Oil prices jumped around 1.5 per cent on Monday, pushed up by optimism that talks in Beijing can resolve <a href="http://www.wionews.com/world/explaining-the-us-china-trade-war-which-grabbed-spotlight-in-2018-185043">a trade war between the United States and China</a>, while supply cuts by major producers also supported crude.

Brent crude futures were at $57.93 per barrel at 0635 GMT, up 87 cents, or 1.5 per cent, from their last close.

US West Texas Intermediate (WTI) crude oil futures were at $48.76 per barrel, up 80 cents, or 1.7 per cent.

Financial markets were riding a relief rally on Monday on expectations that face-to-face trade negotiations between delegates from Washington and Beijing, starting on Monday, would lead to an easing in tensions between the two biggest economies in the world.

The United States and Beijing have been locked in an escalating trade spat since early 2018, raising import tariffs on each other's goods. The dispute has weighed on economic growth.

In the latest sign of a widespread economic slowdown that could also hit fuel demand, British new car sales in 2018 fell at their fastest rate since the global financial crisis a decade ago, preliminary data from the Society of Motor Manufacturers and Traders (SMMT) showed on Monday.

Goldman Sachs said in a note on Monday it had downgraded its average Brent crude oil forecast for 2019 from $70 per barrel to $62.50 a barrel because of "the strongest macro headwinds since 2015."

J P Morgan said in a note late last week that "the 3 per cent global growth pace we have been anticipating for the next two quarters looks increasingly challenging."

The bank also said that "bond and commodity markets appear to be pricing in on average close to a 60 per cent chance of a US recession over the coming year compared to a 40 per cent chance by our economists and 27 per cent chance by the consensus."

Opec cuts, rising US supply

Despite the likelihood of a slowdown, future crude prices were being supported by supply cuts started late last year by a group of producers around the Middle East-dominated Organization of the Petroleum Exporting Countries (OPEC) as well as non-OPEC Russia.

Goldman said the cuts would result in a gradual increase in spot crude prices in 2019 as high inventories revert to their 5-year averages.

OPEC oil supply fell in December by 460,000 barrels per day (bpd), to 32.68 million bpd, a Reuters survey found last week, led by cuts from top exporter Saudi Arabia.

The cuts are aimed at reining in swelling supply, especially in the United States.

Because of record US crude oil production of 11.7 million bpd, American fuel stockpiles are rising, according to weekly data by the Energy Information Administration (EIA) released on Friday.

Crude oil inventories rose by 7,000 barrels in the week ended on December 28, to 441.42 million barrels, more than 5 million barrels above their 5-year average.

Distillate and gasoline stocks, however, rose by a whopping 9.5 million and 6.9 million barrels, to 119.9 million and 240 million barrels respectively, the EIA data showed.

Financial markets were riding a relief rally on Monday on expectations that face-to-face trade negotiations between delegates from Washington and Beijing would lead to an easing in tensions.

Oil prices jumped around 1.5 per cent on Monday, pushed up by optimism that talks in Beijing can resolve a trade war between the United States and China, while supply cuts by major producers also supported crude. Brent crude futures were at $57.93 per barrel at 0635 GMT, up 87 cents, or 1.5 per cent, from their last close. US West Texas Intermediate (WTI) crude oil futures were at $48.76 per barrel, up 80 cents, or 1.7 per cent. Financial markets were riding a relief rally on Monday on expectations that face-to-face trade negotiations between delegates from Washington and Beijing, starting on Monday, would lead to an easing in tensions between the two biggest economies in the world. The United States and Beijing have been locked in an escalating trade spat since early 2018, raising import tariffs on each other's goods. The dispute has weighed on economic growth. In the latest sign of a widespread economic slowdown that could also hit fuel demand, British new car sales in 2018 fell at their fastest rate since the global financial crisis a decade ago, preliminary data from the Society of Motor Manufacturers and Traders (SMMT) showed on Monday. Goldman Sachs said in a note on Monday it had downgraded its average Brent crude oil forecast for 2019 from $70 per barrel to $62.50 a barrel because of "the strongest macro headwinds since 2015." J P Morgan said in a note late last week that "the 3 per cent global growth pace we have been anticipating for the next two quarters looks increasingly challenging." The bank also said that "bond and commodity markets appear to be pricing in on average close to a 60 per cent chance of a US recession over the coming year compared to a 40 per cent chance by our economists and 27 per cent chance by the consensus." Opec cuts, rising US supply Despite the likelihood of a slowdown, future crude prices were being supported by supply cuts started late last year by a group of producers around the Middle East-dominated Organization of the Petroleum Exporting Countries (OPEC) as well as non-OPEC Russia. Goldman said the cuts would result in a gradual increase in spot crude prices in 2019 as high inventories revert to their 5-year averages. OPEC oil supply fell in December by 460,000 barrels per day (bpd), to 32.68 million bpd, a Reuters survey found last week, led by cuts from top exporter Saudi Arabia. The cuts are aimed at reining in swelling supply, especially in the United States. Because of record US crude oil production of 11.7 million bpd, American fuel stockpiles are rising, according to weekly data by the Energy Information Administration (EIA) released on Friday. Crude oil inventories rose by 7,000 barrels in the week ended on December 28, to 441.42 million barrels, more than 5 million barrels above their 5-year average. Distillate and gasoline stocks, however, rose by a whopping 9.5 million and 6.9 million barrels, to 119.9 million and 240 million barrels respectively, the EIA data showed.

Oil rises on US-China trade talks, OPEC-led supply cuts

A sudden surge in crude prices can upset the nation's key macro-stability parameters, as it can sharply spike the current account deficit (CAD), inflation and the fiscal numbers, whittling the benefits of higher growth, warns an RBI study.

Since the country is heavily dependent on oil imports

To the tune of over 80 per cent for meeting its domestic demand, it remains susceptible to global crude price shocks.

Besides CAD, the rise in crude prices can also impact inflation and fiscal deficit, says the report.

The international crude prices increased by around 12 per cent between April and September 2018.

The mid-year spike in crude prices happened mainly due to spurt in demand, on the back of global growth revival, and partly due to geopolitical risks that led to supply-side shocks.

However, since mid-November 2018, the crude prices have declined significantly but they remain volatile.

"An increase in crude price worsens the CAD and this adverse impact cannot be significantly contained through higher growth. So, a crude price shock will be followed by high CAD to GDP ratio," says the latest issue of the Mint Street Memos titled 'The Impact of Crude Price Shock on CAD, Inflation and Fiscal Deficit' pencilled by in-house economists at the central bank.

The finding shows that in the worst case scenario, when crude prices hit $85/barrel, the deficit on account of oil balloons to $106.4 billion, which is 3.61 per cent of the GDP.

"Every $10/barrel increase in crude prices leads to an additional $12.5 billion deficit, which is roughly 43 bps of the country's GDP. So, every $10/barrel increase in crude price will shoot up the CAD/GDP ratio by 43 bps," it says.

The study says crude price shock will increase inflation if the price increase is passed on directly to the final consumers.

"Under the most conservative estimate, we quantify that a $10/barrel increase in crude price at the price of $65/barrel will lead to a 49 basis points increase in headline inflation. A similar increase at $55/barrel gives around a 58 bps increase in headline inflation," it says.

Further, if the government decides on a zero pass-through to the final consumers, a $10/barrel spike in crude prices could increase the fiscal deficit by 43bps.

This zero pass-through scenario allows us to put an upper band on the amount of fiscal slippage, it adds.

The actual inflation and fiscal deficit will finally depend on the level of government intervention (changes in tax and subsidy) in the domestic oil market, the study concludes.

A sudden surge in crude prices can upset the nation's key macro-stability parameters, as it can sharply spike the current account deficit (CAD), inflation and the fiscal numbers, whittling the benefits of higher growth, warns an RBI study.

A sudden surge in crude prices can upset the nation's key macro-stability parameters, as it can sharply spike the current account deficit (CAD), inflation and the fiscal numbers, whittling the benefits of higher growth, warns an RBI study. Since the country is heavily dependent on oil imports To the tune of over 80 per cent for meeting its domestic demand, it remains susceptible to global crude price shocks. Besides CAD, the rise in crude prices can also impact inflation and fiscal deficit, says the report. The international crude prices increased by around 12 per cent between April and September 2018. The mid-year spike in crude prices happened mainly due to spurt in demand, on the back of global growth revival, and partly due to geopolitical risks that led to supply-side shocks. However, since mid-November 2018, the crude prices have declined significantly but they remain volatile. "An increase in crude price worsens the CAD and this adverse impact cannot be significantly contained through higher growth. So, a crude price shock will be followed by high CAD to GDP ratio," says the latest issue of the Mint Street Memos titled 'The Impact of Crude Price Shock on CAD, Inflation and Fiscal Deficit' pencilled by in-house economists at the central bank. The finding shows that in the worst case scenario, when crude prices hit $85/barrel, the deficit on account of oil balloons to $106.4 billion, which is 3.61 per cent of the GDP. "Every $10/barrel increase in crude prices leads to an additional $12.5 billion deficit, which is roughly 43 bps of the country's GDP. So, every $10/barrel increase in crude price will shoot up the CAD/GDP ratio by 43 bps," it says. The study says crude price shock will increase inflation if the price increase is passed on directly to the final consumers. "Under the most conservative estimate, we quantify that a $10/barrel increase in crude price at the price of $65/barrel will lead to a 49 basis points increase in headline inflation. A similar increase at $55/barrel gives around a 58 bps increase in headline inflation," it says. Further, if the government decides on a zero pass-through to the final consumers, a $10/barrel spike in crude prices could increase the fiscal deficit by 43bps. This zero pass-through scenario allows us to put an upper band on the amount of fiscal slippage, it adds. The actual inflation and fiscal deficit will finally depend on the level of government intervention (changes in tax and subsidy) in the domestic oil market, the study concludes.

Crude shocker can be rude shocks for economy: RBI economists

All countries that were granted waivers from the <a href="http://www.wionews.com/world/donald-trump-us-president-marks-another-year-of-controversies-185674">United States</a> to continue buying a certain amount of Iranian oil imports are complying with <a href="http://www.wionews.com/world/us-sanctions-wont-change-iran-policies-javad-zarif-184363">US sanctions</a>, a senior Iranian energy official said, noting that Tehran was hopeful to find new buyers.

The United States withdrew from a nuclear deal with Iran last year and snapped sanctions in place to choke Iran’s oil and banking industries, while temporarily allowing eight customers to keep buying crude from the Islamic Republic.

"China, India, Japan, South Korea and other countries that were granted waivers from America to import Iranian oil are not willing to buy even one barrel more from Iran," Amir Hossein Zamaninia, Iran’s deputy oil minister for trade and international affairs, was quoted as saying by the Oil Ministry's news agency SHANA.

However, without giving details, Zamaninia said: "Despite US pressures on Iranian oil market, the number of potential buyers of Iranian oil has significantly increased due to a competitive market, greed and pursuit of more profit."

The 180-day exemptions were also granted to Italy, Greece, Taiwan and Turkey.

Washington seeks to bring Iranian oil exports to zero in order to curb Tehran's missile and nuclear programmes and counter its growing military and political influence in the Middle East.

Iran has urged European countries, which are still committed to the nuclear deal, to oppose the sanctions by creating a financial mechanism that facilitates payments of Iranian oil sales.

Zamaninia said the mechanism, known as SPV (Special Purpose Vehicle for trade), would be "helpful but could not resolve the problems since US influence will affect any European action".

All countries that were granted waivers from the United States to continue buying a certain amount of Iranian oil imports are complying with US sanctions, a senior Iranian energy official said, noting that Tehran was hopeful to find new buyers.

All countries that were granted waivers from the United States to continue buying a certain amount of Iranian oil imports are complying with US sanctions, a senior Iranian energy official said, noting that Tehran was hopeful to find new buyers. The United States withdrew from a nuclear deal with Iran last year and snapped sanctions in place to choke Iran’s oil and banking industries, while temporarily allowing eight customers to keep buying crude from the Islamic Republic. "China, India, Japan, South Korea and other countries that were granted waivers from America to import Iranian oil are not willing to buy even one barrel more from Iran," Amir Hossein Zamaninia, Iran’s deputy oil minister for trade and international affairs, was quoted as saying by the Oil Ministry's news agency SHANA. However, without giving details, Zamaninia said: "Despite US pressures on Iranian oil market, the number of potential buyers of Iranian oil has significantly increased due to a competitive market, greed and pursuit of more profit." The 180-day exemptions were also granted to Italy, Greece, Taiwan and Turkey. Washington seeks to bring Iranian oil exports to zero in order to curb Tehran's missile and nuclear programmes and counter its growing military and political influence in the Middle East. Iran has urged European countries, which are still committed to the nuclear deal, to oppose the sanctions by creating a financial mechanism that facilitates payments of Iranian oil sales. Zamaninia said the mechanism, known as SPV (Special Purpose Vehicle for trade), would be "helpful but could not resolve the problems since US influence will affect any European action".

Iran says despite US sanctions, it has found new 'potential' oil buyers

Oil markets dropped by around 1 per cent in 2019's first trading on Wednesday, pulled down by surging US&nbsp;output and concerns about an economic slowdown in 2019 as factory activity in China, the world's biggest oil importer, contracted.

International Brent crude futures were at $53.19 per barrel at 0544 GMT, down 61 cents, or 1.1 per cent, from their final close of 2018.

West Texas Intermediate (WTI) futures were at $44.95 per barrel, down 47 cents, or 1 per cent.

In physical oil markets, Dubai crude averaged $57.318 a barrel for December, the lowest since October 2017, two traders who participate in the market said on Wednesday.

Similarly, Malaysia's Petronas set the official selling price of a basket of December-loading Malaysian crude grades at $62.79 a barrel, the lowest since October 2017, the state oil firm said on Wednesday.

Traders said futures prices fell on expectations of oversupply amid surging US&nbsp;production and concerns about a global economic slowdown.

Factory activity weakened in December across Asia, including in China, as the Sino-US&nbsp;trade war and a slowdown in Chinese demand hit production in most economies, pointing to a rocky start for the world's top economic growth region in 2019.

Independent market analyst Greg McKenna said in a note on Wednesday that it was "difficult for traders and investors to ignore what looks like a genuine global economic slowdown."

That is also impacting sentiment in oil markets. Oil prices ended 2018 lower for the first time since 2015, after a desultory fourth quarter that saw buyers flee the market over growing worries about too much supply and mixed signals related to renewed US&nbsp;sanctions on Iran.

"Oil prices ... registered their first yearly decline in three years on fears of a slowing global economy and concerns of an ongoing supply glut," said Adeel Minhas, a consultant at Australia's Rivkin Securities.

For the year, WTI futures slumped nearly 25 per cent, while Brent tumbled nearly 20 per cent.

The outlook for 2019 is riddled with uncertainty, analysts said, including the US-China trade concerns and Brexit, as well as political instability and conflict in the Middle East.

A Reuters poll showed oil prices are expected to trade below $70 per barrel in 2019 as surplus production, much of it from the United States, and slowing economic growth undermine efforts led by the Organisation of the Petroleum Exporting Countries (OPEC) to cut supply and prop up prices.

On the production side, all eyes will be on the ongoing surge in US&nbsp;output and on OPEC's and Russia's supply discipline.

"Don't underestimate shale producers and the wider US&nbsp;oil industry in general. Too often this year the market pushed stories ... bottlenecks (pipelines, frack crews, truck drivers, etc.), yet US&nbsp;oil production will have grown by a massive 2+ million barrels per day between 1.1.2018 and 1.1.2019," consultancy JBC Energy said in an analysis of 2018.

US&nbsp;crude output rose to an all-time high of 11.537 million barrels per day (bpd) in October, the Energy Information Administration (EIA) said on Monday. That makes the US&nbsp;the world's biggest oil producer ahead of Russia and Saudi Arabia.

