الرئيسية
* OPEC unlikely to cut output at Dec. 14 meet
* EU sceptical of Iran oil embargo
* U.S. crude stocks probably fell last week-poll
* Coming Up: U.S. API weekly crude stocks; 2130 GMT
(Updates prices)
SINGAPORE, Dec 6 (Reuters) - Brent crude fell towards
$109 on Tuesday, as a warning by ratings agency Standard &
Poor's that it might downgrade euro zone countries tempered
hopes for a concrete resolution to the region's debt crisis.
The S&P news also overshadowed ongoing tensions between OPEC
producer Iran and the West that could lead to crude supply being
disrupted from the world's fifth-largest exporter.
Brent crude fell 31 cents to $109.50 a barrel by
0627 GMT, after settling down 13 cents at $109.81 on Monday. The
benchmark has lost ground in four out five trading sessions,
Reuters data showed.
U.S. crude shed 24 cents to $100.75 a barrel. It had
settled almost flat at $100.99 a day earlier.
"Prices had run up last week because traders have been
positioning themselves for a possible resolution to the euro
zone crisis, and they've arrived at a level where any negative
news like the S&P report will result in some tweaking of
positions," said Ric Spooner, chief market analyst with CMC
Markets in Sydney.
Asian shares and the euro were also weaker after S&P said it
had told 15 of the 17 euro zone countries that it might
downgrade them within 90 days, depending on the outcome of a
summit to deal with the crisis on Friday.
The threat of a supply risk from Iran, which has helped keep
oil prices above $100 a barrel, eased slightly after diplomats
and traders said the European Union is becoming sceptical about
slapping sanctions on imports of Iranian oil due to fears that
an embargo might damage its own economy.
This comes after U.S. defense secretary Leon Panetta argued
last week against any imminent military action against Iran over
its nuclear program, even as Washington continues to pressure
its allies to import less Iranian crude.
However, the risk of a unilateral strike on Iran by Israel
or an escalation of tensions between Tehran and its Arab
neighbours still remain, analysts said.
In Syria, which already faces an EU ban on imports of its
oil, tensions appeared to ease after the country's foreign
minister said it had conditionally approved an Arab League peace
plan to end eight months of unrest.
OPEC OUTPUT
Market participants are eyeing next week's OPEC meeting,
where the group's members look set to agree on a new production
target that legitimises current cartel output around 30 million
barrels a day.
Iran appears to have given up its campaign to have Gulf Arab
nations cut back supply, with Iranian Oil Minister Rostam Qasemi
telling Reuters on Monday that Tehran would be guided by the
recommendations of the cartel's Vienna-based secretariat.
"Today's elevated oil price is likely to discourage OPEC
from cutting, regardless of the rhetoric from Vienna on Dec 14,"
said analysts at Morgan Stanley in a research note.
"Historically, we find price as the key determinant of OPEC
production, not quotas or rhetoric."
In the United States, crude oil inventories likely fell last
week after rising sharply the week before as imports probably
dropped, a preliminary Reuters poll of analysts showed on
Monday.
On average, U.S. crude stockpiles were expected to have
fallen 1.1 million barrels in the week ended Dec. 5, according
to the poll of seven analysts.
(Editing by Himani Sarkar)
* EU sceptical of Iran oil embargo
* U.S. crude stocks probably fell last week-poll
* Coming Up: U.S. API weekly crude stocks; 2130 GMT
(Updates prices)
SINGAPORE, Dec 6 (Reuters) - Brent crude fell towards
$109 on Tuesday, as a warning by ratings agency Standard &
Poor's that it might downgrade euro zone countries tempered
hopes for a concrete resolution to the region's debt crisis.
The S&P news also overshadowed ongoing tensions between OPEC
producer Iran and the West that could lead to crude supply being
disrupted from the world's fifth-largest exporter.
Brent crude fell 31 cents to $109.50 a barrel by
0627 GMT, after settling down 13 cents at $109.81 on Monday. The
benchmark has lost ground in four out five trading sessions,
Reuters data showed.
U.S. crude shed 24 cents to $100.75 a barrel. It had
settled almost flat at $100.99 a day earlier.
"Prices had run up last week because traders have been
positioning themselves for a possible resolution to the euro
zone crisis, and they've arrived at a level where any negative
news like the S&P report will result in some tweaking of
positions," said Ric Spooner, chief market analyst with CMC
Markets in Sydney.
Asian shares and the euro were also weaker after S&P said it
had told 15 of the 17 euro zone countries that it might
downgrade them within 90 days, depending on the outcome of a
summit to deal with the crisis on Friday.
The threat of a supply risk from Iran, which has helped keep
oil prices above $100 a barrel, eased slightly after diplomats
and traders said the European Union is becoming sceptical about
slapping sanctions on imports of Iranian oil due to fears that
an embargo might damage its own economy.
This comes after U.S. defense secretary Leon Panetta argued
last week against any imminent military action against Iran over
its nuclear program, even as Washington continues to pressure
its allies to import less Iranian crude.
However, the risk of a unilateral strike on Iran by Israel
or an escalation of tensions between Tehran and its Arab
neighbours still remain, analysts said.
In Syria, which already faces an EU ban on imports of its
oil, tensions appeared to ease after the country's foreign
minister said it had conditionally approved an Arab League peace
plan to end eight months of unrest.
OPEC OUTPUT
Market participants are eyeing next week's OPEC meeting,
where the group's members look set to agree on a new production
target that legitimises current cartel output around 30 million
barrels a day.
Iran appears to have given up its campaign to have Gulf Arab
nations cut back supply, with Iranian Oil Minister Rostam Qasemi
telling Reuters on Monday that Tehran would be guided by the
recommendations of the cartel's Vienna-based secretariat.
"Today's elevated oil price is likely to discourage OPEC
from cutting, regardless of the rhetoric from Vienna on Dec 14,"
said analysts at Morgan Stanley in a research note.
"Historically, we find price as the key determinant of OPEC
production, not quotas or rhetoric."
In the United States, crude oil inventories likely fell last
week after rising sharply the week before as imports probably
dropped, a preliminary Reuters poll of analysts showed on
Monday.
On average, U.S. crude stockpiles were expected to have
fallen 1.1 million barrels in the week ended Dec. 5, according
to the poll of seven analysts.
(Editing by Himani Sarkar)