TOP Oil Market News: WTI Crude Heads for Second Weekly Decline

The following is a selection of the most important news affecting the oil market.

WTI Oil Heads for Second Weekly Decline Before U.S. Payroll Data

West Texas Intermediate swung between gains and losses as investors await data that may signal the strength of the economy in the U.S., the biggest oil user.

TOP OIL MARKET NEWS

Energy Industry Placing Big Bets on Republican Senate Win (1)

Energy companies are giving more to Republicans to help them win a U.S. Senate majority and counter President Barack Obama’s environmental agenda.

OPEC to Trim Oil Exports on Lower Asian Demand: Oil Movements

Shipments, excluding Ecuador and Angola, set to fall 110k b/d to 23.34m b/d in 4 wks to June 21 vs 23.45m b/d to May 24, tanker tracker says in e-mailed report.

Venezuela Sacrifices Drinking Water to Pay Bonds: Andes Credit

At a time when Venezuela’s record $25 billion in arrears to importers has its citizens waiting hours in line to buy drinking water and crossing borders in search of medicine, President Nicolas Maduro is using the nation’s dwindling supply of dollars to enrich bondholders.

Ethanol Drops for Fifth Day as Higher Output Rate Boosts Supply

Ethanol falls as highest production rate in seven weeks raises stockpiles.

Obama Says Putin Running Out of Time to Alter Ukraine Course (2)

Vladimir Putin has just weeks to stop supporting a pro-Russian insurgency in Ukraine or face stiffer penalties, U.S. President Barack Obama and U.K. Prime Minister David Cameron said.

Bay of Campeche Storms Threaten to Develop Into Tropical System

A pocket of thunderstorms off Mexico’s southeastern coast has a 30 percent chance of becoming a tropical system in the next two days, according to the U.S. National Hurricane Center.

Angola Oil Exports Rise 7.4% y/y in April, Finance Ministry Says

Rev. increases 13.4% vs March, mostly due to higher oil output, data from ministry show.

U.S. Energy Department Natural Gas Update for June 5 (Text)

Following is the text of the weekly natural gas update as released by the U. S. Department of Energy in Washington, D.C.:

Gasoil Stockpiles Rise in Europe’s Oil-Trading Hub, PJK Says

Gasoil stockpiles in independent storage rose in Europe’s Amsterdam-Rotterdam-Antwerp oil-trading hub, according to PJK International BV.

REFINERIES Map global refinery outages

Tesoro Anacortes Refinery Performing Planned Maintenance

Refinery in Wash. performing scheduled maintenance that isn’t expected to affect co.’s supply commitments, Elizabeth Watters, spokeswoman, says by e-mail today.

Los Angeles Gasoline Gains as Tesoro Performs Unscheduled Work

Premium for Carbob gasoline in Los Angeles widens vs Nymex gasoline futures for first time in 3 days as TSO performs unscheduled repairs at 349,800 b/d Los Angeles refinery.

U.S. Gulf Coast Gasoline Climbs, Crack Spreads Increase

U.S. Gulf Coast CBOB gasoline 0.75c/gal. to 19.75c/gal. below Nymex futures at 212pm, first rise in three days: data compiled by Bloomberg

Marathon Catlettsburg Refinery Had Unplanned FCC Shutdown

Ky. refinery reported shutdown to state regulator; no time frame for unit startup.

Tesoro Performing Unplanned Work at Los Angeles Refinery

Refinery performing unscheduled maintenance that isn’t expected to affect ability to meet supply commitments, Elizabeth Watters, spokeswoman for co., says by e- mail today.

Shell Scotford Restarted Units Yesterday After Storm

Co. said units restarting following an electric storm, with flaring potential over next 24 hours, in message dated yesterday on community hotline.

Marathon Says Alkylation Unit at Texas City Back Online

Unit at Texas refinery back on-line after shutdown earlier this week, said Jamal Kheiry, co. spokesman, by e-mail today.

