Oil edges up on lower U.S. rig count, weaker dollar

Published 2015-10-11, 08:20 p/m
© Reuters.  Oil edges up on lower U.S. rig count, weaker dollar
EUR/USD
-
BKR
-
LCO
-
CL
-
USDIDX
-

* US drillers cut average of 20 rigs per week over past year
* US dollar dips as Fed in no rush to raise interest rates
* Traders await wave of China data after National Holiday

By Henning Gloystein
SINGAPORE, Oct 12 (Reuters) - Oil prices rose in early Asian
trading on Monday after U.S. drillers cut oil rigs for six
straight weeks, while traders awaited Chinese trade data to be
published following the one-week National Holiday.
U.S. drillers removed nine oil rigs in the week ended Oct.
9, bringing the total rig count down to 605, oil services
company Baker Hughes (N:BHI) Inc BHI.N said late on Friday.
That total was the least since July, 2010. Drillers had cut
a total of 61 rigs over the prior five weeks.
Since hitting an all-time high of 1,609 during this week a
year ago, weekly rig count reductions have averaged 20.
ID:nL1N1291GV
"Another fall in the U.S. oil rig count helped support WTI
price (but) the focus will be on the release of China's trade
data, which will indicate whether low prices have kept import
demand high," ANZ said bank.
U.S. West Texas Intermediate (WTI) crude futures CLc1 were
trading at $49.79 per barrel at 0008 GMT, up 16 cents from their
last settlement. Internationally traded Brent futures LCOc1
were up 11 cents at $52.76 a barrel.
Oil was also supported by a weaker U.S. dollar, since it
makes imports for countries using different currencies cheaper.
The U.S. dollar .DXY EUR= hit three-week lows against
the euro as minutes from the Federal Reserve's September policy
meeting showed the Fed in no rush to raise interest rates.
ID:nL1N1292AA
Data from China in coming days is likely to point to further
weakness in the world's second-largest economy, starting with
import and export data to be published on Tuesday.
ID:nL1N1292AK
Some investors fear the economy is at risk of a hard landing
which could jeopardise an increasingly fragile international
outlook, though most analysts forecast a slow deceleration,
predicting that a raft of earlier support measures will
gradually kick in. ID:nL3N12303J

(Editing by Ed Davies)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.