaking at a conference in London on Tuesday, blamed speculators for stubbornly high prices.

"There is no shortage of oil anywhere in the world, stocks are very high (and) OPEC has strong spare capacities," El-Badri told delegates at the Oil & Money industry event.

"The market is very well supplied. There is no doubt about it, so I don't understand why we have these high prices. Speculation is the problem.

"Speculation is part of the market, you can't eliminate it. It's not in our interest to see world economy damaged by high oil prices," he added.

The Organization of Petroleum Exporting Countries, which supplies about one third of global oil, will hold its regular production meeting in Vienna next month.

The powerful 12-nation cartel was also expected to elect its new secretary general to replace Libyan El-Badri at the gathering on December 12.

burs-rfj/bcp/hd

--

Get stories like this on the Yahoo app and discover more every day.
Download it now.
Loading...

Explore Related Contents

  • Baidu's quarterly revenue falls 2.6 percent
    Baidu's quarterly revenue falls 2.6 percent Reuters - 51 minutes ago

    Analysts on average had expected revenue of 18.23 billion yuan, according to Thomson Reuters I/B/E/S. The revenue slowdown comes as Baidu rides out a public and regulatory backlash triggered by the death of a 21-year-old student who underwent an … More »

  • Baidu's quarterly revenue falls 2.6 percent
    Baidu's quarterly revenue falls 2.6 percent Reuters - 51 minutes ago

    (Reuters) - Baidu Inc (BIDU.O) reported a second straight drop in quarterly revenue as regulatory scrutiny into healthcare and related advertisements continued to take a toll on the Chinese internet search ... … More »

  • Tesla may wait until July before revealing the final version of the Model 3
    Tesla may wait until July before revealing the final version of the Model 3 Business Insider - 58 minutes ago

    AP Photo/Justin Pritchard Tesla Motors unveils the new … Continued The post Tesla may wait until July before revealing the final version of the Model 3 appeared first on Business Insider. … More »

  • Asian Stocks Signal Cautious Start as Yen Gains: Markets Wrap Bloomberg - 1 hour 0 minutes ago

    The dollar held losses after Treasury Secretary Steven Mnuchin said on Fox Business that fiscal stimulus effects on the economy this year may be limited. Australian stock futures pointed lower and the Aussie climbed as traders tuned in to RBA … More »

  • Homeland Security chief: No use of military for deportations
    Homeland Security chief: No use of military for deportations Associated Press - 1 hour 1 minute ago

    Seeking to tamp down growing unease in Latin America, U.S. Homeland Security Secretary John Kelly pledged Thursday that the United States won't enlist its military to enforce immigration laws and that ... … More »

  • Exclusive - Trump calls Chinese 'grand champions' of currency manipulation Reuters - 1 hour 2 minutes ago

    President Donald Trump declared China the "grand champions" of currency manipulation on Thursday, just hours after his new Treasury secretary pledged a more methodical approach to analysing Beijing's foreign exchange practices. In an exclusive … More »

  • Assured Guaranty posts 4Q profit Associated Press - 1 hour 4 minutes ago

    On a per-share basis, the Hamilton, Bermuda-based company said it had profit of $1.49. Earnings, adjusted for non-recurring gains, were $1.05 per share. The insurance holding company posted revenue of ... … More »

  • AIA Group FY new businesses rise 28 percent Reuters - 1 hour 13 minutes ago

    Life insurer AIA Group Ltd reported a 28 percent jump in new business in 2016, as it benefited from strong customer demand in its main markets of China and Hong Kong. The Hong Kong-based insurer's value of new business, which measures expected … More »

  • 7 Data-Driven Ways Of Saving On Your Monthly Recurring Bills
    7 Data-Driven Ways Of Saving On Your Monthly Recurring Bills ValuePenguin - 1 hour 13 minutes ago

    Every month, we get bills from various services like telcos and Singapore Power that we need to take care of just to be able to continue getting vital services we need to function normally. According to ValuePenguin's study, the average cost of … More »

