US dollar hits 4-month high, putting pressure on oil prices

Oil prices today, November 13, both Brent and WTI oil “anchored” at the price achieved in the previous trading session. Oil prices were almost flat at the end of the trading session on November 12. The increase in the USD put pressure on oil prices.

Oil prices today, November 13, both Brent and WTI oil are 'anchored' at the price achieved in the previous trading session. The increase in the USD puts pressure on oil prices. (Source: Oilprice)

Oil prices held at two-week lows after falling about 5% in the previous two sessions, as investors digested OPEC’s cut in demand growth forecasts, a strong dollar and disappointment over China’s latest stimulus plan.

Brent crude rose 6 cents, or 0.83%, to $71.89 a barrel. WTI crude rose 8 cents, or 0.12%, to $68.12 a barrel.

According to Reuters , the Organization of the Petroleum Exporting Countries (OPEC) has cut its forecast for global oil demand growth in 2024 and also lowered its forecast for next year, marking the fourth consecutive downward adjustment by the producer group.

OPEC said global oil demand will grow by 1.82 million barrels per day (bpd) this year, down from its forecast of 1.93 million bpd growth last month. The group also cut its estimate for global demand growth in 2025 to 1.54 million bpd from 1.64 million bpd.

Earlier this month, OPEC and its allies (OPEC+) decided to postpone plans to increase production in December amid falling prices.

Chinese demand remains sluggish, and OPEC’s intervention in supply has not had the desired effect, said Gaurav Sharma, an independent oil analyst in London.

China's economic stimulus measures last weekend were not strong enough to boost economic growth, analysts said, as the US is likely to impose import tariffs of up to 60% on goods exported from China when US President-elect Donald Trump officially takes office.

Weighing on oil prices during the session, the dollar rose to a four-month high against a basket of currencies as investors continued to pile into trades that were seen as benefiting from Mr Trump’s election victory. A stronger dollar makes oil more expensive in other countries, which could dent demand.

The incoming US administration's protectionist policies will hamper global growth and Europe must be better prepared, European Central Bank policymakers said.

Domestic retail prices of gasoline on November 13 are as follows:

E5 RON 92 gasoline is not more than 19,744 VND/liter.

RON 95-III gasoline is not more than VND 20,854/liter.

Diesel oil not more than 18,917 VND/liter.

Kerosene not more than 19,294 VND/liter.

Fuel oil not exceeding 16,394 VND/kg.

The above domestic retail price of gasoline and oil was adjusted by the Ministry of Finance - Industry and Trade in the price management session on the afternoon of November 7. Because the world oil price made a hat-trick of increases in the last 3 trading sessions and extended the increase to the first 2 trading sessions of this week, the domestic oil price also followed the trend and increased.

The price of E5 RON 92 gasoline increased by 336 VND/liter, RON 95-III gasoline increased by 351 VND/liter. Oil prices increased more sharply with diesel increasing by 769 VND/liter, kerosene increasing by 461 VND/liter. Only fuel oil recorded a decrease of 67 VND/kg.

In this operating period, the joint ministries did not set aside or use the Petroleum Price Stabilization Fund for E5 RON 92 gasoline, RON 95 gasoline, diesel oil, kerosene, and fuel oil.

Source: https://baoquocte.vn/gasoline-price-today-1311-dong-usd-increases-highest-in-4-months-gay-ap-luc-len-gasoline-price-293579.html