Weekly data, which is more open to revisions, was reported last week at 11.7 million bpd in late December by the EIA. 
&nbsp;

Oil markets dropped by around 1 per cent in 2019's first trading on Wednesday, pulled down by surging US output and concerns about an economic slowdown in 2019 as factory activity in China, the world's biggest oil importer, contracted.

Oil markets dropped by around 1 per cent in 2019's first trading on Wednesday, pulled down by surging US output and concerns about an economic slowdown in 2019 as factory activity in China, the world's biggest oil importer, contracted. International Brent crude futures were at $53.19 per barrel at 0544 GMT, down 61 cents, or 1.1 per cent, from their final close of 2018. West Texas Intermediate (WTI) futures were at $44.95 per barrel, down 47 cents, or 1 per cent. In physical oil markets, Dubai crude averaged $57.318 a barrel for December, the lowest since October 2017, two traders who participate in the market said on Wednesday. Similarly, Malaysia's Petronas set the official selling price of a basket of December-loading Malaysian crude grades at $62.79 a barrel, the lowest since October 2017, the state oil firm said on Wednesday. Traders said futures prices fell on expectations of oversupply amid surging US production and concerns about a global economic slowdown. Factory activity weakened in December across Asia, including in China, as the Sino-US trade war and a slowdown in Chinese demand hit production in most economies, pointing to a rocky start for the world's top economic growth region in 2019. Independent market analyst Greg McKenna said in a note on Wednesday that it was "difficult for traders and investors to ignore what looks like a genuine global economic slowdown." That is also impacting sentiment in oil markets. Oil prices ended 2018 lower for the first time since 2015, after a desultory fourth quarter that saw buyers flee the market over growing worries about too much supply and mixed signals related to renewed US sanctions on Iran. "Oil prices ... registered their first yearly decline in three years on fears of a slowing global economy and concerns of an ongoing supply glut," said Adeel Minhas, a consultant at Australia's Rivkin Securities. For the year, WTI futures slumped nearly 25 per cent, while Brent tumbled nearly 20 per cent. The outlook for 2019 is riddled with uncertainty, analysts said, including the US-China trade concerns and Brexit, as well as political instability and conflict in the Middle East. A Reuters poll showed oil prices are expected to trade below $70 per barrel in 2019 as surplus production, much of it from the United States, and slowing economic growth undermine efforts led by the Organisation of the Petroleum Exporting Countries (OPEC) to cut supply and prop up prices. On the production side, all eyes will be on the ongoing surge in US output and on OPEC's and Russia's supply discipline. "Don't underestimate shale producers and the wider US oil industry in general. Too often this year the market pushed stories ... bottlenecks (pipelines, frack crews, truck drivers, etc.), yet US oil production will have grown by a massive 2+ million barrels per day between 1.1.2018 and 1.1.2019," consultancy JBC Energy said in an analysis of 2018. US crude output rose to an all-time high of 11.537 million barrels per day (bpd) in October, the Energy Information Administration (EIA) said on Monday. That makes the US the world's biggest oil producer ahead of Russia and Saudi Arabia. Weekly data, which is more open to revisions, was reported last week at 11.7 million bpd in late December by the EIA.

Oil kicks off 2019 with losses on signs of economic slowdown, surging supply

India has cut import taxes on crude and refined palm oil from Southeast Asian (ASEAN) countries after a request from suppliers, a government notification said.

The reduction will lead to higher imports of palm oil by the world's biggest edible oil buyer in coming months as it would narrow the difference between the tropical vegetable oil and competitors such as soy oil and sunflower oil.

The duty on crude palm oil was lowered to 40 per cent from 44 per cent, while a tax on the refined variety was cut to 50 per cent from 54 per cent, according to the notification issued late on Monday. The cuts took effect on Tuesday.

Malaysian shipments of refined palm oil will be taxed at 45 per cent compared with 54 per cent earlier, the government said in a separate notice.

In March 2018, India raised the import tax on crude palm oil to 44 per cent from 30 per cent and lifted the tax on refined palm oil to 54 per cent from 40 per cent.

Palm oil has been more competitive due to the duty reduction and this will lead to higher imports from January onwards, said Sandeep Bajoria, chief executive of the Sunvin Group, a Mumbai-based vegetable oil importer.

India primarily imports palm oil from Indonesia and Malaysia and soy oil from Argentina and Brazil. It also buys small volumes of sunflower oil from Ukraine and canola oil from Canada.

Its palm oil imports dropped 6.4 per cent from a year ago to 8.7 million tonnes in the 2017/18 marketing year ended in October, according to Solvent Extractors' Association (SEA), a Mumbai-based trade body.

Indonesia and Malaysia, the top two palm oil producers, were seeking a reduction in the import tax by New Delhi as inventories were rising in both countries due to higher output.

India's palm oil imports could have fallen in December but will jump this month as some importers had delayed shipments in anticipation of tax cuts, said B.V. Mehta, executive director of the SEA.

The effective duty difference between crude and refined palm oil has narrowed to 5.5 per cent from 11 per cent for shipments from Malaysia, which could lead to higher imports of refined palm oil, Mehta said.

"This is a death knell for the domestic refining industry and will halt the expansion of palm plantations in the country," he said.

India relies on imports for 70 per cent of its edible oil consumption, up from 44 per cent in 2001/02.

"Traditionally, Indonesia corners the bulk of India's palm oil market. The duty reduction will now allow Malaysia to raise its share," said a Mumbai-based dealer with a global trading firm.

India's palm oil imports could have fallen in December but will jump this month as some importers had delayed shipments in anticipation of tax cuts, said B.V. Mehta, executive director of the Solvent Extractors' Association (SEA).

India has cut import taxes on crude and refined palm oil from Southeast Asian (ASEAN) countries after a request from suppliers, a government notification said. The reduction will lead to higher imports of palm oil by the world's biggest edible oil buyer in coming months as it would narrow the difference between the tropical vegetable oil and competitors such as soy oil and sunflower oil. The duty on crude palm oil was lowered to 40 per cent from 44 per cent, while a tax on the refined variety was cut to 50 per cent from 54 per cent, according to the notification issued late on Monday. The cuts took effect on Tuesday. Malaysian shipments of refined palm oil will be taxed at 45 per cent compared with 54 per cent earlier, the government said in a separate notice. In March 2018, India raised the import tax on crude palm oil to 44 per cent from 30 per cent and lifted the tax on refined palm oil to 54 per cent from 40 per cent. Palm oil has been more competitive due to the duty reduction and this will lead to higher imports from January onwards, said Sandeep Bajoria, chief executive of the Sunvin Group, a Mumbai-based vegetable oil importer. India primarily imports palm oil from Indonesia and Malaysia and soy oil from Argentina and Brazil. It also buys small volumes of sunflower oil from Ukraine and canola oil from Canada. Its palm oil imports dropped 6.4 per cent from a year ago to 8.7 million tonnes in the 2017/18 marketing year ended in October, according to Solvent Extractors' Association (SEA), a Mumbai-based trade body. Indonesia and Malaysia, the top two palm oil producers, were seeking a reduction in the import tax by New Delhi as inventories were rising in both countries due to higher output. India's palm oil imports could have fallen in December but will jump this month as some importers had delayed shipments in anticipation of tax cuts, said B.V. Mehta, executive director of the SEA. The effective duty difference between crude and refined palm oil has narrowed to 5.5 per cent from 11 per cent for shipments from Malaysia, which could lead to higher imports of refined palm oil, Mehta said. "This is a death knell for the domestic refining industry and will halt the expansion of palm plantations in the country," he said. India relies on imports for 70 per cent of its edible oil consumption, up from 44 per cent in 2001/02. "Traditionally, Indonesia corners the bulk of India's palm oil market. The duty reduction will now allow Malaysia to raise its share," said a Mumbai-based dealer with a global trading firm.

India cuts tax on palm oil imports; Malaysia to gain most

Oil prices climbed on the last trading day of the year on Monday, taking a cue from firmer stock markets, but were on track for the first yearly decline in three years amid concerns of a persistent supply glut.

Hints of progress on a possible US-China trade deal helped bolster sentiment, which has been battered by concerns over a weaker global economic outlook.

Brent crude futures - the international benchmark for oil prices - rose 42 cents, or 0.per cent, to $53.63 a barrel by 0250 GMT. Brent declined nearly 20 per cent in 2018 following two years of growth.&nbsp;

US West Texas Intermediate (WTI) crude futures were at $45.65 a barrel, up 32 cents, or 0.7per cent, from their last close. WTI is down about 24 per cent this year.

Crude prices have been closely tracking equity markets during volatile trading for both asset classes last week.&nbsp;

"Investors are looking for bargains in an illiquid market (today)... If Trump gets over trade issues with China expect economic demand to surge," said Jonathan Barratt, chief investment officer at Probis Securities in Sydney.

US President Donald Trump said he had a "long and very good call" with Chinese President Xi Jinping and that a possible trade deal between the United States and China was progressing well.

"China is still the best bet for global economic growth. Anything that severely pinches China will inevitably hurt global growth and, as a consequence, oil consumption," said Sukrit Vijayakar, director of energy consultancy Trifecta.

The current downward pressure on oil prices should likely taper off from January, when OPEC-led supply cuts commence, analysts said.

Earlier this month, the Organization of the Petroleum Exporting Countries (OPEC) and its allies including Russia, agreed to curb output by 1.2 million barrels per day starting in January to clear a supply overhang and prop up prices.

The group of producers "may hold out on supplies longer than reasonable in order to see if they can effect a rally similar to September-October this year," Vijayakar said.

Meanwhile, imports of Iranian crude oil by major buyers in Asia hit their lowest in more than five years in November as US sanctions on Iran`s oil exports took effect last month.

Asia`s imports from Iran are set to rise again in December after the US granted temporary waivers to some countries, but is not known how much Iran will be able to export once the waivers expire around the start of May.

"We postulate for a gentle recovery for oil prices into the first quarter of 2019 though marked volatility can snap oil prices south in lieu of market uncertainties and key events such as Brexit, US-China trade truce deal, US monetary policy, US-Iran sanctions," said Benjamin Lu Jiaxuan, commodities analyst at Singapore-based brokerage firm Phillip Futures.

Energy companies in the United States, currently the world`s biggest oil producer, added two oil drilling rigs in the week to December 28, General Electric Co`s Baker Hughes unit said on Friday. That was up from 747 a year ago. The rig count is used as an indicator for future output.

Oil prices climbed on the last trading day of the year on Monday, taking a cue from firmer stock markets, but were on track for the first yearly decline in three years amid concerns of a persistent supply glut.

Oil prices climbed on the last trading day of the year on Monday, taking a cue from firmer stock markets, but were on track for the first yearly decline in three years amid concerns of a persistent supply glut. Hints of progress on a possible US-China trade deal helped bolster sentiment, which has been battered by concerns over a weaker global economic outlook. Brent crude futures - the international benchmark for oil prices - rose 42 cents, or 0.per cent, to $53.63 a barrel by 0250 GMT. Brent declined nearly 20 per cent in 2018 following two years of growth. US West Texas Intermediate (WTI) crude futures were at $45.65 a barrel, up 32 cents, or 0.7per cent, from their last close. WTI is down about 24 per cent this year. Crude prices have been closely tracking equity markets during volatile trading for both asset classes last week. "Investors are looking for bargains in an illiquid market (today)... If Trump gets over trade issues with China expect economic demand to surge," said Jonathan Barratt, chief investment officer at Probis Securities in Sydney. US President Donald Trump said he had a "long and very good call" with Chinese President Xi Jinping and that a possible trade deal between the United States and China was progressing well. "China is still the best bet for global economic growth. Anything that severely pinches China will inevitably hurt global growth and, as a consequence, oil consumption," said Sukrit Vijayakar, director of energy consultancy Trifecta. The current downward pressure on oil prices should likely taper off from January, when OPEC-led supply cuts commence, analysts said. Earlier this month, the Organization of the Petroleum Exporting Countries (OPEC) and its allies including Russia, agreed to curb output by 1.2 million barrels per day starting in January to clear a supply overhang and prop up prices. The group of producers "may hold out on supplies longer than reasonable in order to see if they can effect a rally similar to September-October this year," Vijayakar said. Meanwhile, imports of Iranian crude oil by major buyers in Asia hit their lowest in more than five years in November as US sanctions on Iran`s oil exports took effect last month. Asia`s imports from Iran are set to rise again in December after the US granted temporary waivers to some countries, but is not known how much Iran will be able to export once the waivers expire around the start of May. "We postulate for a gentle recovery for oil prices into the first quarter of 2019 though marked volatility can snap oil prices south in lieu of market uncertainties and key events such as Brexit, US-China trade truce deal, US monetary policy, US-Iran sanctions," said Benjamin Lu Jiaxuan, commodities analyst at Singapore-based brokerage firm Phillip Futures. Energy companies in the United States, currently the world`s biggest oil producer, added two oil drilling rigs in the week to December 28, General Electric Co`s Baker Hughes unit said on Friday. That was up from 747 a year ago. The rig count is used as an indicator for future output.

Oil prices set for first annual decline since 2015

The US dollar strength, oil prices and next year's general elections will determine the rupee's direction in the near-term, with fundamentals being supportive for the domestic currency over the next 6-12 months, says a report by Standard Chartered.

<a href="http://www.wionews.com/business-economy/inflation-in-2018-data-shows-price-rise-within-comfort-zone-but-farmers-187302">Attractive real yields (net of inflation)</a>, growth momentum and robust forex reserves of $394 billion are likely to be positive for the Indian rupee (INR), said the report titled '2019 India Outlook — A year to prepare and react'.

On the macro overview, the report expects India's GDP growth to remain robust in 2019, supported by tailwinds from recent policy reforms (GST and bankruptcy code implementation), signs of a revival in private capex and pre-election spending.

"In our assessment, consumer price inflation (CPI) is likely to average 4 per cent in 2019. Benign food inflation, positive base effects, recent correction in oil prices and INR stability is likely to keep inflationary pressures under check," it said.

The report also said<a href="http://www.wionews.com/business-economy/rbi-exploring-mobile-phone-based-solution-to-help-visually-impaired-identify-banknotes-187305"> the RBI</a> is likely to stay on hold in 2019, as inflation is likely to remain within its medium-term target of 4 per cent.

"However, if inflation continues to undershoot RBI's target, there is a &nbsp;possibility of a rate cut later in 2019," it noted.

On the equity market, Standard Chartered said, "We remain positive on Indian equity markets in 2019, though more cautious compared to 2018."

"As we head into 2019, Indian markets are likely to remain volatile. We take a balanced approach to investing being selective in taking risk (diversified equity exposure) while keeping a greater margin of safety (preference for bonds) and keeping some dry power for tactical opportunities during the year," said Nitin Singh, MD and Head, Standard Chartered Wealth Management India.

Citing reasons for the likely volatility in markets, the report said India's twin deficits are likely to remain under pressure in 2019 as fiscal slippage risk is high and current account deficit rises amid a weak global funding environment.

"Second, while we don't see systemic risk arising from the recent liquidity pressures on non-banking financial companies (NBFCs), markets still need to adjust in the near-term to tighter financial conditions amid an elevated credit risk," it said.

It added that "as we near the general elections in mid-2019, risk premiums could rise to factor in political uncertainty".

The report said the macro environment is still supportive for equities.

Earnings growth outlook remains robust with high double-digit growth expected in 2019, it said.

"In our assessment, the recent market correction from 2018 peak has created a greater valuation buffer, with valuations converging closer to longer-term averages, compared to peak valuations a few months back," reads the report.

However, rising margin pressures and its impact on future profitability, stretched valuations relative to bonds and cash and moderating flows amid tighter liquidity are risks to equity outlook, it added.

The US dollar strength, oil prices and next year's general elections will determine the rupee's direction in the near-term, with fundamentals being supportive for the domestic currency over the next 6-12 months, says a report by Standard Chartered.