Russian Offline Refining Volume Down on Mariisky Plant (Table)

Marathon Texas City Refinery Shuts Alkylation Unit After Leak

Refinery halts unit production immediately on June 3 following small leak on level instrument, according to report from Texas Commission on Environmental Quality.

OIL DAYBOOK: North Sea Loading Programs Today; ECB Rate Decision

Crude futures weaker for 2nd day after EIA yday showed falling U.S. oil-product demand and despite larger-than-expected drop in crude stockpiles. ECB will probably cut its benchmark rate to 0.1% later today, according to economists.

OTHER OIL MARKET NEWS

Oil Product Shipping Costs to Japan Are Unchanged

The cost of shipping a gallon of gasoline, jet fuel or other so-called clean petroleum products from the Middle East to Japan was unchanged at 9.31 U.S. cents yesterday, according to data compiled by Bloomberg. The cost is based on a cargo of 55,000 metric tons.

Saudi Arabia to Japan Tanker Rates Rises 0.7% to 33.30 Points

The cost of delivering Middle East crude to Asia, the world’s busiest route for supertankers, gained 0.7 percent to 33.30 Worldscale points, according to the Baltic Exchange in London.

Libya Oil Ports and Terminals Status June 5 (Table)

The table below shows the status and export capacities of Libya’s oil export terminals.

TOP ENERGY STORIES

European Stocks Rise With Italian Bonds as Euro Erases Decline

European stocks rallied and Italian bonds rose as European Central Bank President Mario Draghi cut interest rates and unveiled measures to support the economy. U.S. equities were little changed before tomorrow’s job report.

WTI Falls a Second Day on U.S. Fuel Inventories; Brent Declines

West Texas Intermediate fell for a second day after inventories of gasoline and distillate fuels increased in the U.S., the world’s biggest oil consumer. Brent slipped as the European Central Bank cut its deposit rate below zero.

El Nino Seen Hurting Asia Foodmakers, Miners; Spurring Inflation

Crop plantations, food manufacturers, metals mining are among industries that may be affected if El Nino weather pattern returns this year, according to analysts.

OPEC Meetings Lose Potency as Saudis Act Alone: Chart of the Day

OPEC isn’t moving oil markets like it used to. As Saudi Arabia, the world’s largest oil exporter, has acted with more independence and crude prices stabilized, the group’s gatherings in Vienna to discuss output have lost potency.

Natural Gas Rises as Warmer Weather Seen Limiting Supply Gains

Natural gas futures climbed to a four-week high in New York on speculation that seasonally hotter U.S. weather will spur power demand, limiting stockpile gains.

Clean Hydrogen Advances Amid Fuel Cell Technology Gains: Energy

Once relegated to the realm of science projects, hydrogen fuel cells are starting to displace fossil fuels as a means of powering cars, homes and businesses.

Flaws in Gulf Rigs Persist Four Years After BP Spill (2)

Flaws in safety equipment and procedures used on Gulf of Mexico rigs persist four years after 11 workers died in an explosion aboard the Deepwater Horizon that led to the largest offshore oil spill in U.S. history.

British Gas Gets Political Heat 27 Years After Sale: U.K. Credit

More than 27 years after Margaret Thatcher privatized British Gas, its successor remains at the mercy of politicians.

Statoil to Deepen Cost Cuts to Make Extra $5 Billion in Cash (3)

Statoil ASA, Norway’s biggest oil company, is preparing to deepen cuts to investment, operating expenses and staff in a bid to generate an extra $5 billion of cash a year.

Honeywell Offers Mobile Refineries at Oil Fields in Danger Zones

Honeywell International Inc. has a solution for oil producers that need a refinery in a region where bombs and bullets fly. It will ship one ready-made.

