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UPDATE 9-U.S. crude ends at 6-yr low on China yuan devaluing, OPEC data

Published 2015-08-11, 03:48 p/m
© Reuters.  UPDATE 9-U.S. crude ends at 6-yr low on China yuan devaluing, OPEC data
BP
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LCO
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CL
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* US crude down 4 pct at March '09 low; about $1 above 2015
bottom
* Brent down 2.4 pct, after 3.7 pct gain in previous session
* Weaker yuan weighs on China's oil demand outlook
* OPEC raises 2015 non-member production forecast
* Coming up: API report on weekly U.S. crude inventory, 2030
GMT

(Adds market settlements, U.S. crude's close at 2009 lows and
Whiting refinery outage)
By Barani Krishnan
NEW YORK, Aug 11 (Reuters) - U.S. crude settled at a more
than six-year low on Tuesday after China's currency devaluation
raised questions about oil demand from the No.2 consumer, and a
new OPEC estimate showed non-member producers were likely to
keep output high despite low prices.
A BP (LONDON:BP) refinery outage in Whiting, Indiana that could last at
least a month, idling some 240,000 barrels per day of crude
distillation, added to the bearish sentiment, traders said.
ID:nL1N10M1SV
U.S. crude CLc1 fell $1.88, or more than 4 percent,
to$43.08 a barrel, its lowest settlement since March 2009, and
about $1 above the 2015 contract low on March 18.
Brent LCOc1 fell $1.23, or 2.4 percent, to $49.18 a
barrel, paring more than half of its gains in a rally on Monday.
"It's time to sell any and all rallies," said Tariq Zahir,
managing member at Tyche Capital Advisors in Laurel Hollow in
New York, who bets on crude hitting $30 a barrel or lower.
China depreciated its yuan currency CNY=SAEC by nearly 2
percent after a run of poor economic data, guiding the currency
to a near three-year low. ID:nL3N10M1PP ID:nB9N0VJ02C
The Organization of the Petroleum Exporting Countries
projected that crude supplies from countries outside the group
will rise by 90,000 bpd this year, sign that crude's price
collapse was taking longer than expected to hit U.S. shale
drillers and other competing sources. ID:nL5N10M3HF
A global oil oversupply since last summer, led by stubbornly
strong U.S. shale crude output and record output by Middle East
producers, have driven prices down from June 2014 highs above
$100 a barrel.
This year so far, U.S. crude has lost almost 20 percent,
extending the 46 percent drop in 2014. Brent has fallen 15
percent, adding to last year's 48 percent tumble.
While weekly inventory numbers for U.S. crude have sometimes
come in below expectations and bumped up prices, they have not
sustained a price recovery.
The American Petroleum Institute, an industry group, will
issue its report for last week's inventories at 4:30 p.m. (2030
GMT).
Analysts polled by Reuters forecast a 1.8 million-barrel
decline on average from the previous week. Official data on
stockpiles are due on Wednesday at 10:30 a.m.. EIA/S

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