The US dollar strength, oil prices and next year's general elections will determine the rupee's direction in the near-term, with fundamentals being supportive for the domestic currency over the next 6-12 months, says a report by Standard Chartered. Attractive real yields (net of inflation), growth momentum and robust forex reserves of $394 billion are likely to be positive for the Indian rupee (INR), said the report titled '2019 India Outlook — A year to prepare and react'. On the macro overview, the report expects India's GDP growth to remain robust in 2019, supported by tailwinds from recent policy reforms (GST and bankruptcy code implementation), signs of a revival in private capex and pre-election spending. "In our assessment, consumer price inflation (CPI) is likely to average 4 per cent in 2019. Benign food inflation, positive base effects, recent correction in oil prices and INR stability is likely to keep inflationary pressures under check," it said. The report also said the RBI is likely to stay on hold in 2019, as inflation is likely to remain within its medium-term target of 4 per cent. "However, if inflation continues to undershoot RBI's target, there is a possibility of a rate cut later in 2019," it noted. On the equity market, Standard Chartered said, "We remain positive on Indian equity markets in 2019, though more cautious compared to 2018." "As we head into 2019, Indian markets are likely to remain volatile. We take a balanced approach to investing being selective in taking risk (diversified equity exposure) while keeping a greater margin of safety (preference for bonds) and keeping some dry power for tactical opportunities during the year," said Nitin Singh, MD and Head, Standard Chartered Wealth Management India. Citing reasons for the likely volatility in markets, the report said India's twin deficits are likely to remain under pressure in 2019 as fiscal slippage risk is high and current account deficit rises amid a weak global funding environment. "Second, while we don't see systemic risk arising from the recent liquidity pressures on non-banking financial companies (NBFCs), markets still need to adjust in the near-term to tighter financial conditions amid an elevated credit risk," it said. It added that "as we near the general elections in mid-2019, risk premiums could rise to factor in political uncertainty". The report said the macro environment is still supportive for equities. Earnings growth outlook remains robust with high double-digit growth expected in 2019, it said. "In our assessment, the recent market correction from 2018 peak has created a greater valuation buffer, with valuations converging closer to longer-term averages, compared to peak valuations a few months back," reads the report. However, rising margin pressures and its impact on future profitability, stretched valuations relative to bonds and cash and moderating flows amid tighter liquidity are risks to equity outlook, it added.

US dollar strength, oil prices, general elections to determine rupee direction in near term: Report

Announcement of macroeconomic data points, global cues, movement of the rupee and crude oil will dictate <a href="http://www.wionews.com/business-economy/markets-open-in-green-sensex-up-by-over-250-points-rupee-strengthens-by-30-paise-186936">the stock market</a> trend in the first week of the new year, experts said.

PMI data for the manufacturing and services sectors are due this week, which will influence trading sentiment.

Besides, sales data from auto companies can trigger stock-specific action, they added.

"Market is expected to continue being volatile with selling occurring at higher levels. International factors will likewise influence domestic markets.&nbsp;

"Macros are nonetheless favourable but political uncertainty, strained global geopolitics and brewing trade wars will act as a catalyst for the negative sentiment prevailing in the equity markets," said Jimeet Modi, Founder and CEO, SAMCO Securities and StockNote.

"Consolidation in oil prices and strong rupee will provide stability in the macros which will provide confidence for investors," said Vinod Nair, Head of Research, Geojit Financial Services.

Investors will closely watch Q3 earnings, while global cues will dictate the direction of the market, he added.

Earnings season would kick-start from the second week of January, which will keep markets busy.

During the past week, the Sensex gained 334.65 points to finish at 36,076.72

Announcement of macroeconomic data points, global cues, movement of the rupee and crude oil will dictate the stock market trend in the first week of the new year, experts said.

Announcement of macroeconomic data points, global cues, movement of the rupee and crude oil will dictate the stock market trend in the first week of the new year, experts said. PMI data for the manufacturing and services sectors are due this week, which will influence trading sentiment. Besides, sales data from auto companies can trigger stock-specific action, they added. "Market is expected to continue being volatile with selling occurring at higher levels. International factors will likewise influence domestic markets. "Macros are nonetheless favourable but political uncertainty, strained global geopolitics and brewing trade wars will act as a catalyst for the negative sentiment prevailing in the equity markets," said Jimeet Modi, Founder and CEO, SAMCO Securities and StockNote. "Consolidation in oil prices and strong rupee will provide stability in the macros which will provide confidence for investors," said Vinod Nair, Head of Research, Geojit Financial Services. Investors will closely watch Q3 earnings, while global cues will dictate the direction of the market, he added. Earnings season would kick-start from the second week of January, which will keep markets busy. During the past week, the Sensex gained 334.65 points to finish at 36,076.72

Macro data, rupee, oil to guide markets this week: Experts

Iran&nbsp;said on Monday it was ready to respond to any hostile US&nbsp;action, but it did not consider the arrival of a US aircraft carrier in the Gulf last week as a significant threat.

The USS John C. Stennis entered the Gulf on Friday, ending a long absence of US&nbsp;aircraft carriers in the region as tensions rise between Tehran and Washington.

"The presence of this warship is insignificant to us,"&nbsp;Iran's Navy commander Habibollah Sayyari was quoted as saying by the semi-official ISNA news agency.

"We will not allow this warship to come near our territorial waters in the Persian Gulf," he added.

Sayyari said the US&nbsp;Navy was allowed to sail in international waters near&nbsp;Iran, just as the&nbsp;Iranian navy could sail in the Atlantic Ocean near U.S. waters.

He said, however, that&nbsp;Iran&nbsp;was on alert for possible threats. "They do not have the courage or ability to take any measures against us. We have enough capabilities to stand against their actions and we have fully rehearsed for that."

A US-Iranian war of words has escalated since US&nbsp;President Donald Trump withdrew Washington in May from a world powers’ nuclear deal with&nbsp;Iran, and reimposed sanctions on its banking and energy sectors.

Iran&nbsp;has warned that if it cannot sell its oil due to US&nbsp;pressures, then no other regional country will be allowed to do so either, threatening to block the Strait of Hormuz in the Gulf.

A fifth of global oil consumption passes through the Strait from the Middle East crude producers to major markets.

In recent years, there have been periodic confrontations between&nbsp;Iran's Revolutionary Guards and US&nbsp;military in the Gulf, but the number of incidents has dropped in recent months.

Iran said on Monday it was ready to respond to any hostile US action, but it did not consider the arrival of a US aircraft carrier in the Gulf last week as a significant threat.

Iran said on Monday it was ready to respond to any hostile US action, but it did not consider the arrival of a US aircraft carrier in the Gulf last week as a significant threat. The USS John C. Stennis entered the Gulf on Friday, ending a long absence of US aircraft carriers in the region as tensions rise between Tehran and Washington. "The presence of this warship is insignificant to us," Iran's Navy commander Habibollah Sayyari was quoted as saying by the semi-official ISNA news agency. "We will not allow this warship to come near our territorial waters in the Persian Gulf," he added. Sayyari said the US Navy was allowed to sail in international waters near Iran, just as the Iranian navy could sail in the Atlantic Ocean near U.S. waters. He said, however, that Iran was on alert for possible threats. "They do not have the courage or ability to take any measures against us. We have enough capabilities to stand against their actions and we have fully rehearsed for that." A US-Iranian war of words has escalated since US President Donald Trump withdrew Washington in May from a world powers’ nuclear deal with Iran, and reimposed sanctions on its banking and energy sectors. Iran has warned that if it cannot sell its oil due to US pressures, then no other regional country will be allowed to do so either, threatening to block the Strait of Hormuz in the Gulf. A fifth of global oil consumption passes through the Strait from the Middle East crude producers to major markets. In recent years, there have been periodic confrontations between Iran's Revolutionary Guards and US military in the Gulf, but the number of incidents has dropped in recent months.

Presence of US warship insignificant to us, won't allow it to enter Persian Gulf: Iran

Oil prices rose on Monday, extending gains from Friday when <a href="http://www.wionews.com/opinions/saudi-arabia-is-allying-with-russia-to-shore-up-oil-prices-as-opecs-power-wanes-182621">producer club OPEC</a> and some non-affiliated producers agreed to a supply cut of 1.2 million barrels per day (bpd) from January.

Despite this, the outlook for next year remains muted on the back of an economic slowdown.

International Brent crude oil futures were at $62.21 per barrel at 0218 GMT, up 54 cents, or 0.9 per cent, from their last close.

Prices surged on Friday after the Organisation of the Petroleum Exporting Countries (OPEC) and some non-OPEC producers including heavyweight Russia announced they would cut oil supply by 1.2 million bpd, with an 800,000 bpd reduction planned by OPEC-members and 400,000 bpd by countries not affiliated with the group.

US West Texas Intermediate (WTI) crude futures were at $52.63 per barrel, up 2 cents, held back as the booming U.S. oil industry is not taking part in the announced cuts.

The OPEC-led supply curbs will be made from January, measured against October 2018 output levels.

"Our key conclusion is that oil prices will be well supported around the $70 per barrel level for 2019," analysts at Bernstein Energy said on Monday.

Despite the cuts, that was still a price forecast reduction of $6 per barrel as Bernstein reduced its crude oil demand forecast from 1.5 million bpd previously to 1.3 million bpd for 2019.

US bank Morgan Stanley said the cut was "likely sufficient to balance the market in 1H19 and prevent inventories from

building".

It added that it expected "Brent to reach $67.5 per barrel by 2Q19, down from $77.5 before."

Oil prices have been pulled down sharply since October by signs of an economic slowdown, with Brent losing almost 30 per cent in value.

Japan, the world's third biggest economy and No.4 oil consumer, on Monday revised its third-quarter GDP growth down to an annualised rate of -2.5 per cent, down from the initial estimate of -1.2 per cent.

Meanwhile, the two world's biggest economies, the United States and China, are locked in a trade war which is threatening to slow global growth and battering investor sentiment.

Despite the expectations of a slowdown, physical demand on the ground remains healthy.

China, the world's biggest oil importer, over the weekend reported an annualised 8.5 per cent jump in November crude imports, to 10.43 million bpd, marking the first time China imported more than 10 million bpd. That leaves the world's second-biggest economy on track to set yet another annual import record.

Strong demand is being driven by Chinese purchases for strategic reserves, but also by new refineries, triggering excess supply of fuels, filling up storage tanks and eroding refinery profits across Asia.

Oil prices rose on Monday, extending gains from Friday when producer club OPEC and some non-affiliated producers agreed to a supply cut of 1.2 million barrels per day (bpd) from January.

Oil prices rose on Monday, extending gains from Friday when producer club OPEC and some non-affiliated producers agreed to a supply cut of 1.2 million barrels per day (bpd) from January. Despite this, the outlook for next year remains muted on the back of an economic slowdown. International Brent crude oil futures were at $62.21 per barrel at 0218 GMT, up 54 cents, or 0.9 per cent, from their last close. Prices surged on Friday after the Organisation of the Petroleum Exporting Countries (OPEC) and some non-OPEC producers including heavyweight Russia announced they would cut oil supply by 1.2 million bpd, with an 800,000 bpd reduction planned by OPEC-members and 400,000 bpd by countries not affiliated with the group. US West Texas Intermediate (WTI) crude futures were at $52.63 per barrel, up 2 cents, held back as the booming U.S. oil industry is not taking part in the announced cuts. The OPEC-led supply curbs will be made from January, measured against October 2018 output levels. "Our key conclusion is that oil prices will be well supported around the $70 per barrel level for 2019," analysts at Bernstein Energy said on Monday. Despite the cuts, that was still a price forecast reduction of $6 per barrel as Bernstein reduced its crude oil demand forecast from 1.5 million bpd previously to 1.3 million bpd for 2019. US bank Morgan Stanley said the cut was "likely sufficient to balance the market in 1H19 and prevent inventories from building". It added that it expected "Brent to reach $67.5 per barrel by 2Q19, down from $77.5 before." Oil prices have been pulled down sharply since October by signs of an economic slowdown, with Brent losing almost 30 per cent in value. Japan, the world's third biggest economy and No.4 oil consumer, on Monday revised its third-quarter GDP growth down to an annualised rate of -2.5 per cent, down from the initial estimate of -1.2 per cent. Meanwhile, the two world's biggest economies, the United States and China, are locked in a trade war which is threatening to slow global growth and battering investor sentiment. Despite the expectations of a slowdown, physical demand on the ground remains healthy. China, the world's biggest oil importer, over the weekend reported an annualised 8.5 per cent jump in November crude imports, to 10.43 million bpd, marking the first time China imported more than 10 million bpd. That leaves the world's second-biggest economy on track to set yet another annual import record. Strong demand is being driven by Chinese purchases for strategic reserves, but also by new refineries, triggering excess supply of fuels, filling up storage tanks and eroding refinery profits across Asia.

Oil extends gains after OPEC-led group seals deal to cut supply

Concerns over China-US trade tensions gave European shares their worst week of losses in two months and sank US stocks on Friday, overshadowing the lift from higher oil prices and jobs data.

While Europe was higher on the day with a small recovery after three sessions of heavy losses, the trade standoff between Washington and Beijing was still a major lingering worry for investors.

"Volatility is high and investors are twitchy. It has been a dreadful week for European markets, and today’s positive move can`t mask the previous losses," said David Madden, market analyst at CMC Markets UK.

The pan-European STOXX 600 index rose 0.62 per cent, while an index of London`s 100 largest listed companies rose 1.1 per cent.

The Dow Jones Industrial Average fell 558.72 points, or 2.24 per cent, to 24,388.95, the S&amp;P 500 lost 62.87 points, or 2.33 per cent, to 2,633.08 and the Nasdaq Composite dropped 219.01 points, or 3.05 per cent, to 6,969.25.

Wall Street saw its biggest weekly losses since March, led by declines in big internet and technology shares.&nbsp;

The fall was a reversal from earlier in the day, when stocks were higher on US&nbsp;labor data that showed employers hired fewer workers than expected in November.

That supported a view that US growth is moderating and the Federal Reserve may stop raising rates sooner than previously thought.

Nonfarm payrolls increased by 155,000 last month, but missed economists` expectation for a rise of 200,000.

"It is still consistent with the Fed raising short-term interest rates, said Scott Brown, chief economist at Raymond James in St. Petersburg, Florida. "But I think the main theme here is that investors are expecting the Fed to be even more gradual, a little bit more cautious, in raising interest rates in 2019."

Oil climbed after big Middle East producers in OPEC agreed to reduce output to drain global fuel inventories and support the market.&nbsp;

US crude rose 1.42 per cent to $52.22 per barrel and Brent was last at $61.39, up 2.21 per cent on the day.&nbsp;

MSCI`s gauge of stocks across the globe shed 1.11 per cent.

Stock markets around the world tumbled on Thursday after Canadian officials announced the Dec. 1 arrest of the chief financial officer of Chinese smartphone maker Huawei for extradition to the United States. The arrest was seen as an added threat to the resolution of a trade war between the world`s top two economies.

Also contributing to this week`s sell-off were rising concerns about a US economic slowdown signaled by a flattening Treasury yield curve.

The front half of the yield curve remained inverted after two-year and three-year yields rose above five-year yields for the first time in over a decade earlier this week.

That inversion has stoked speculation about whether a US recession is looming.&nbsp;

The US dollar weakened against major currencies after the US jobs data.

The dollar index, which tracks the greenback against a basket of six other currencies, fell 0.17 per cent, with the euro up 0.24 per cent to $1.1401.

Concerns over China-US trade tensions gave European shares their worst week of losses in two months and sank US stocks on Friday, overshadowing the lift from higher oil prices and jobs data.