  • Business Highlights Associated Press - 1 hour 18 minutes ago

    ___ US factory CEOs to Trump: Jobs exist; skills don't President Donald Trump brought two dozen manufacturing CEOs to the White House on Thursday and declared their collective commitment to restoring factory ... … More »

  • Baidu's Quarterly Revenue Tops Estimates on New Business Push Bloomberg - 1 hour 19 minutes ago

    Revenue for the fourth quarter was 18.21 billion yuan ($2.62 billion), compared with estimates for 18.17 billion yuan, Baidu said in a statement. Net income, adjusted for certain items, was 4.61 billion yuan, compared with the 2.52 billion yuan … More »

  • Dow stands out as global stocks tread water
    Dow stands out as global stocks tread water AFP News - 1 hour 28 minutes ago

    The blue-chip Dow was the lone riser among major stock indices on Thursday as global markets largely ran in place. On Wall Street, the Dow Jones Industrial Average broke a 30-year record by closing at a tenth consecutive all-time high, ending the … More »

  • Spectranetics reports 4Q loss Associated Press - 1 hour 32 minutes ago

    The Colorado Springs, Colorado-based company said it had a loss of 29 cents per share. Losses, adjusted for costs related to mergers and acquisitions and non-recurring costs, were 21 cents per share. The ... … More »

  • RE/MAX beats 4Q profit forecasts Associated Press - 1 hour 35 minutes ago

    On a per-share basis, the Denver-based company said it had profit of 22 cents. Earnings, adjusted for non-recurring costs, were 41 cents per share. The results exceeded Wall Street expectations. The average ... … More »

  • Pegasystems posts 4Q profit Associated Press - 1 hour 43 minutes ago

    On a per-share basis, the Cambridge, Massachusetts-based company said it had net income of 11 cents. Earnings, adjusted for one-time gains and costs, came to 20 cents per share. The business software company ... … More »

  • How major US stock market indexes fared on Thursday Associated Press - 1 hour 44 minutes ago

    Stocks wobbled Thursday as investors changed course and tempered their expectations for faster economic growth. Industrial companies, which have surged over the last few months, finished lower as Wall ... … More »

  • Stocks end mixed as investors seek safety; industrials slide
    Stocks end mixed as investors seek safety; industrials slide Associated Press - 1 hour 46 minutes ago

    Stocks wobbled Thursday as investors changed course and tempered their expectations for faster economic growth. Industrial companies, which have surged over the last few months, finished lower as Wall ... … More »

  • Oil prices up but gains pared after 7th straight stock build
    Oil prices up but gains pared after 7th straight stock build Reuters - 1 hour 47 minutes ago

    By Catherine Ngai NEW YORK (Reuters) - Oil prices rose on Thursday but gains were pared after U.S. government data showed a seventh straight build in crude stocks, suggesting high inventories could undermine ... … More »

  • BJ's Restaurants beats Street 4Q forecasts Associated Press - 1 hour 47 minutes ago

    The Huntington Beach, California-based company said it had profit of 55 cents per share. The results surpassed Wall Street expectations. The average estimate of eight analysts surveyed by Zacks Investment ... … More »

  • Hewlett Packard Enterprise Cuts Forecast on Costs, Cloud (1) Bloomberg - 1 hour 48 minutes ago

    Analysts projected 47 cents, according to data compiled by Bloomberg. Chief Executive Officer Meg Whitman -- who has been slimming down the company -- is battling rising competition from cloud-based technology providers that let customers access … More »

  • HP Enterprise misses revenue estimates, cuts FY profit forecast
    HP Enterprise misses revenue estimates, cuts FY profit forecast Reuters - 1 hour 48 minutes ago

    HPE said it expected full-year adjusted profit of between $1.88-$1.98 per share, down from $2-$2.10 it forecast earlier. Analysts on average were expecting a profit of $2.05 per share, according to Thomson Reuters I/B/E/S. … More »

