Iran to allow private sector to export oil, beat USA sanctions

Trump: US will 'absolutely' sanction European companies that do business with Iran | TheHill

President Donald Trump lashed out at OPEC with a warning to stop manipulating oil markets and piled pressure on close U.S. allies in an interview that aired on Sunday with a threat to sanction European companies that do business with Iran.

Traders have also been watching United States oil production, which has surged by 30 percent over the last two years to 10.9 million bpd, absorbing some of the recent disruptions.

The US "down to zero" plan rests heavily on banning India and China from buying from the Iranians, and while Indian companies have suggested they will dial it back, China remains in the nuclear deal and nearly certainly won't give in to US demands. "They seek to push Iranian exports of crude, condensate, and oil products to zero", energy consultancy FGE said in a note.

Yet President Donald Trump's social media posts on Saturday helped unsettle the market when he tweeted that Saudi Arabia had agreed to pump more oil, "maybe up to 2,000,000 barrels", the tweet read, presumably meaning barrels a day. The Saudi leader said he was ready to raise output if needed, the White House said in a statement.

"US petroleum demand growth slowed significantly to 385,000 bpd year-on-year in April, compared with a growth of more than 730,000 bpd year-on-year in Q1", Barclays bank said, adding that this was mostly due to higher fuel prices.

Saudi Arabia could cover most of the current Iranian oil supplies for International Olympic Committee if India and its refiners were to cut off Tehran crude intake, Singh said, adding that a narrowing spread between Brent Crude and the Dubai oil benchmark gives refiners more options to source reasonably priced crude oil.

Oil production, prices and politics require a delicate balance.

Several refiners in the largest oil market are looking at alternative supplies from Saudi Arabia to Iraq after the White House said it won't offer extensions or waivers to United States allies.

The Organization of the Petroleum Exporting Countries agreed with Russian Federation and other oil-producing allies on June 23 to raise output from July, with Saudi Arabia pledging a "measurable" supply boost, but giving no specific numbers.

Saudi Arabia's output is up by 700,000 barrels per day (bpd) from May, a Reuters survey showed, and close to its 10.72 million bpd record from November 2016. Trump will leave for a trip to Europe later this month for a meeting with North Atlantic Treaty Organisation allies, whom he has criticised sharply for paying too little for their joint defence.

He said in the Fox interview that European companies would face sanctions if they traded with Iran now.

The bank said a "medium-intensity (trade) conflict would likely reduce global economic growth by at least 0.5 per cent, "before accounting for tighter financial conditions and sentiment shocks".

"I want to wait until after the election", he said.

Related:

  • Neymar dazzles and disappoints as Brazil reaches World Cup quarters

    Neymar dazzles and disappoints as Brazil reaches World Cup quarters

    Nonetheless, Neymar , the danger man of Brazil , has suffered the most fouls (23) at the World Cup in Russian Federation . Mexico veteran Rafa Marquez, playing in his final match at age 39, said Neymar's writhing didn't come as a surprise.
    Roger Federer finds Wimbledon 2018 opener ‘nerve-racking’

    Roger Federer finds Wimbledon 2018 opener ‘nerve-racking’

    Uniqlo doesn't make tennis footwear, so Federer wore white Nike shoes with light blue swooshes on Monday. It's probably safe to say that we won't be seeing anymore NikeCourt Zoom Vapor RF x AJ3s anytime soon.
    Deal reached in Germany over migration row

    Deal reached in Germany over migration row

    There were fresh signs on Sunday that the two leaders, entrenched in their positions, may fail to resolve their differences. Mr Seehofer complained that he had held a "conversation with no effect" with Mrs Merkel on Saturday.
  • Rajon Rondo Signs One-Year Deal With Lakers

    Rajon Rondo Signs One-Year Deal With Lakers

    Randle posted career bests with 16.1 points on 55.8% shooting last season while also averaging 8.0 rebounds and 2.6 assists. With a stellar rookie season behind him, Lonzo was looking to easily be the starting point guard for the Lakers.
    Chattanooga woman victim of the Bahama tour boat explosion

    Chattanooga woman victim of the Bahama tour boat explosion

    The boat was carrying a total of 12 passengers - 10 Americans and two Bahamians - when the explosion took place. The accident also left Stefanie Schaffer in a medically-induced coma with severe injuries , ABC News reported.
    Girl's Norfolk beach death prompts bouncy castle ban call

    Girl's Norfolk beach death prompts bouncy castle ban call

    Robert Halfon, the Conservative MP for Harlow, tweeted: "Another horrific tragedy after the horrific tragedy in #Harlow in 2016". Witness Sarah Allard told Sky News she heard a loud bang as the bouncy castle "exploded", throwing the girl in the air.
  • LeBron James signs with the Los Angeles Lakers

    LeBron James signs with the Los Angeles Lakers

    None of this would have happened if LeBron James did not agree to come back home and lead the Cavaliers to the promised land. All of the free agents not named LeBron James that are coming to Los Angeles are doing so on one-year deals.
    Golf Course Fire in Grand County is 100 percent contained

    Golf Course Fire in Grand County is 100 percent contained

    City manager John Donlevy says the show attracts thousands of people, nearly twice the population of Winters, each year. Here are where all the current fires are located, along with maps and evacuation updates .
    Lakers With LeBron Only Adds To NBA's Wild Wild West

    Lakers With LeBron Only Adds To NBA's Wild Wild West

    The Los Angeles Clippers are heading in a different direction and Jordan opted out of his contract in order to sign with Dallas. He's led the Warriors to The Finals every season during his tenure, delivering three out of four championships.
  • Murkowski wants Kennedy-like high court nominee

    Murkowski wants Kennedy-like high court nominee

    Collins made headlines this weekend when she told CNN she wouldn't support a nominee who "demonstrated hostility" toward Roe v. John Oliver is just as devastated as you are about Justice Kennedy's retirement from the Supreme Court of the United States.
    Oregon State Wins The CWS

    Oregon State Wins The CWS

    OSU added a run in third when Grenier walked, went to third on a Larnach single and scored on Rutschman's line single to left. The teams were tied at the end of three innings and traded three leads before the Beavers struck the decisive blows.
    Satellite imagery points to continued North Korean nuclear enrichment

    Satellite imagery points to continued North Korean nuclear enrichment

    The newspaper cited four people who it said were familiar with his plans. "There is no longer a Nuclear Threat from North Korea ". At the summit, North Korea agreed to "work toward denuclearisation of the Korean Peninsula".

Comments

Other news