Concerns over China-US trade tensions gave European shares their worst week of losses in two months and sank US stocks on Friday, overshadowing the lift from higher oil prices and jobs data. While Europe was higher on the day with a small recovery after three sessions of heavy losses, the trade standoff between Washington and Beijing was still a major lingering worry for investors. "Volatility is high and investors are twitchy. It has been a dreadful week for European markets, and today’s positive move can`t mask the previous losses," said David Madden, market analyst at CMC Markets UK. The pan-European STOXX 600 index rose 0.62 per cent, while an index of London`s 100 largest listed companies rose 1.1 per cent. The Dow Jones Industrial Average fell 558.72 points, or 2.24 per cent, to 24,388.95, the S&P 500 lost 62.87 points, or 2.33 per cent, to 2,633.08 and the Nasdaq Composite dropped 219.01 points, or 3.05 per cent, to 6,969.25. Wall Street saw its biggest weekly losses since March, led by declines in big internet and technology shares. The fall was a reversal from earlier in the day, when stocks were higher on US labor data that showed employers hired fewer workers than expected in November. That supported a view that US growth is moderating and the Federal Reserve may stop raising rates sooner than previously thought. Nonfarm payrolls increased by 155,000 last month, but missed economists` expectation for a rise of 200,000. "It is still consistent with the Fed raising short-term interest rates, said Scott Brown, chief economist at Raymond James in St. Petersburg, Florida. "But I think the main theme here is that investors are expecting the Fed to be even more gradual, a little bit more cautious, in raising interest rates in 2019." Oil climbed after big Middle East producers in OPEC agreed to reduce output to drain global fuel inventories and support the market. US crude rose 1.42 per cent to $52.22 per barrel and Brent was last at $61.39, up 2.21 per cent on the day. MSCI`s gauge of stocks across the globe shed 1.11 per cent. Stock markets around the world tumbled on Thursday after Canadian officials announced the Dec. 1 arrest of the chief financial officer of Chinese smartphone maker Huawei for extradition to the United States. The arrest was seen as an added threat to the resolution of a trade war between the world`s top two economies. Also contributing to this week`s sell-off were rising concerns about a US economic slowdown signaled by a flattening Treasury yield curve. The front half of the yield curve remained inverted after two-year and three-year yields rose above five-year yields for the first time in over a decade earlier this week. That inversion has stoked speculation about whether a US recession is looming. The US dollar weakened against major currencies after the US jobs data. The dollar index, which tracks the greenback against a basket of six other currencies, fell 0.17 per cent, with the euro up 0.24 per cent to $1.1401.

Global shares mixed as trade worries loom; oil surges

<a href="http://www.wionews.com/world/us-not-in-a-position-to-tell-us-what-to-do-says-saudi-arabia-on-oil-price-cut-181971">US</a><a href="http://www.wionews.com/world/us-not-in-a-position-to-tell-us-what-to-do-says-saudi-arabia-on-oil-price-cut-181971"> not in a position to tell us what to </a><a href="http://www.wionews.com/world/us-not-in-a-position-to-tell-us-what-to-do-says-saudi-arabia-on-oil-price-cut-181971">do,</a><a href="http://www.wionews.com/world/us-not-in-a-position-to-tell-us-what-to-do-says-saudi-arabia-on-oil-price-cut-181971"> says Saudi Arabia on oil price cut</a>

In a move aimed at President Trump, Saudi Arabia's oil minister said the US should not try to dictate policy to the Organisation of the Petroleum Exporting Countries OPEC.

President Trump in a tweet on Wednesday had said the world does not want to see, or need higher oil prices.&nbsp;

<a href="http://www.wionews.com/india-news/kartarpur-corridor-long-standing-demand-of-sikhs-unfortunate-pak-tried-to-politicise-religious-issue-india-181940">Kartarpur corridor </a><a href="http://www.wionews.com/india-news/kartarpur-corridor-long-standing-demand-of-sikhs-unfortunate-pak-tried-to-politicise-religious-issue-india-181940">long standing</a><a href="http://www.wionews.com/india-news/kartarpur-corridor-long-standing-demand-of-sikhs-unfortunate-pak-tried-to-politicise-religious-issue-india-181940"> demand of Sikhs, unfortunate Pak tried to politicise religious issue: India</a>

India's ministry of external affairs(MEA) said today that India's protocol officers were denied entry for the Kartarpur ceremony.

"We see it as the fulfilment of the long-standing demand of the Sikh community. It is unfortunate that Pakistan attempted to politicised a religious issue," MEA spokesman Raveesh Kumar said.

<a href="http://www.wionews.com/world/perpetrators-involved-in-chabahar-terror-attack-should-be-brought-to-justice-india-181926">Perpetrators involved in Chabahar terror attack should be brought to justice: India</a>

India today condemned the suicide attack on the Chabahar port in southeastern Iran in which at least three people were killed and several others were injured.

<a href="http://www.wionews.com/world/china-urges-immediate-release-of-huawei-cfo-meng-wanzhou-181949">China urges </a><a href="http://www.wionews.com/world/china-urges-immediate-release-of-huawei-cfo-meng-wanzhou-181949">immediate</a><a href="http://www.wionews.com/world/china-urges-immediate-release-of-huawei-cfo-meng-wanzhou-181949"> release of Huawei CFO Meng Wanzhou&nbsp;</a>

China's Ministry of Foreign Affairs on Thursday firmly opposed the arrest of Huawei's chief financial officer in Vancouver, Canada and urged an immediate release of her.

Geng Shuang, spokesman of the Chinese Foreign Ministry, made the remarks at a regular press briefing in Beijing. Huawei's CFO Meng Wanzhou was detained in Canada at the request of the United States and the US is seeking her extradition.

<a href="http://www.wionews.com/world/can-uk-renounce-brexit-eu-court-decides-monday-181916">Can </a><a href="http://www.wionews.com/world/can-uk-renounce-brexit-eu-court-decides-monday-181916">UK</a><a href="http://www.wionews.com/world/can-uk-renounce-brexit-eu-court-decides-monday-181916"> renounce Brexit? EU court to decide on Monday</a>

The European Court of Justice is expected to announce on Monday whether or not Britain can unilaterally halt its march towards Brexit, a day before a make-or-break vote by MPs on the divorce deal.

US not in a position to tell us what to do, says Saudi Arabia on oil price cut In a move aimed at President Trump, Saudi Arabia's oil minister said the US should not try to dictate policy to the Organisation of the Petroleum Exporting Countries OPEC.

US not in a position to tell us what to do, says Saudi Arabia on oil price cut In a move aimed at President Trump, Saudi Arabia's oil minister said the US should not try to dictate policy to the Organisation of the Petroleum Exporting Countries OPEC. President Trump in a tweet on Wednesday had said the world does not want to see, or need higher oil prices. Kartarpur corridor long standing demand of Sikhs, unfortunate Pak tried to politicise religious issue: India India's ministry of external affairs(MEA) said today that India's protocol officers were denied entry for the Kartarpur ceremony. "We see it as the fulfilment of the long-standing demand of the Sikh community. It is unfortunate that Pakistan attempted to politicised a religious issue," MEA spokesman Raveesh Kumar said. Perpetrators involved in Chabahar terror attack should be brought to justice: India India today condemned the suicide attack on the Chabahar port in southeastern Iran in which at least three people were killed and several others were injured. China urges immediate release of Huawei CFO Meng Wanzhou China's Ministry of Foreign Affairs on Thursday firmly opposed the arrest of Huawei's chief financial officer in Vancouver, Canada and urged an immediate release of her. Geng Shuang, spokesman of the Chinese Foreign Ministry, made the remarks at a regular press briefing in Beijing. Huawei's CFO Meng Wanzhou was detained in Canada at the request of the United States and the US is seeking her extradition. Can UK renounce Brexit? EU court to decide on Monday The European Court of Justice is expected to announce on Monday whether or not Britain can unilaterally halt its march towards Brexit, a day before a make-or-break vote by MPs on the divorce deal.

News brief: Big stories of the day

Oil prices slumped more than 6 per cent to the lowest in more than a year on Friday amid fears of a supply glut even as major producers consider cutting output.

Oil supply, led by US producers, is growing faster than demand and to prevent a build-up of unused fuel such as the one that emerged in 2015, the Organization of the Petroleum Exporting Countries is expected to start trimming output after a meeting on December 6.

But this has done little so far to prop up prices, which have dropped more than per cent so far in November, in a seven-week streak of losses. Prices were on course for their biggest one-month decline since late 2014.

A trade war between the world's two biggest economies and oil consumers, the United States and China, have weighed upon the market.

"The market is pricing in an economic slowdown - they are anticipating that the Chinese trade talks are not going to go well," said Phil Flynn, an analyst at Price Futures Group in Chicago, referring to expected talks next week between US President Donald Trump and his Chinese counterpart Xi Jinping at the G20 summit in Buenos Aires.

"The market doesn't believe that OPEC is going to be able to act swiftly enough to offset the coming slowdown in demand," Flynn said.

Brent crude fell $3.13, or 5 per cent, to $59.47 a barrel by 1:01 p.m. EST (1801 GMT), after earlier touching $58.41, its lowest since October 2017.

US West Texas Intermediate crude (WTI) lost $3.35, or 6.1per cent, to trade at $51.28, and earlier touched a low of $50.53, also the weakest since October 2017.

For the week, Brent was on track for an 11 per cent loss and WTI a 9.4 per cent decline.

Market fears over weak demand intensified after China reported its lowest gasoline exports in more than a year amid a glut of the fuel in Asia and globally.

Stockpiles of gasoline have surged across Asia, with inventories in Singapore, the regional refining hub, rising to a three-month high while Japanese stockpiles also climbed last week. Inventories in the United States are about 7 per cent higher than a year ago.

Crude production has soared as well this year. The International Energy Agency expects non-OPEC output alone to rise by 2.3 million barrels per day (bpd) this year while demand next year was expected to grow 1.3 million bpd.

Adjusting to lower demand, top crude exporter Saudi Arabia said on Thursday that it may reduce supply as it pushes OPEC to agree to a joint output cut of 1.4 million bpd.

However, Trump has made it clear that he does not want oil prices to rise and many analysts think Saudi Arabia is coming under US pressure to resist calls from other OPEC members for lower crude output.

If OPEC decides to cut production at its meeting next month, oil prices could recover, analysts say.

"We expect that OPEC will manage the market in 2019 and assess the probability of an agreement to reduce production at around 2-in-3. In that scenario, Brent prices likely recover back into the $70s," Morgan Stanley commodities strategists Martijn Rats and Amy Sergeant wrote in a note to clients.

If OPEC does not trim production, prices could head much lower, potentially depreciating toward $50 a barrel, argues Lukman Otunuga, Research Analyst at FXTM.

VOLATILITY SPIKES TO 2-YEAR HIGH

By the middle of November, commodity trading advisory funds tracked by Credit Suisse prime services had dropped 1.5 per cent on the month, owing to the losses in energy futures and the increased volatility.

Mark Connors, global head of portfolio and risk advisory at Credit Suisse, told Reuters this week that the action among macro and CTA funds reflects a risk-aversion trade, as net long positions have dropped from near five-year highs to roughly even exposure between longs and shorts.

Volatility, a measure of investor demand for options, has spiked to its highest since late 2016, above 60 percent, as investors have rushed to buy protection against further steep price declines.

The decline in oil prices pulled US energy shares lower. Oil majors Exxon Mobil Corp and Chevron Corp fell more than 3per cent&nbsp;and were the leading decliners on the Dow Jones Industrial Average Oilfield service providers Schlumberger NV and Halliburton Co also fell nearly 3 per cent.

Oil prices slumped more than 6 per cent to the lowest in more than a year on Friday amid fears of a supply glut even as major producers consider cutting output. Oil supply, led by US producers, is growing faster than demand and to prevent a build-up of unused fuel such as the one that emerged in 2015, the Organization of the Petroleum Exporting Countries is expected to start trimming output after a meeting on December 6.

Oil prices slumped more than 6 per cent to the lowest in more than a year on Friday amid fears of a supply glut even as major producers consider cutting output. Oil supply, led by US producers, is growing faster than demand and to prevent a build-up of unused fuel such as the one that emerged in 2015, the Organization of the Petroleum Exporting Countries is expected to start trimming output after a meeting on December 6. But this has done little so far to prop up prices, which have dropped more than per cent so far in November, in a seven-week streak of losses. Prices were on course for their biggest one-month decline since late 2014. A trade war between the world's two biggest economies and oil consumers, the United States and China, have weighed upon the market. "The market is pricing in an economic slowdown - they are anticipating that the Chinese trade talks are not going to go well," said Phil Flynn, an analyst at Price Futures Group in Chicago, referring to expected talks next week between US President Donald Trump and his Chinese counterpart Xi Jinping at the G20 summit in Buenos Aires. "The market doesn't believe that OPEC is going to be able to act swiftly enough to offset the coming slowdown in demand," Flynn said. Brent crude fell $3.13, or 5 per cent, to $59.47 a barrel by 1:01 p.m. EST (1801 GMT), after earlier touching $58.41, its lowest since October 2017. US West Texas Intermediate crude (WTI) lost $3.35, or 6.1per cent, to trade at $51.28, and earlier touched a low of $50.53, also the weakest since October 2017. For the week, Brent was on track for an 11 per cent loss and WTI a 9.4 per cent decline. Market fears over weak demand intensified after China reported its lowest gasoline exports in more than a year amid a glut of the fuel in Asia and globally. Stockpiles of gasoline have surged across Asia, with inventories in Singapore, the regional refining hub, rising to a three-month high while Japanese stockpiles also climbed last week. Inventories in the United States are about 7 per cent higher than a year ago. Crude production has soared as well this year. The International Energy Agency expects non-OPEC output alone to rise by 2.3 million barrels per day (bpd) this year while demand next year was expected to grow 1.3 million bpd. Adjusting to lower demand, top crude exporter Saudi Arabia said on Thursday that it may reduce supply as it pushes OPEC to agree to a joint output cut of 1.4 million bpd. However, Trump has made it clear that he does not want oil prices to rise and many analysts think Saudi Arabia is coming under US pressure to resist calls from other OPEC members for lower crude output. If OPEC decides to cut production at its meeting next month, oil prices could recover, analysts say. "We expect that OPEC will manage the market in 2019 and assess the probability of an agreement to reduce production at around 2-in-3. In that scenario, Brent prices likely recover back into the $70s," Morgan Stanley commodities strategists Martijn Rats and Amy Sergeant wrote in a note to clients. If OPEC does not trim production, prices could head much lower, potentially depreciating toward $50 a barrel, argues Lukman Otunuga, Research Analyst at FXTM. VOLATILITY SPIKES TO 2-YEAR HIGH By the middle of November, commodity trading advisory funds tracked by Credit Suisse prime services had dropped 1.5 per cent on the month, owing to the losses in energy futures and the increased volatility. Mark Connors, global head of portfolio and risk advisory at Credit Suisse, told Reuters this week that the action among macro and CTA funds reflects a risk-aversion trade, as net long positions have dropped from near five-year highs to roughly even exposure between longs and shorts. Volatility, a measure of investor demand for options, has spiked to its highest since late 2016, above 60 percent, as investors have rushed to buy protection against further steep price declines. The decline in oil prices pulled US energy shares lower. Oil majors Exxon Mobil Corp and Chevron Corp fell more than 3per cent and were the leading decliners on the Dow Jones Industrial Average Oilfield service providers Schlumberger NV and Halliburton Co also fell nearly 3 per cent.

Oil plunges to lowest in a year despite potential OPEC cut

Oil prices slumped Friday to lows not seen since last year as concerns over high crude supplies triggered massive selling, dealers said.

The WTI futures contract, the New York commodities markets' benchmark, and its European counterpart Brent Crude both fell more than six percent on the day.

High global oil production compared to demand was the top reason for Friday's selling, while the outlook for a weakening world economy led investors to conclude that growth would not be strong enough to soak up the surplus.

