SINGAPORE, April 5 (Reuters) – U.S. crude futures rose to
near $102 a barrel on Thursday after falling sharply in the
previous session on a report showing a higher-than-expected rise
in U.S. oil inventories.
Prices were supported by ongoing concerns over supply
disruptions from the North Sea and the Middle East and fresh
signs of a recovery in the U.S. economy.
The market will be eyeing a key jobs report out of the
United States on Friday for further evidence of the recovery at
the world’s top oil consumer.
FUNDAMENTALS
* NYMEX crude for May delivery slipped 2 cents to
$103.99 a barrel by 0108 GMT, after settling down $1.22 at
$104.01 in the previous session.
* London Brent crude for May delivery fell 5 cents
to $124.81 a barrel, after settling down 57 cents at $124.86.
* A surge in imports following fog-related delays in key
Texas oil-shipping channels in March pushed crude inventories up
more than 16 million barrels in the two weeks to March 30, the
biggest two-week increase since March 2001, data from the Energy
Information Administration showed.
* Japanese refiners will cut Iranian crude imports yet again
in April as they shy away from renewing annual contracts,
showing continued commitment to U.S.-led sanctions over Tehran’s
nuclear programme.
* U.S. businesses added 209,000 jobs in March, according to
the ADP National Employment Report. The report by the payrolls
processor was slightly above economists’ expectations for a gain
of 200,000 jobs.
* The U.S. March nonfarm payrolls report from the U.S. Labor
Department due on Friday is expected to show a gain of 203,000
jobs, including a rise in private payrolls of 218,000.
* Exxon Mobil Corp’s 344,500 barrels per day (bpd)
Beaumont, Texas, refinery began a planned overhaul on Sunday on
Crude Distillation Unit B, a coking unit, and other associated
units, a company spokeswoman said.
MARKETS NEWS
* Asian shares fell on Thursday after a weak Spanish bond
sale heightened concerns about funding difficulties by
lower-rated euro zone countries, further undermining sentiment
hurt by fading expectations for more stimulus from the U.S.
Federal Reserve.
* The euro floundered at three-week lows versus the yen and
dollar on Thursday, while commodity currencies also nursed heavy
losses after a poor Spanish bond auction reignited worries about
the euro zone debt crisis.
DATA/EVENTS
* The following data is expected on Wednesday:(Time in GMT)
– 0758 Euro zone March Markit Services PMI
– 1430 U.S. weekly EIA petroleum status report
(Reporting by Francis Kan; Editing by Sugita Katyal)