OTHER MARKETS

Asian Futures Rise With U.S. Stocks; Euro Holds Gains After ECB

Asian index futures followed U.S. stocks higher before an update on the American jobs market, while gold held its advance. The euro was near a two-week high after new stimulus measures from the European Central Bank spurred purchases of stocks and bonds in the region.

Euro Rebounds as Market Rejects ECB’s Effort to Weaken Currency

The $5.3 trillion foreign-exchange market rejected the European Central Bank’s unprecedented effort to weaken the euro, sending the 18-nation currency higher and providing a further headwind to manufacturers already coping with a slowing economy.

Draghi Unveils Historic Measures to Counter Deflation Threat (2)

Mario Draghi unveiled an unprecedented round of measures to help the European Central Bank’s record-low interest rates feed through to an economy threatened by deflation.

U.S. Stocks Rally as ECB Moves Boost Optimism Before Jobs Report

U.S. equity benchmarks rose to records and the Russell 2000 Index rallied to the highest since April, as European Central Bank stimulus boosted optimism in the global economy before tomorrow’s jobs report.

Europe Stocks Rise Near 6-Year High as Draghi Steps Up Stimulus

European stocks rose, trading near a six-year high, and Germany’s DAX Index briefly topped 10,000 for the first time after European Central Bank President Mario Draghi unveiled new plans to stimulate the region’s economy.

Gold Rally on ECB Stimulus Not Enough to Shake Lackluster Market

The prospect of unprecedented European stimulus that sent gold prices to the biggest gain in three weeks still wasn’t enough to rescue bullion from the doldrums of sinking volatility.

Silver Electronic Auction Favored as Replacement for London Fix

A replacement for the century-old London silver fixing benchmark that will end in August should be an electronic, auction-based process and one that’s tradeable with more direct participants, a survey showed.

Chinese Military Trains for Sophisticated Attacks, Pentagon Says

China’s military is improving its military doctrine, training, weapons and surveillance to be able to conduct more sophisticated attacks against the U.S. and other adversaries, the Pentagon reported today.

Abenomics Spells Most Misery Since ’81 as Retiree Skimps on Meat

Mieko Tatsunami finds Prime Minister Shinzo Abe’s drive to reflate Japan’s economy hard to digest.

SPORTS

Rio Police Target Ticket Scalpers a Week Before World Cup Begins

Police in Rio de Janeiro are clamping down on ticket scalpers a week before soccer’s World Cup begins.

World Cup Analysis Has England, Italy, Uruguay in Hardest Group

Costa Rica’s defense may hold the key to whether Italy, England or Uruguay will fail to advance out of their World Cup group stage, according to projections by Bloomberg Sports.

World Cup Viewing Imperiled in Colombia in Row Over TV Signals

After a 16-year wait for their team to play in soccer’s World Cup, millions of Colombians may not be able to watch a single game at home.

ENERGY PRICES

                         Last    Chg  %Chg   Exch Contract
                         ----   ----  ----   ---- --------
WTI Crude ($/Bbl)      102.44  -0.04   0.0  Nymex     July
Brent Crude ($/Bbl)    108.79  +0.39  +0.4    Ice     July
Gasoil ($/Ton)         886.00     --    --    Ice     July
Gasoline (c/Gal)       296.55  +0.92  +0.3  Nymex     July
Natural gas ($/MMBtu)    4.71  +0.01  +0.2  Nymex     July
Dated Brent ($/Bbl)    109.19  +1.07  +1.0    OTC  21 Days
Heating Oil            288.78  +0.81  +0.3  Nymex     July

Other markets:
                         Last  %Chg
                        ----- -----
Dollar Index            80.37  -0.4
Gold ($/Oz)          1,253.30  +0.7
MSCI World Index     1,725.60  +0.5

Prices as of 11 p.m. GMT

To contact Bloomberg News staff for this story: Pratish Narayanan in Singapore at pnarayanan9@bloomberg.net

To contact the editors responsible for this story: Pratish Narayanan at pnarayanan9@bloomberg.net

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.