"The truth of the matter remains that rising global crude supply coupled with worrying signs of slowing demand have written a recipe for disaster for the oil markets," said Lukman Otunuga, a research analyst at FXTM.

With a December OPEC meeting not expected to make a major dent in production levels, WTI now had scope to fall to $50 "in the near term", he said.

In late European trading, WTI held just over $51 and Brent around $59.

Some analysts said US President Donald Trump had much to do with falling oil prices.

Some say it's Trump

"Although most analysts claim that this has to do with supply overhang and increased production from Russia and Saudi Arabia, the bottom line is that the US President keeps pushing for lower prices," said Fiona Cincotta, senior market analyst at City Index trading group.

"While this is the case it will be difficult to see a return to oil at a higher level unless oil cartel OPEC decides on a major output cut at its next meeting on December 6."

The pound dropped versus the dollar, a day after spiking on news that Britain and the EU had struck a draft deal over ties post Brexit.

That came ahead of a weekend summit in Brussels to sign off on an overall package on the UK's exit from the European Union in March.&nbsp;

Elsewhere, the euro dropped as data monitoring company IHS Markit said business growth in the 19-nation eurozone pulled back in November to its slowest rate in nearly four years, as exports weakened.

Stocks mixed

Eurozone stock markets, meanwhile, recoverd to show mild gains by the close but London ended lower as weak energy prices weighed.

On Wall Street, the Dow index was also under pressure with shares in energy companies feeling the pain from lower oil prices and investors weighing headwinds facing the global economy.

"US stocks are lower in early action following yesterday's Thanksgiving holiday break, with the energy sector seeing some pressure as crude oil prices are continuing a tumble, while European political uncertainty remains and China/US trade worries are lingering ahead of next week's G-20 summit," analysts at Charles Schwab summed up market sentiment.

Earlier, Asian stock markets had already plunged into the red.

Chinese shares led the downward charge as Shanghai slumped by more than two percent, with the tech sector hit hard by a Wall Street Journal report that Washington is urging its allies to avoid using equipment from Chinese telecoms giant Huawei.&nbsp;

Worsening trade tensions between the United States and China have shattered confidence on global trading floors.

"China wants to make a deal. If we can make a deal, we will," Trump said, ahead of crunch talks with his Chinese counterpart Xi Jinping at the G20 in Argentina next week.

The world's top two economies have been locked in a trade war since the summer, with the US imposing punitive tariffs on Chinese goods worth $250 billion per year. In retaliation, China imposed tariffs on $110 billion of US goods.

Washington has threatened to toughen measures even further if the issue is not resolved before January. 
&nbsp;

Oil prices slumped Friday to lows not seen since last year as concerns over high crude supplies triggered massive selling, dealers said. The WTI futures contract, the New York commodities markets' benchmark, and its European counterpart Brent Crude both fell more than six percent on the day.

Oil prices slumped Friday to lows not seen since last year as concerns over high crude supplies triggered massive selling, dealers said. The WTI futures contract, the New York commodities markets' benchmark, and its European counterpart Brent Crude both fell more than six percent on the day. High global oil production compared to demand was the top reason for Friday's selling, while the outlook for a weakening world economy led investors to conclude that growth would not be strong enough to soak up the surplus. "The truth of the matter remains that rising global crude supply coupled with worrying signs of slowing demand have written a recipe for disaster for the oil markets," said Lukman Otunuga, a research analyst at FXTM. With a December OPEC meeting not expected to make a major dent in production levels, WTI now had scope to fall to $50 "in the near term", he said. In late European trading, WTI held just over $51 and Brent around $59. Some analysts said US President Donald Trump had much to do with falling oil prices. Some say it's Trump "Although most analysts claim that this has to do with supply overhang and increased production from Russia and Saudi Arabia, the bottom line is that the US President keeps pushing for lower prices," said Fiona Cincotta, senior market analyst at City Index trading group. "While this is the case it will be difficult to see a return to oil at a higher level unless oil cartel OPEC decides on a major output cut at its next meeting on December 6." The pound dropped versus the dollar, a day after spiking on news that Britain and the EU had struck a draft deal over ties post Brexit. That came ahead of a weekend summit in Brussels to sign off on an overall package on the UK's exit from the European Union in March. Elsewhere, the euro dropped as data monitoring company IHS Markit said business growth in the 19-nation eurozone pulled back in November to its slowest rate in nearly four years, as exports weakened. Stocks mixed Eurozone stock markets, meanwhile, recoverd to show mild gains by the close but London ended lower as weak energy prices weighed. On Wall Street, the Dow index was also under pressure with shares in energy companies feeling the pain from lower oil prices and investors weighing headwinds facing the global economy. "US stocks are lower in early action following yesterday's Thanksgiving holiday break, with the energy sector seeing some pressure as crude oil prices are continuing a tumble, while European political uncertainty remains and China/US trade worries are lingering ahead of next week's G-20 summit," analysts at Charles Schwab summed up market sentiment. Earlier, Asian stock markets had already plunged into the red. Chinese shares led the downward charge as Shanghai slumped by more than two percent, with the tech sector hit hard by a Wall Street Journal report that Washington is urging its allies to avoid using equipment from Chinese telecoms giant Huawei. Worsening trade tensions between the United States and China have shattered confidence on global trading floors. "China wants to make a deal. If we can make a deal, we will," Trump said, ahead of crunch talks with his Chinese counterpart Xi Jinping at the G20 in Argentina next week. The world's top two economies have been locked in a trade war since the summer, with the US imposing punitive tariffs on Chinese goods worth $250 billion per year. In retaliation, China imposed tariffs on $110 billion of US goods. Washington has threatened to toughen measures even further if the issue is not resolved before January.

Oil prices collapse as glut fear triggers heavy selling

The United States has moved to disrupt an Iranian-Russian network that sent millions of barrels of oil to Syria and hundreds of millions of dollars to indirectly fund militant groups Hamas and Hezbollah.&nbsp;

The complicated arrangement, described by the US Treasury in a statement on Tuesday, involved a Syrian citizen allegedly using his Russia-based company to ship Iranian oil to Syria with the aid of a Russian state-owned company.

Syria then helped transfer hundreds of millions of dollars in cash to Hezbollah, which functions as a political party that is part of the Lebanese government and as a militia, as well as to Hamas, the Palestinian group that rules the Gaza Strip.

The US Treasury Department alleged that since 2014, vessels carrying Iranian oil have switched off transponders to conceal deliveries to Syria.&nbsp;

The Treasury, the State Department and the US Coast Guard State have issued an advisory to the maritime community about the sanctions risks of shipping oil to Syria`s government.

An Iranian foreign ministry spokesman called the sanctions "fruitless, illogical and inefficient".

Bahram Qasemi was quoted as saying by the state news agency IRNA on Wednesday: "Those who designed and implemented these sanctions will understand sooner or later that they will not achieve their goals."&nbsp;

The alleged arrangement shows how Russia has sought to undercut US policy toward Syria, where Washington and Moscow back opposite sides of a civil war that began in 2011, as well as toward Iran, which the United States wants to curb its nuclear and missile programs and support for militant proxies.

"Today we are acting against a complex scheme Iran and Russia have used to bolster the (Syrian President Bashar al-) Assad regime and generate funds for Iranian malign activity," US Treasury Secretary Steven Mnuchin said in a statement announcing sanctions on those it said were tied to the network. 
"Central Bank of Iran officials continue to exploit the international financial system," he added.&nbsp;

Richard Nephew, a sanctions expert at Columbia University, said: "The arrangement exposes Russia`s efforts to support Assad for their own interests, which has the function of thwarting the US desire to no longer have Assad in power."

Those targeted include Syrian Mohammad Amer Alchwiki and his Russia-based company Global Vision Group, which were central to the delivery of Iranian oil to Syria and the transfer of funds to the Islamic Revolutionary Guard Corps` Quds Force`s "lethal proxies", the Treasury Department said in a statement.

Other targets include Syrian national Hajji Abd Al-Nasir, Lebanon national Muhammad Qasim Al-Bazzal and Russian national Andrey Dogaev, as well as Iranian nationals Rasoul Sajjad and Hossein Yaghoubi Miab, the statement said.

Sajjad and Yaghoubi, Central Bank of Iran officials, worked to facilitate Alchwiki`s transfers, it said.

Others sanctioned include state-owned Russian company Promsyrioimport, a subsidiary of the Russian Ministry of Energy, which the US Treasury alleges had facilitated shipments of Iranian oil to Syria, as well as Mir Business Bank and Iran-based Tadbir Kish Medical and Pharmaceutical Company.

Russia will continue supplying oil to Syria in line with its agreement with Damascus despite pressure from the United States, RIA news agency quoted Oleg Morozov, a member of the Russian Federation Council, as saying late on Tuesday.

"The political defeat in Syria apparently prompts the United States to return to the idea of regime change in Damascus. Therefore, economic pressure through oil supply shutdown becomes a tool of the new economic war with Bashar Assad and indirectly with Moscow and Iran," he said.&nbsp;

According to Morozov, Russia acts and will act "absolutely legally".

"We have an agreement with Syria and therefore it`s up to us to decide what we supply and to whom. This will be our answer, (it is) much more effective than counter sanctions," he added.

The Russian Energy Ministry, to which Promsyrioimport belongs, declined immediate comment.&nbsp;

The Treasury`s "designation" of the individuals and entities effectively cuts them off from the global financial system by blocking any of their assets under US jurisdiction and in effect warning non-US institutions against dealing with them.

The United States is at odds with Britain, France and Germany as well as with Russia and China over US President Donald Trump`s May 8 decision to abandon the 2015 Iran nuclear deal, negotiated with the other world powers during Democratic President Barack Obama`s administration.

That agreement removed many US and other economic sanctions from Iran in return for Tehran`s commitment to curtail its nuclear program.

Trump restored US sanctions on November 5 and has threatened more action to stop its "outlaw" policies.

Iran, in turn, called Trump`s actions economic warfare and vowed to defy the sanctions. European powers that continue to back the nuclear deal said they opposed the reapplication of sanctions.

The United States has moved to disrupt an Iranian-Russian network that sent millions of barrels of oil to Syria and hundreds of millions of dollars to indirectly fund militant groups Hamas and Hezbollah.

The United States has moved to disrupt an Iranian-Russian network that sent millions of barrels of oil to Syria and hundreds of millions of dollars to indirectly fund militant groups Hamas and Hezbollah. The complicated arrangement, described by the US Treasury in a statement on Tuesday, involved a Syrian citizen allegedly using his Russia-based company to ship Iranian oil to Syria with the aid of a Russian state-owned company. Syria then helped transfer hundreds of millions of dollars in cash to Hezbollah, which functions as a political party that is part of the Lebanese government and as a militia, as well as to Hamas, the Palestinian group that rules the Gaza Strip. The US Treasury Department alleged that since 2014, vessels carrying Iranian oil have switched off transponders to conceal deliveries to Syria. The Treasury, the State Department and the US Coast Guard State have issued an advisory to the maritime community about the sanctions risks of shipping oil to Syria`s government. An Iranian foreign ministry spokesman called the sanctions "fruitless, illogical and inefficient". Bahram Qasemi was quoted as saying by the state news agency IRNA on Wednesday: "Those who designed and implemented these sanctions will understand sooner or later that they will not achieve their goals." The alleged arrangement shows how Russia has sought to undercut US policy toward Syria, where Washington and Moscow back opposite sides of a civil war that began in 2011, as well as toward Iran, which the United States wants to curb its nuclear and missile programs and support for militant proxies. "Today we are acting against a complex scheme Iran and Russia have used to bolster the (Syrian President Bashar al-) Assad regime and generate funds for Iranian malign activity," US Treasury Secretary Steven Mnuchin said in a statement announcing sanctions on those it said were tied to the network. "Central Bank of Iran officials continue to exploit the international financial system," he added. Richard Nephew, a sanctions expert at Columbia University, said: "The arrangement exposes Russia`s efforts to support Assad for their own interests, which has the function of thwarting the US desire to no longer have Assad in power." Those targeted include Syrian Mohammad Amer Alchwiki and his Russia-based company Global Vision Group, which were central to the delivery of Iranian oil to Syria and the transfer of funds to the Islamic Revolutionary Guard Corps` Quds Force`s "lethal proxies", the Treasury Department said in a statement. Other targets include Syrian national Hajji Abd Al-Nasir, Lebanon national Muhammad Qasim Al-Bazzal and Russian national Andrey Dogaev, as well as Iranian nationals Rasoul Sajjad and Hossein Yaghoubi Miab, the statement said. Sajjad and Yaghoubi, Central Bank of Iran officials, worked to facilitate Alchwiki`s transfers, it said. Others sanctioned include state-owned Russian company Promsyrioimport, a subsidiary of the Russian Ministry of Energy, which the US Treasury alleges had facilitated shipments of Iranian oil to Syria, as well as Mir Business Bank and Iran-based Tadbir Kish Medical and Pharmaceutical Company. Russia will continue supplying oil to Syria in line with its agreement with Damascus despite pressure from the United States, RIA news agency quoted Oleg Morozov, a member of the Russian Federation Council, as saying late on Tuesday. "The political defeat in Syria apparently prompts the United States to return to the idea of regime change in Damascus. Therefore, economic pressure through oil supply shutdown becomes a tool of the new economic war with Bashar Assad and indirectly with Moscow and Iran," he said. According to Morozov, Russia acts and will act "absolutely legally". "We have an agreement with Syria and therefore it`s up to us to decide what we supply and to whom. This will be our answer, (it is) much more effective than counter sanctions," he added. The Russian Energy Ministry, to which Promsyrioimport belongs, declined immediate comment. The Treasury`s "designation" of the individuals and entities effectively cuts them off from the global financial system by blocking any of their assets under US jurisdiction and in effect warning non-US institutions against dealing with them. The United States is at odds with Britain, France and Germany as well as with Russia and China over US President Donald Trump`s May 8 decision to abandon the 2015 Iran nuclear deal, negotiated with the other world powers during Democratic President Barack Obama`s administration. That agreement removed many US and other economic sanctions from Iran in return for Tehran`s commitment to curtail its nuclear program. Trump restored US sanctions on November 5 and has threatened more action to stop its "outlaw" policies. Iran, in turn, called Trump`s actions economic warfare and vowed to defy the sanctions. European powers that continue to back the nuclear deal said they opposed the reapplication of sanctions.

US targets Iran-Russia network over oil sent to Syria

Global oil supply will outpace demand throughout 2019, as a relentless rise in output swamps growth in consumption that is at risk from a slowing economy, the International Energy Agency said on Wednesday.

In its monthly report, the Paris-based IEA left its forecast for global demand growth for 2018 and 2019 unchanged from last month at 1.3 million barrels per day (bpd) and 1.4 million bpd, respectively, but cut its forecast for non-OECD demand growth, the engine of expansion in world oil consumption.

"In 1H19, based on our outlook for non-OPEC production and global demand, and assuming flat OPEC production ... the implied stock build is currently 2 million bpd," the IEA said.

Output around the world has swelled since the middle of the year, while an escalating trade dispute between the United States and China threatens global economic growth.

Since early October, the oil price has fallen by a quarter to below $70 a barrel, its lowest in eight months, which may protect demand to an extent, the IEA said.

"While slower economic growth in some countries reduces the outlook for oil demand, a significant downward revision to our price assumption is supportive," it added.

The agency raised its forecast for oil output growth from countries outside the Organization of the Petroleum Exporting Countries to 2.4 million bpd this year and 1.9 million bpd next year, versus its previous estimate of 2.2 million bpd and 1.8 million bpd, respectively.

The United States will lead output growth. The IEA estimates total US&nbsp;oil supply will rise by 2.1 million bpd this year and another 1.3 million bpd in 2019, from a current record of more than 11 million bpd.

OPEC crude output rose by 200,000 bpd in October to 32.99 million bpd, up 240,000 bpd on a year ago, as losses of 400,000 bpd from Iran and 600,000 bpd from Venezuela were easily offset by increases from others, such as Saudi Arabia or the United Arab Emirates.

