Crude Lower On Obama Victory
Crude is around $3 lower this morning following Barack Obama's landslide election victory in the US.
Obama, who favours a windfall-profit tax on petroleum producers and boosting renewable energy, is seen as a bearish President as far as the oil market is concerned.
"He's made no bones about the fact he wants to wean the U.S. off Middle East oil and he's willing to put more effort into renewables like photovoltaic and wind power," said one trader.
"Crude rose 10% yesterday, and is now giving up some of those gains," he added.
Meanwhile, OPEC continues to do it's bit to support the market. Saudi Arabia, the white man of OPEC, has cut crude supplies to some customers `"significantly" after last month's meeting, Reuters reported.
Algeria's energy ministry ordered state-owned oil company Sonatrach to lower output by 71,000 barrels a day as of Nov. 1, state-run Algerian Press Service reported.
Nigeria has cancelled at least four crude cargoes originally scheduled to load in November and December.
The US Energy Dept issues revised stocks data at 10:35 a.m. Washington time today.
Obama, who favours a windfall-profit tax on petroleum producers and boosting renewable energy, is seen as a bearish President as far as the oil market is concerned.
"He's made no bones about the fact he wants to wean the U.S. off Middle East oil and he's willing to put more effort into renewables like photovoltaic and wind power," said one trader.
"Crude rose 10% yesterday, and is now giving up some of those gains," he added.
Meanwhile, OPEC continues to do it's bit to support the market. Saudi Arabia, the white man of OPEC, has cut crude supplies to some customers `"significantly" after last month's meeting, Reuters reported.
Algeria's energy ministry ordered state-owned oil company Sonatrach to lower output by 71,000 barrels a day as of Nov. 1, state-run Algerian Press Service reported.
Nigeria has cancelled at least four crude cargoes originally scheduled to load in November and December.
The US Energy Dept issues revised stocks data at 10:35 a.m. Washington time today.