  • Applied Optoelectronics posts 4Q profit Associated Press - 1 hour 49 minutes ago

    On a per-share basis, the Sugar Land, Texas-based company said it had profit of 77 cents. Earnings, adjusted for stock option expense and non-recurring costs, were 84 cents per share. The results surpassed ... … More »

  • HP Enterprise misses revenue estimates, cuts full-year profit forecast
    HP Enterprise misses revenue estimates, cuts full-year profit forecast Reuters - 1 hour 49 minutes ago

    (Reuters) - Hewlett Packard Enterprise Co (HPE.N), the corporate hardware and enterprise software business of Hewlett-Packard Co, reported lower-than-expected quarterly revenue and cut its full-year profit ... … More »

  • Imax tops Street 4Q forecasts Associated Press - 1 hour 53 minutes ago

    On a per-share basis, the Ontario Canada, Ontario-based company said it had profit of 13 cents. Earnings, adjusted for stock option expense, came to 22 cents per share. The results exceeded Wall Street ... … More »

  • S&P 500 inches up after Trump jobs pledge
    S&P 500 inches up after Trump jobs pledge Reuters - 1 hour 57 minutes ago

    At a meeting with about two dozen chief executives, Trump said he plans to bring millions of jobs back to the United States, without revealing a specific plan on how to counter a decades-long fall in factory jobs. "We have seen quite a bit about … More »

 
Recent Quotes
Symbol Price Change % Chg 
Your most recently viewed tickers will automatically show up here if you type a ticker in the "Enter symbol/company" at the bottom of this module.
You need to enable your browser cookies to view your most recent quotes.
 
Sign-in to view quotes in your portfolios.

MARKET MOVERS

  • Most Actives
    Most Actives
    NamePriceChange% Chg
    0.27+0.02+5.88%
    N21.SI
    0.198+0.022+12.50%
    40F.SI
    1.03+0.05+5.10%
    G13.SI
    0.131+0.017+14.91%
    41F.SI
    0.395+0.035+9.72%
    5ME.SI
  • % Gainers
    % Gainers
    NamePriceChange% Chg
    0.325+0.075+30.00%
    PA3.SI
    1.815+0.280+18.24%
    S51.SI
    0.128+0.017+15.32%
    UV1.SI
    0.53+0.07+15.22%
    BLR.SI
    0.131+0.017+14.91%
    41F.SI
  • % Losers
    % Losers
    NamePriceChange% Chg
    0.10-0.03-21.26%
    A7S.SI
    0.145-0.034-18.99%
    AZR.SI
    0.094-0.014-12.96%
    5DL.SI
    0.295-0.040-11.94%
    BPF.SI
    0.20-0.02-9.09%
    SK3.SI

Market Data

  • Currencies
    Currencies
    NamePriceChange% Chg
    1.4073-0.0002-0.01%
    USDSGD=X
    1.4896+0.0007+0.05%
    EURSGD=X
    1.7668+0.0003+0.02%
    GBPSGD=X
    80.0680+0.006+0.01%
    SGDJPY=X
    5.5119+0.0011+0.02%
    SGDHKD=X
    3.1607-0.0019-0.06%
    SGDMYR=X
    9,518.7842-5.5508-0.06%
    SGDIDR=X
    4.8751-0.0027-0.06%
    SGDCNY=X
    1.0858+0.0003+0.03%
    AUDSGD=X
  • Commodities
    Commodities
    NamePriceChange% Chg
    1,250.10-1.30-0.10%
    GCJ17.CMX
    18.17+0.05+0.26%
    SIH17.CMX
    89.61-0.30-0.34%
    ^XAU
    2.64-0.01-0.19%
    HGH17.CMX
    54.36-0.09-0.17%
    CLJ17.NYM
  • Bonds
    Bonds
    TreasuryYield (%)Yield Change
    1.88-0.03
    ^FVX
    2.39-0.03
    ^TNX
    3.02-0.01
    ^TYX