"Next year, there is expected to be even less need for OPEC oil due to relentless growth in non-OPEC supply," the IEA said, adding that it had cut its forecast for demand for OPEC crude by 300,000 bpd to 31.3 million bpd in 2019.

Inventories of oil in OECD countries rose by 12.1 million barrels in September to 2.875 billion barrels, the IEA said, adding that for the third quarter as a whole, stocks rose 58.1 million barrels, or at a rate of 630,000 bpd, the biggest increase since 2015.

"Storage tanks are filling up as global oil supply far outpaces demand, prompting talk of a possible 1 million bpd OPEC/non-OPEC production cut," the agency said.

OPEC, led by Saudi Arabia, and rival producers such as Russia, have floated the possibility of cutting oil production next year to prevent an unwelcome build-up in global inventories, even as Iran now faces US&nbsp;sanctions on its exports.

Global oil supply will outpace demand throughout 2019, as a relentless rise in output swamps growth in consumption that is at risk from a slowing economy, the International Energy Agency said on Wednesday.

Global oil supply will outpace demand throughout 2019, as a relentless rise in output swamps growth in consumption that is at risk from a slowing economy, the International Energy Agency said on Wednesday. In its monthly report, the Paris-based IEA left its forecast for global demand growth for 2018 and 2019 unchanged from last month at 1.3 million barrels per day (bpd) and 1.4 million bpd, respectively, but cut its forecast for non-OECD demand growth, the engine of expansion in world oil consumption. "In 1H19, based on our outlook for non-OPEC production and global demand, and assuming flat OPEC production ... the implied stock build is currently 2 million bpd," the IEA said. Output around the world has swelled since the middle of the year, while an escalating trade dispute between the United States and China threatens global economic growth. Since early October, the oil price has fallen by a quarter to below $70 a barrel, its lowest in eight months, which may protect demand to an extent, the IEA said. "While slower economic growth in some countries reduces the outlook for oil demand, a significant downward revision to our price assumption is supportive," it added. The agency raised its forecast for oil output growth from countries outside the Organization of the Petroleum Exporting Countries to 2.4 million bpd this year and 1.9 million bpd next year, versus its previous estimate of 2.2 million bpd and 1.8 million bpd, respectively. The United States will lead output growth. The IEA estimates total US oil supply will rise by 2.1 million bpd this year and another 1.3 million bpd in 2019, from a current record of more than 11 million bpd. OPEC crude output rose by 200,000 bpd in October to 32.99 million bpd, up 240,000 bpd on a year ago, as losses of 400,000 bpd from Iran and 600,000 bpd from Venezuela were easily offset by increases from others, such as Saudi Arabia or the United Arab Emirates. "Next year, there is expected to be even less need for OPEC oil due to relentless growth in non-OPEC supply," the IEA said, adding that it had cut its forecast for demand for OPEC crude by 300,000 bpd to 31.3 million bpd in 2019. Inventories of oil in OECD countries rose by 12.1 million barrels in September to 2.875 billion barrels, the IEA said, adding that for the third quarter as a whole, stocks rose 58.1 million barrels, or at a rate of 630,000 bpd, the biggest increase since 2015. "Storage tanks are filling up as global oil supply far outpaces demand, prompting talk of a possible 1 million bpd OPEC/non-OPEC production cut," the agency said. OPEC, led by Saudi Arabia, and rival producers such as Russia, have floated the possibility of cutting oil production next year to prevent an unwelcome build-up in global inventories, even as Iran now faces US sanctions on its exports.

Global oil market faces surplus throughout 2019 as demand slows

US National Security Advisor John Bolton vowed Tuesday to "squeeze" Iran "until the pips squeak", a week after a tough new round of sanctions came into force.

President Donald Trump has dramatically increased pressure on Tehran, withdrawing from an international agreement aimed at ending its nuclear programme and introducing several rounds of unilateral US sanctions.

The latest tranche of measures have been touted as the toughest yet, and aim to significantly reduce Iran's vital oil exports and cut off its banks from international finance.

Speaking in Singapore ahead of a summit, Bolton said: "We think the government is under real pressure and it's our intention to squeeze them very hard.

"As the British say, squeeze them until the pips squeak.

"We are also going to significantly increase the enforcement of sanctions."

The US measures have been opposed by other parties to the deal aimed at ending Iran's nuclear drive -- Britain, France, Germany, China and Russia -- who have vowed to keep the accord alive.

"There's no doubt Iran has already started to try and find ways to evade the sanctions both on oil in particular and financial markets," Bolton added.

UN inspectors say Iran is abiding by the agreement.

Bolton, however, said that "most of the countries of Europe have passed through denial and anger and many of them are already at acceptance that we're out of the deal.

"Others are getting to that point."

In the face of widespread opposition to the sanctions, Washington issued exemptions to eight countries to its ban on buying oil from major producer Iran.

Washington is demanding that Tehran end policies rooted in the 1979 Islamist revolution, including its support for regional proxies such as the Lebanese militia Hezbollah and its development of missiles.

The only support for the US position has come from Iran's regional rivals, notably Saudi Arabia and Israel.

The International Monetary Fund has forecast that the sanctions will cause Iran's economy to contract 1.5 per cent this year and 3.6 per cent next year.

US National Security Advisor John Bolton vowed Tuesday to "squeeze" Iran "until the pips squeak", a week after a tough new round of sanctions came into force. President Donald Trump has dramatically increased pressure on Tehran, withdrawing from an international agreement aimed at ending its nuclear programme and introducing several rounds of unilateral US sanctions.

US National Security Advisor John Bolton vowed Tuesday to "squeeze" Iran "until the pips squeak", a week after a tough new round of sanctions came into force. President Donald Trump has dramatically increased pressure on Tehran, withdrawing from an international agreement aimed at ending its nuclear programme and introducing several rounds of unilateral US sanctions. The latest tranche of measures have been touted as the toughest yet, and aim to significantly reduce Iran's vital oil exports and cut off its banks from international finance. Speaking in Singapore ahead of a summit, Bolton said: "We think the government is under real pressure and it's our intention to squeeze them very hard. "As the British say, squeeze them until the pips squeak. "We are also going to significantly increase the enforcement of sanctions." The US measures have been opposed by other parties to the deal aimed at ending Iran's nuclear drive -- Britain, France, Germany, China and Russia -- who have vowed to keep the accord alive. "There's no doubt Iran has already started to try and find ways to evade the sanctions both on oil in particular and financial markets," Bolton added. UN inspectors say Iran is abiding by the agreement. Bolton, however, said that "most of the countries of Europe have passed through denial and anger and many of them are already at acceptance that we're out of the deal. "Others are getting to that point." In the face of widespread opposition to the sanctions, Washington issued exemptions to eight countries to its ban on buying oil from major producer Iran. Washington is demanding that Tehran end policies rooted in the 1979 Islamist revolution, including its support for regional proxies such as the Lebanese militia Hezbollah and its development of missiles. The only support for the US position has come from Iran's regional rivals, notably Saudi Arabia and Israel. The International Monetary Fund has forecast that the sanctions will cause Iran's economy to contract 1.5 per cent this year and 3.6 per cent next year.

US security chief Bolton vows to 'squeeze' Iran

Saudi Arabia is discussing a proposal that could see OPEC and non-OPEC oil producers cut output by up to 1 million barrels per day, two sources told Reuters on Sunday, as the world's top oil exporter grapples with a drop in crude prices.

The sources said any such deal would depend on factors including the level of Iranian exports after the United States imposed sanctions on Tehran but granted Iran's top oil buyers waivers to continue buying oil.

Riyadh was surprised by the waivers granted to customers such as China and India, a move which hit oil prices, at least three industry and OPEC sources told Reuters.

Now Saudi Arabia wants to act to prevent a further slide in prices which fell below $70 a barrel on Friday, and is leading discussions on cutting oil output next year, the sources said.

Under a deal set to expire at the end of the year, OPEC and non-OPEC producers agreed to curb output by around 1.8 million bpd.

But producers ended up cutting more - partly due to unexpected outages in Venezuela, Libya and Angola - and so agreed in June to limit cuts to the agreed level, meaning restoring about 1 million bpd in output.

OPEC and its allies will meet in Vienna on December 6-7 to decide on output policy for 2019.

“There is a general discussion about this (cut). But the question is how much is needed to be reduced by the market,” one of the sources said ahead of a meeting by a monitoring committee in Abu Dhabi on Sunday attended by top producers Saudi Arabia and Russia.

"No one expected the waivers. Saudi Arabia wants to at least put a floor under oil prices. No one wants a free fall in prices," the source added.

Kazakh deputy energy minister Magzum Mirzagaliyev told reporters in Abu Dhabi that he understood Saudi Arabia was suggesting using August-October output levels as a baseline for determining cuts.

Brent crude on Friday fell 47 cents, or 0.7 per cent, to settle at $70.18 a barrel. It lost about 3.6 per cent on the week and has shed more than 15 per cent this quarter.

Washington gave 180-day waivers to eight Iranian oil buyers - China, India, South Korea, Japan, Italy, Greece, Taiwan and Turkey. This group takes as much as three-quarters of Iran's seaborne oil exports, trade data shows.

The U.S. administration has vowed to reduce Iranian oil exports to zero and U.S. President Donald Trump has put pressure on Saudi Arabia to raise output to cool the market.

Iran's crude exports could fall to little more than 1 million bpd in November, roughly a third of their mid-2018 peak. But traders and analysts say that figure could rise from December as importers use their waivers.

Saudi Energy Minister Khalid al-Falih said last month the kingdom would pump 11 million bpd in November, up from 10.7 million bpd in October.

He also said there could be a need for intervention to reduce oil stockpiles after increases in recent months.

US&nbsp;sanctions on Iran are aimed at curbing Tehran's nuclear and missile programs as well as its support for proxy forces in Yemen, Syria, Lebanon and other parts of the Middle East.

Saudi Arabia is discussing a proposal that could see OPEC and non-OPEC oil producers cut output by up to 1 million barrels per day, two sources told Reuters on Sunday, as the world's top oil exporter grapples with a drop in crude prices.

Saudi Arabia is discussing a proposal that could see OPEC and non-OPEC oil producers cut output by up to 1 million barrels per day, two sources told Reuters on Sunday, as the world's top oil exporter grapples with a drop in crude prices. The sources said any such deal would depend on factors including the level of Iranian exports after the United States imposed sanctions on Tehran but granted Iran's top oil buyers waivers to continue buying oil. Riyadh was surprised by the waivers granted to customers such as China and India, a move which hit oil prices, at least three industry and OPEC sources told Reuters. Now Saudi Arabia wants to act to prevent a further slide in prices which fell below $70 a barrel on Friday, and is leading discussions on cutting oil output next year, the sources said. Under a deal set to expire at the end of the year, OPEC and non-OPEC producers agreed to curb output by around 1.8 million bpd. But producers ended up cutting more - partly due to unexpected outages in Venezuela, Libya and Angola - and so agreed in June to limit cuts to the agreed level, meaning restoring about 1 million bpd in output. OPEC and its allies will meet in Vienna on December 6-7 to decide on output policy for 2019. “There is a general discussion about this (cut). But the question is how much is needed to be reduced by the market,” one of the sources said ahead of a meeting by a monitoring committee in Abu Dhabi on Sunday attended by top producers Saudi Arabia and Russia. "No one expected the waivers. Saudi Arabia wants to at least put a floor under oil prices. No one wants a free fall in prices," the source added. Kazakh deputy energy minister Magzum Mirzagaliyev told reporters in Abu Dhabi that he understood Saudi Arabia was suggesting using August-October output levels as a baseline for determining cuts. Brent crude on Friday fell 47 cents, or 0.7 per cent, to settle at $70.18 a barrel. It lost about 3.6 per cent on the week and has shed more than 15 per cent this quarter. Washington gave 180-day waivers to eight Iranian oil buyers - China, India, South Korea, Japan, Italy, Greece, Taiwan and Turkey. This group takes as much as three-quarters of Iran's seaborne oil exports, trade data shows. The U.S. administration has vowed to reduce Iranian oil exports to zero and U.S. President Donald Trump has put pressure on Saudi Arabia to raise output to cool the market. Iran's crude exports could fall to little more than 1 million bpd in November, roughly a third of their mid-2018 peak. But traders and analysts say that figure could rise from December as importers use their waivers. Saudi Energy Minister Khalid al-Falih said last month the kingdom would pump 11 million bpd in November, up from 10.7 million bpd in October. He also said there could be a need for intervention to reduce oil stockpiles after increases in recent months. US sanctions on Iran are aimed at curbing Tehran's nuclear and missile programs as well as its support for proxy forces in Yemen, Syria, Lebanon and other parts of the Middle East.

Saudi Arabia in talks to cut oil output after US waivers hit prices

US&nbsp;President Donald Trump on Monday said he wants to <a href="http://www.wionews.com/world/china-india-turkey-among-eight-countries-allowed-temporary-waiver-in-iran-oil-sanctions-pompeo-175686">impose sanctions on Iran's oil gradually</a>, citing concerns about shocking energy markets and causing global price spikes.

"With the oil, it's very interesting. We have the toughest sanctions ever imposed, but on oil we want to go a little bit slower because I don't want to drive (up) the oil prices in the world," he told reporters before flying to a campaign event. "This has nothing to do with Iran... I could get the Iran oil down to zero immediately but it would cause a shock to the market. I don't want to lift oil prices."

The United States on Monday restored sanctions targeting Iran's oil, banking and transport sectors and threatened more action, part of a wider effort to curb Tehran's missile and nuclear programs and diminish the Islamic Republic's influence in the Middle East, notably its support for proxies in Syria, Yemen and Lebanon. Trump's moves target Iran's main source of revenue, its oil exports, as well as its financial sector.

"If you notice, oil prices are going down very substantially, despite the fact that already half of their capacity is gone," Trump said, adding "it will be a gradual" imposition of oil sanctions.

On Monday, international benchmark Brent crude oil futures were up nearly 0.8 percent to $73.41 a barrel and U.S. crude futures were up 0.4 percent at $63.41.&nbsp;

US President Donald Trump on Monday said he wants to impose sanctions on Iran's oil gradually, citing concerns about shocking energy markets and causing global price spikes.

US President Donald Trump on Monday said he wants to impose sanctions on Iran's oil gradually, citing concerns about shocking energy markets and causing global price spikes. "With the oil, it's very interesting. We have the toughest sanctions ever imposed, but on oil we want to go a little bit slower because I don't want to drive (up) the oil prices in the world," he told reporters before flying to a campaign event. "This has nothing to do with Iran... I could get the Iran oil down to zero immediately but it would cause a shock to the market. I don't want to lift oil prices." The United States on Monday restored sanctions targeting Iran's oil, banking and transport sectors and threatened more action, part of a wider effort to curb Tehran's missile and nuclear programs and diminish the Islamic Republic's influence in the Middle East, notably its support for proxies in Syria, Yemen and Lebanon. Trump's moves target Iran's main source of revenue, its oil exports, as well as its financial sector. "If you notice, oil prices are going down very substantially, despite the fact that already half of their capacity is gone," Trump said, adding "it will be a gradual" imposition of oil sanctions. On Monday, international benchmark Brent crude oil futures were up nearly 0.8 percent to $73.41 a barrel and U.S. crude futures were up 0.4 percent at $63.41.

Want to go slow on sanctions on Iran's oil, keep prices down: Trump

The United States is reimposing punitive measures targeting the Iranian oil and financial sectors in what US Secretary of State Mike Pompeo called "the toughest sanctions ever placed" against Iran.

Taking effect Monday, the measures are the most concrete result yet of US President Donald Trump's controversial decision in May to abandon the multi-nation nuclear deal with Tehran.

They will directly affect companies from third countries doing business with Iran. They could upset world oil markets, though the US has granted temporary waivers to eight jurisdictions to continue importing Iranian oil.

Iran's supreme leader Ayatollah Ali Khamenei denounced the measures on Saturday, saying Trump had "disgraced" US prestige and would be the ultimate loser in the long-running quarrel between the countries.

The US side was unmoved.&nbsp;

"Sanctions from the United States will be reimposed at midnight tonight," Pompeo told CBS's "Face the Nation." He said what he called "the terror regime" in Tehran must change its ways.

Oil markets on alert&nbsp;

World oil markets were on alert, nervously set to gauge the consequences of the sanctions.

"All eyes will be on Iranian exports, whether there will be some cheating around US sanctions, and on how quickly production will fall," said Riccardo Fabiani, an analyst for Energy Aspects.

Oil is Iran's main source of income. But the sword has two edges: Iran is also the OPEC cartel's third-largest producer.

The US stance has already inflicted serious pain on Iranians, with the country's currency, the rial, losing more than two thirds of its value since May.&nbsp;

Iranian oil exports have fallen by about a million barrels a day in that time, though India and China have continued to purchase it. Most Europeans, as well as Japan and South Korea, have stopped.

Asked if the US had firm commitments from India and China to stop all oil purchases from Iran within six months, Pompeo replied: "Watch what we do. Watch as we've already taken more crude oil off the market than any time in previous history."

Saudi Arabia is the only country with the capacity to make up for lost Iranian oil production.

'Utter disregard'&nbsp;

Hours before the fresh sanctions went ahead, thousands of people in Iran marked the anniversary of the 1979 hostage-taking at the US embassy by carrying placards mocking Trump and burning American flags and fake dollars.

Trump has long argued that the 2015 nuclear deal is badly flawed, in part because its provisions would expire in 10 to 15 years and partly because it does not adequately constrain Iran's destabilizing behavior in the region.

His decision was widely criticized abroad and by Democrats at home, who said that while imperfect, the pact had placed the Iranian nuclear program under the tightest scrutiny ever.

In parallel with the imposition of the crude oil sanctions, the US Treasury Department is placing more than 600 Iranian individuals and entities on a black list.

And Pompeo said that any Iranian banks involved in "sanctionable behavior will be sanctioned by the Department of Treasury, period, full stop."

The European Union has established a mechanism to permit its multinational companies to maintain presences in Iran, but all signs are that the US sanctions will be dissuasive. Both Airbus and Total have announced plans to leave Iran.

A first set of sanctions announced August 7 prompted European automakers Daimler and PSA to quit Iran.

To continue exporting crude oil, Iranian tankers in recent weeks have been turning off their transponders to avoid detection. But satellites have continued to track them.

The United States is reimposing punitive measures targeting the Iranian oil and financial sectors in what US Secretary of State Mike Pompeo called "the toughest sanctions ever placed" against Iran.

The United States is reimposing punitive measures targeting the Iranian oil and financial sectors in what US Secretary of State Mike Pompeo called "the toughest sanctions ever placed" against Iran. Taking effect Monday, the measures are the most concrete result yet of US President Donald Trump's controversial decision in May to abandon the multi-nation nuclear deal with Tehran. They will directly affect companies from third countries doing business with Iran. They could upset world oil markets, though the US has granted temporary waivers to eight jurisdictions to continue importing Iranian oil. Iran's supreme leader Ayatollah Ali Khamenei denounced the measures on Saturday, saying Trump had "disgraced" US prestige and would be the ultimate loser in the long-running quarrel between the countries. The US side was unmoved. "Sanctions from the United States will be reimposed at midnight tonight," Pompeo told CBS's "Face the Nation." He said what he called "the terror regime" in Tehran must change its ways. Oil markets on alert World oil markets were on alert, nervously set to gauge the consequences of the sanctions. "All eyes will be on Iranian exports, whether there will be some cheating around US sanctions, and on how quickly production will fall," said Riccardo Fabiani, an analyst for Energy Aspects. Oil is Iran's main source of income. But the sword has two edges: Iran is also the OPEC cartel's third-largest producer. The US stance has already inflicted serious pain on Iranians, with the country's currency, the rial, losing more than two thirds of its value since May. Iranian oil exports have fallen by about a million barrels a day in that time, though India and China have continued to purchase it. Most Europeans, as well as Japan and South Korea, have stopped. Asked if the US had firm commitments from India and China to stop all oil purchases from Iran within six months, Pompeo replied: "Watch what we do. Watch as we've already taken more crude oil off the market than any time in previous history." Saudi Arabia is the only country with the capacity to make up for lost Iranian oil production. 'Utter disregard' Hours before the fresh sanctions went ahead, thousands of people in Iran marked the anniversary of the 1979 hostage-taking at the US embassy by carrying placards mocking Trump and burning American flags and fake dollars. Trump has long argued that the 2015 nuclear deal is badly flawed, in part because its provisions would expire in 10 to 15 years and partly because it does not adequately constrain Iran's destabilizing behavior in the region. His decision was widely criticized abroad and by Democrats at home, who said that while imperfect, the pact had placed the Iranian nuclear program under the tightest scrutiny ever. In parallel with the imposition of the crude oil sanctions, the US Treasury Department is placing more than 600 Iranian individuals and entities on a black list. And Pompeo said that any Iranian banks involved in "sanctionable behavior will be sanctioned by the Department of Treasury, period, full stop." The European Union has established a mechanism to permit its multinational companies to maintain presences in Iran, but all signs are that the US sanctions will be dissuasive. Both Airbus and Total have announced plans to leave Iran. A first set of sanctions announced August 7 prompted European automakers Daimler and PSA to quit Iran. To continue exporting crude oil, Iranian tankers in recent weeks have been turning off their transponders to avoid detection. But satellites have continued to track them.

US sanctions on Iran, 'toughest ever,' take force today

Iran's President Hassan Rouhani said the Islamic republic "will proudly bypass sanctions" by the United States that <a href="http://www.wionews.com/world/us-sanctions-on-iran-toughest-ever-take-force-monday-175530">took effect on Monday</a> targeting the country's oil and financial sectors.

"I announce that we will proudly bypass your illegal, unjust sanctions because it's against international regulations," Rouhani said in a televised speech.

"We are in a situation of economic war, confronting a bullying power. I don't think that in the history of America, someone has entered the White House who is so against law and international conventions," he added.

The renewed US sanctions aim to significantly curb Iran's oil exports and cut it off from international finance, and follow US President Donald Trump's controversial decision in May to abandon the multi-nation nuclear deal with Tehran.

Iran's President Hassan Rouhani said the Islamic republic "will proudly bypass sanctions" by the United States that took effect on Monday targeting the country's oil and financial sectors.

Iran's President Hassan Rouhani said the Islamic republic "will proudly bypass sanctions" by the United States that took effect on Monday targeting the country's oil and financial sectors. "I announce that we will proudly bypass your illegal, unjust sanctions because it's against international regulations," Rouhani said in a televised speech. "We are in a situation of economic war, confronting a bullying power. I don't think that in the history of America, someone has entered the White House who is so against law and international conventions," he added. The renewed US sanctions aim to significantly curb Iran's oil exports and cut it off from international finance, and follow US President Donald Trump's controversial decision in May to abandon the multi-nation nuclear deal with Tehran.

As US sanctions kick in, Iran says it will 'proudly bypass' them

Shortly after US&nbsp;President Donald Trump announced in May he would reimpose sanctions on Iran, the State Department began telling countries around the world the clock was ticking for them to cut oil purchases from the Islamic Republic to zero.

The strategy is meant to cripple Iran's oil-dependent economy and force Tehran to quash not only its nuclear ambitions, but this time, its ballistic missile program and its influence in Syria.

With just days to go before renewed sanctions take effect November&nbsp;5, the reality is setting in: three of Iran’s top five customers – India, China, and Turkey - are resisting Washington’s call to end purchases outright, arguing there are not sufficient supplies worldwide to replace them, according to sources familiar with the matter.

That pressure, along with worries of a damaging oil price spike, is putting the Trump administration’s hard line to the test and raising the possibility of bilateral deals to allow some buying to continue, according to the sources.

The tension has split the administration into two camps, one led by National Security Adviser John Bolton, who wants the toughest possible approach, and another by State Department officials keen to balance sanctions against preventing an oil price spike that could damage the US&nbsp;and its allies, according to a source briefed by administration officials on the matter.

The global price of oil peaked just below US $87 a barrel this month, a four-year high. Because of that concern, the source said, the administration is considering limited waivers for some Iranian customers until Russia and Saudi Arabia add additional supply next year, while limiting what Tehran can do with the proceeds in the meantime.

Revenues from sales could be escrowed for use by Tehran exclusively for humanitarian purposes, the source, who asked not to be named, said – a mechanism more stringent than a similar one imposed on Iran oil purchases during the last round of sanctions under US&nbsp;President Barack Obama.

“If you’re the administration, you’d like to ensure you don’t have a spike in the price. So, you are better off from mid-2019 onwards to aggressively enforce the barrels side of reducing to zero and in the interim aggressively enforcing the revenue side,” the source said.

Such concessions could be problematic for the White House as it seeks stricter terms than under Obama, who along with European allies imposed sanctions that led to an agreement limiting Iran's nuclear weapons development.

The State Department declined comment for this story, but the administration has confirmed Washington is considering waivers. US&nbsp;Treasury Secretary Steven Mnuchin told Reuters that countries will first have to reduce purchases of Iran’s oil by more than the 20 percent level they did under the previous sanctions.

'A BIT UNPREDICTABLE'

US&nbsp;Treasury and State Department teams have traveled to more than two dozen countries since Trump pulled out of the nuclear deal on&nbsp;May 8, warning companies and countries of the dangers of doing business with Iran.

US&nbsp;allies Japan and South Korea have already ceased importing Iran's crude. But the situation is less clear among other, bigger buyers.

Brian Hook, the State Department’s special representative for Iran, and Frank Fannon, State's top US&nbsp;energy diplomat, most recently met with officials in India, Iran’s No. 2 buyer, in mid-October after a US&nbsp;source said for the first time that the administration was actively considering waivers.

An Indian&nbsp;government source said India told the US&nbsp;delegation that rising energy costs caused by a weak rupee and high oil prices meant zeroing out Iranian purchases was impossible until at least March.

“We have told this to the United States, as well as during Brian Hook’s visit,” the source said. “We cannot end oil imports from Iran at a time when alternatives are costly.”

A US&nbsp;diplomat confirmed the discussions, saying limited waivers for India and other countries was possible.

India typically imports over 500,000 barrels per day (bpd) of Iranian oil, but has reduced that level in recent months, according to official data.

Discussions are also underway with Turkey, Iran’s fourth biggest crude buyer, even though Turkish President Tayyip Erdogan and Turkish ministers have openly criticized the sanctions.

An industry source in Turkey familiar with the talks told Reuters the country had cut Iranian imports in half already, and could get to zero, but would prefer to continue some purchases.

Obama's administration granted a six-month waiver to Turkey, but the source said Turkey expected the Trump administration to impose tougher requirements for obtaining waivers that could potentially cover shorter periods.

“It could be for three months, or they may not get a waiver at all. It is all a bit unpredictable this time, as we understand a lot of things are up to Trump,” the source said.

The situation is least clear in China, Iran’s biggest customer, whose state-owned buyers are also seeking waivers. The country took in between 500,000 and 800,000 bpd from Iran in the past several months, a typical range.

Beijing's signals to its refiners have been mixed, said the two sources. Last week, Reuters reported Sinopec Group and&nbsp;China&nbsp;National Petroleum Corp (CNPC), the country's top state-owned refiners, have not placed orders for Iranian&nbsp;oil&nbsp;for November because of concerns about the sanctions.

Joe McMonigle, energy analyst at Hedgeye in Washington, said he expected the administration would have to accept some level of Iranian oil buying from China, given its consumption.

“Of all the countries, I don’t think they think China is going to zero,” he said.

US&nbsp;State Department's Fannon is scheduled to travel to Asia in coming days, with a speech in Singapore planned for Oct. 30; an official did not say if Fannon would use the trip to discuss Iran with China.

Shortly after US President Donald Trump announced in May he would reimpose sanctions on Iran, the State Department began telling countries around the world the clock was ticking for them to cut oil purchases from the Islamic Republic to zero.

Shortly after US President Donald Trump announced in May he would reimpose sanctions on Iran, the State Department began telling countries around the world the clock was ticking for them to cut oil purchases from the Islamic Republic to zero. The strategy is meant to cripple Iran's oil-dependent economy and force Tehran to quash not only its nuclear ambitions, but this time, its ballistic missile program and its influence in Syria. With just days to go before renewed sanctions take effect November 5, the reality is setting in: three of Iran’s top five customers – India, China, and Turkey - are resisting Washington’s call to end purchases outright, arguing there are not sufficient supplies worldwide to replace them, according to sources familiar with the matter. That pressure, along with worries of a damaging oil price spike, is putting the Trump administration’s hard line to the test and raising the possibility of bilateral deals to allow some buying to continue, according to the sources. The tension has split the administration into two camps, one led by National Security Adviser John Bolton, who wants the toughest possible approach, and another by State Department officials keen to balance sanctions against preventing an oil price spike that could damage the US and its allies, according to a source briefed by administration officials on the matter. The global price of oil peaked just below US $87 a barrel this month, a four-year high. Because of that concern, the source said, the administration is considering limited waivers for some Iranian customers until Russia and Saudi Arabia add additional supply next year, while limiting what Tehran can do with the proceeds in the meantime. Revenues from sales could be escrowed for use by Tehran exclusively for humanitarian purposes, the source, who asked not to be named, said – a mechanism more stringent than a similar one imposed on Iran oil purchases during the last round of sanctions under US President Barack Obama. “If you’re the administration, you’d like to ensure you don’t have a spike in the price. So, you are better off from mid-2019 onwards to aggressively enforce the barrels side of reducing to zero and in the interim aggressively enforcing the revenue side,” the source said. Such concessions could be problematic for the White House as it seeks stricter terms than under Obama, who along with European allies imposed sanctions that led to an agreement limiting Iran's nuclear weapons development. The State Department declined comment for this story, but the administration has confirmed Washington is considering waivers. US Treasury Secretary Steven Mnuchin told Reuters that countries will first have to reduce purchases of Iran’s oil by more than the 20 percent level they did under the previous sanctions. 'A BIT UNPREDICTABLE' US Treasury and State Department teams have traveled to more than two dozen countries since Trump pulled out of the nuclear deal on May 8, warning companies and countries of the dangers of doing business with Iran. US allies Japan and South Korea have already ceased importing Iran's crude. But the situation is less clear among other, bigger buyers. Brian Hook, the State Department’s special representative for Iran, and Frank Fannon, State's top US energy diplomat, most recently met with officials in India, Iran’s No. 2 buyer, in mid-October after a US source said for the first time that the administration was actively considering waivers. An Indian government source said India told the US delegation that rising energy costs caused by a weak rupee and high oil prices meant zeroing out Iranian purchases was impossible until at least March. “We have told this to the United States, as well as during Brian Hook’s visit,” the source said. “We cannot end oil imports from Iran at a time when alternatives are costly.” A US diplomat confirmed the discussions, saying limited waivers for India and other countries was possible. India typically imports over 500,000 barrels per day (bpd) of Iranian oil, but has reduced that level in recent months, according to official data. Discussions are also underway with Turkey, Iran’s fourth biggest crude buyer, even though Turkish President Tayyip Erdogan and Turkish ministers have openly criticized the sanctions. An industry source in Turkey familiar with the talks told Reuters the country had cut Iranian imports in half already, and could get to zero, but would prefer to continue some purchases. Obama's administration granted a six-month waiver to Turkey, but the source said Turkey expected the Trump administration to impose tougher requirements for obtaining waivers that could potentially cover shorter periods. “It could be for three months, or they may not get a waiver at all. It is all a bit unpredictable this time, as we understand a lot of things are up to Trump,” the source said. The situation is least clear in China, Iran’s biggest customer, whose state-owned buyers are also seeking waivers. The country took in between 500,000 and 800,000 bpd from Iran in the past several months, a typical range. Beijing's signals to its refiners have been mixed, said the two sources. Last week, Reuters reported Sinopec Group and China National Petroleum Corp (CNPC), the country's top state-owned refiners, have not placed orders for Iranian oil for November because of concerns about the sanctions. Joe McMonigle, energy analyst at Hedgeye in Washington, said he expected the administration would have to accept some level of Iranian oil buying from China, given its consumption. “Of all the countries, I don’t think they think China is going to zero,” he said. US State Department's Fannon is scheduled to travel to Asia in coming days, with a speech in Singapore planned for Oct. 30; an official did not say if Fannon would use the trip to discuss Iran with China.

Trump's Iran sanctions resolve faces test from oil-thirsty China, India

Oil prices on Wednesday clawed back a fraction of their hefty losses the day before that came after Saudi Arabia said it would make up for supply disruptions from US sanctions starting next month on Iran's petroleum exports.

Front-month Brent crude oil futures were at $76.72 a barrel at 0320 GMT, 28 cents, or 0.4 per cent, above their last close.

US West Texas Intermediate (WTI) crude futures were at $66.66 a barrel, up 23 cents, or 0.4 per cent, from their last settlement.

That came after Brent closed down 4.3 per cent and WTI 4 per cent in the previous session.

Saudi Energy Minister Khalid al-Falih said at an investment conference in Riyadh on Tuesday that despite expected supply disruptions from US sanctions against Iran that kick in from November 4, Saudi Arabia would step up to "meet any demand that materialises to ensure customers are satisfied".

"Oil prices fell substantially ... as Saudi Arabia released assurances it could supply more to the global market," Australia's Rivkin Securities said.

Despite the slump, analysts said markets remained tight because of the looming sanctions.

"We still see Brent reaching $85 per barrel by year-end," said US bank Morgan Stanley.

Into 2019, however, the broader economic outlook could be darkening.

China's state planner said on Wednesday it would step up financial support for regions most hit by the ongoing trade war between Washington and Beijing in which both sides have slapped import tariffs on hundreds of goods.

Meanwhile, South Korea's KOSPI-100 equity index has now fallen by nearly 19 per cent over the past year, the fastest rate of decline since the financial crisis of 2008/09.

The KOSPI-100 has typically correlated closely with growth in international trade, given the South Korean economy's strong orientation towards exports.

Oil prices on Wednesday clawed back a fraction of their hefty losses the day before that came after Saudi Arabia said it would make up for supply disruptions from US sanctions starting next month on Iran's petroleum exports.

Oil prices on Wednesday clawed back a fraction of their hefty losses the day before that came after Saudi Arabia said it would make up for supply disruptions from US sanctions starting next month on Iran's petroleum exports. Front-month Brent crude oil futures were at $76.72 a barrel at 0320 GMT, 28 cents, or 0.4 per cent, above their last close. US West Texas Intermediate (WTI) crude futures were at $66.66 a barrel, up 23 cents, or 0.4 per cent, from their last settlement. That came after Brent closed down 4.3 per cent and WTI 4 per cent in the previous session. Saudi Energy Minister Khalid al-Falih said at an investment conference in Riyadh on Tuesday that despite expected supply disruptions from US sanctions against Iran that kick in from November 4, Saudi Arabia would step up to "meet any demand that materialises to ensure customers are satisfied". "Oil prices fell substantially ... as Saudi Arabia released assurances it could supply more to the global market," Australia's Rivkin Securities said. Despite the slump, analysts said markets remained tight because of the looming sanctions. "We still see Brent reaching $85 per barrel by year-end," said US bank Morgan Stanley. Into 2019, however, the broader economic outlook could be darkening. China's state planner said on Wednesday it would step up financial support for regions most hit by the ongoing trade war between Washington and Beijing in which both sides have slapped import tariffs on hundreds of goods. Meanwhile, South Korea's KOSPI-100 equity index has now fallen by nearly 19 per cent over the past year, the fastest rate of decline since the financial crisis of 2008/09. The KOSPI-100 has typically correlated closely with growth in international trade, given the South Korean economy's strong orientation towards exports.

Oil edges back from big slump as Iran sanctions return to focus

Saudi Arabia has agreed <a href="http://www.wionews.com/pakistan/pakistan-is-desperately-looking-for-loans-imran-khan-at-saudi-investment-conference-172963">to give Pakistan $3 billion</a> in foreign currency support for a year and allow it to defer payments for oil imports to help stave off a current accounts crisis, Pakistan's government said on Tuesday

The agreement came as new Pakistani Prime Minister Imran Khan attended a Saudi investment conference that has been boycotted by several other leaders over the death of a dissident Saudi writer at the country's consulate in Istanbul.

"It was agreed Saudi Arabia will place a deposit of $3 Billion for a period of one year as balance of payment support," Pakistan's foreign ministry said in a statement.

"It was also agreed that a one-year deferred payment facility for import of oil, up to $3 Billion, will be provided by Saudi Arabia. This arrangement will be in place for three years, which will be reviewed thereafter."

Saudi Arabia has agreed to give Pakistan $3 billion in foreign currency support for a year and allow it to defer payments for oil imports to help stave off a current accounts crisis, Pakistan's government said on Tuesday The agreement came as new Pakistani Prime Minister Imran Khan attended a Saudi investment conference that has been boycotted by several other leaders over the death of a dissident Saudi writer at the country's consulate in Istanbul.

Saudi Arabia has agreed to give Pakistan $3 billion in foreign currency support for a year and allow it to defer payments for oil imports to help stave off a current accounts crisis, Pakistan's government said on Tuesday The agreement came as new Pakistani Prime Minister Imran Khan attended a Saudi investment conference that has been boycotted by several other leaders over the death of a dissident Saudi writer at the country's consulate in Istanbul. "It was agreed Saudi Arabia will place a deposit of $3 Billion for a period of one year as balance of payment support," Pakistan's foreign ministry said in a statement. "It was also agreed that a one-year deferred payment facility for import of oil, up to $3 Billion, will be provided by Saudi Arabia. This arrangement will be in place for three years, which will be reviewed thereafter."

Saudi Arabia offers Pak $3 billion to ease balance of payments crisis

India Thursday said it was engaged with the US, Iran and other stakeholders on the issue of American sanctions on import of Iranian oil which will come into effect from November 4.

Spokesperson in the Ministry of External Affairs Raveesh Kumar said India has already conveyed to the US about its position on the matter.

Asked about how India will make the payments to Russia for the S-400 missile deal, Kumar said India is also engaged with the US on the issue.&nbsp;&nbsp;

&nbsp;"We are engaged with the US on the matter. We have shared our position with the US sides at different levels. These discussions have contributed to a better understanding by the US about our objectives and concerns as well as our sensitivities and expectations," he said.

On October 5, India and Russia signed the USD 5 billion S-400 air defence system deal, notwithstanding US sanctions on military transactions with Moscow.&nbsp;

On US sanctions on import of Iranian oil from November 4, Kumar said, "Our discussions are on with Iran and other stakeholders. It will not be proper to go into the details how we will deal with the situation."&nbsp;

He said US Special Representative for Iran Brian Hook held talks with officials of various relevant ministries here on the issue.

"We have conveyed to him that the price of crude oil is a matter of concern for our domestic economy and directly affects the common people," he said at a press briefing.

Kumar said India's "expectations" have been made known to the US side, adding India appreciated the statement made by US Secretary of State Mike Pompeo that intention of imposing sanctions on Iran is not to hurt India.&nbsp;

"We do intend to continue our engagement with the US and other statekeholders to ensure our energy security and to protect our national interests," Kumar said.

He said India was trying to see how it can find a solution to the issue.

There has been indication that India may not totally stop import of crude oil from Iran.

Kumar said India will do everything possible to ensure the country's energy security.&nbsp;

In May, the US brought back sanctions on Iran after withdrawing from the Iran nuclear deal which was struck in 2015.

The US has told India and other countries to cut oil imports from the Gulf nation to "zero" by November 4 or face sanctions.&nbsp;

Iran is India's third-largest oil supplier after Iraq and Saudi Arabia. Iran supplied 18.4 million tonnes of crude oil between April 2017 and January 2018 (first 10 months of fiscal 2017-18).

Sources said India is also looking at the possibility of falling back on the rupee-rial arrangement for importing oil from Iran in the wake of US sanctions.

The rupee-rial arrangement was used to buy oil from Iran before sanctions were lifted against it three years ago.

Under the mechanism, India used to pay in euros to clear 55 per cent of its dues through Ankara-based Halk bank. The remaining 45 per cent payment was remitted in rupees in accounts Iranian oil companies had with the Uco Bank.

India Thursday said it was engaged with the US, Iran and other stakeholders on the issue of American sanctions on import of Iranian oil which will come into effect from November 4.

India Thursday said it was engaged with the US, Iran and other stakeholders on the issue of American sanctions on import of Iranian oil which will come into effect from November 4. Spokesperson in the Ministry of External Affairs Raveesh Kumar said India has already conveyed to the US about its position on the matter. Asked about how India will make the payments to Russia for the S-400 missile deal, Kumar said India is also engaged with the US on the issue. "We are engaged with the US on the matter. We have shared our position with the US sides at different levels. These discussions have contributed to a better understanding by the US about our objectives and concerns as well as our sensitivities and expectations," he said. On October 5, India and Russia signed the USD 5 billion S-400 air defence system deal, notwithstanding US sanctions on military transactions with Moscow. On US sanctions on import of Iranian oil from November 4, Kumar said, "Our discussions are on with Iran and other stakeholders. It will not be proper to go into the details how we will deal with the situation." He said US Special Representative for Iran Brian Hook held talks with officials of various relevant ministries here on the issue. "We have conveyed to him that the price of crude oil is a matter of concern for our domestic economy and directly affects the common people," he said at a press briefing. Kumar said India's "expectations" have been made known to the US side, adding India appreciated the statement made by US Secretary of State Mike Pompeo that intention of imposing sanctions on Iran is not to hurt India. "We do intend to continue our engagement with the US and other statekeholders to ensure our energy security and to protect our national interests," Kumar said. He said India was trying to see how it can find a solution to the issue. There has been indication that India may not totally stop import of crude oil from Iran. Kumar said India will do everything possible to ensure the country's energy security. In May, the US brought back sanctions on Iran after withdrawing from the Iran nuclear deal which was struck in 2015. The US has told India and other countries to cut oil imports from the Gulf nation to "zero" by November 4 or face sanctions. Iran is India's third-largest oil supplier after Iraq and Saudi Arabia. Iran supplied 18.4 million tonnes of crude oil between April 2017 and January 2018 (first 10 months of fiscal 2017-18). Sources said India is also looking at the possibility of falling back on the rupee-rial arrangement for importing oil from Iran in the wake of US sanctions. The rupee-rial arrangement was used to buy oil from Iran before sanctions were lifted against it three years ago. Under the mechanism, India used to pay in euros to clear 55 per cent of its dues through Ankara-based Halk bank. The remaining 45 per cent payment was remitted in rupees in accounts Iranian oil companies had with the Uco Bank.

India engaged with all stakeholders on Iranian oil import issue: MEA

On Wednesday <a href="http://www.wionews.com/world/kanye-west-hugs-trump-muses-on-presidential-run-170975">Donald Trump</a> said "India is going to find out" whether it will be sanctioned for its purchase of the S-400 Triumf missile defence sytem from Russia.&nbsp;

And a day later, US State Department spokesperson Heather Nauert quoted him as saying "we'll take care of that" on the question of India buying oil from Iran.&nbsp;

The US, which imposed sanctions on Iran after Trump walked out of the 2015 Iran nuclear deal, has been leaning on India to stop importing oil from Iran.&nbsp;

India has so far said that it will continue to buy oil from Iran. (India, which is the world's third largest importer of oil, gets about 10 per cent of its oil from Iran.)&nbsp;

"The President had addressed it. He was asked whether or not India would buy oil from Iran after sanctions are reimposed and president said 'we’ll take care of that'," US State Department spokesperson Heather Nauert said on Thursday.&nbsp;

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The President had addressed it, he was asked whether or not India would buy oil from Iran after sanctions are reimposed. And President said, 'we’ll take care of that.' He was asked also about CAATSA sanctions&amp;possible imposition of CAATSA sanctions: Heather Nauert, US State Dept <a href="https://t.co/hJeJ7BLY0q">pic.twitter.com/hJeJ7BLY0q</a>
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"He was asked also about CAATSA sanctions and possible imposition of CAATSA sanctions," Nauert added.&nbsp;

"And he (US President) said, India is going to find out. And India will find out. We’ll see. So I’m not going to get ahead of him, but certainly when we hear about things such as purchasing oil or purchasing of the S-400 systems, it’s not helpful," she said.

Prime Minister Narendra Modi signed a deal during Russian President Vladimir Putin's recent visit to India to buy five units of the S-400. The deal will cost India over $5 billion.&nbsp;

India plans to use the defence sytem along its border with China.&nbsp;

The trouble is the purchase could attract US sanctions under the Countering America's Adversaries Throught Sanctions Act or CAATSA which says the US has to sanction any country which buys a significant portion of its military firepower from Russia. (The US was also keen that India buy its Thaad missile defence system rather than the S-400.)&nbsp;

India has asked that the sanctions be waived.&nbsp;

On Wednesday Donald Trump said "India is going to find out" whether it will be sanctioned for its purchase of the S-400 Triumf missile defence sytem from Russia.

On Wednesday Donald Trump said "India is going to find out" whether it will be sanctioned for its purchase of the S-400 Triumf missile defence sytem from Russia. And a day later, US State Department spokesperson Heather Nauert quoted him as saying "we'll take care of that" on the question of India buying oil from Iran. The US, which imposed sanctions on Iran after Trump walked out of the 2015 Iran nuclear deal, has been leaning on India to stop importing oil from Iran. India has so far said that it will continue to buy oil from Iran. (India, which is the world's third largest importer of oil, gets about 10 per cent of its oil from Iran.) "The President had addressed it. He was asked whether or not India would buy oil from Iran after sanctions are reimposed and president said 'we’ll take care of that'," US State Department spokesperson Heather Nauert said on Thursday. The President had addressed it, he was asked whether or not India would buy oil from Iran after sanctions are reimposed. And President said, 'we’ll take care of that.' He was asked also about CAATSA sanctions&possible imposition of CAATSA sanctions: Heather Nauert, US State Dept pic.twitter.com/hJeJ7BLY0q — ANI (@ANI) October 12, 2018 × "He was asked also about CAATSA sanctions and possible imposition of CAATSA sanctions," Nauert added. "And he (US President) said, India is going to find out. And India will find out. We’ll see. So I’m not going to get ahead of him, but certainly when we hear about things such as purchasing oil or purchasing of the S-400 systems, it’s not helpful," she said. Prime Minister Narendra Modi signed a deal during Russian President Vladimir Putin's recent visit to India to buy five units of the S-400. The deal will cost India over $5 billion. India plans to use the defence sytem along its border with China. The trouble is the purchase could attract US sanctions under the Countering America's Adversaries Throught Sanctions Act or CAATSA which says the US has to sanction any country which buys a significant portion of its military firepower from Russia. (The US was also keen that India buy its Thaad missile defence system rather than the S-400.) India has asked that the sanctions be waived.

We'll take care of that: Trump on India buying oil from Iran

Union Minister of Petroleum and Natural Gas Dharmendra Pradhan said that despite the sanctions imposed by the United States, Indian companies have made nominations to purchase oil from Iran.

Delivering the opening remarks at the inaugural conference of The Energy Forum here on Monday, Pradhan said: "Two days ago, two of our companies made nominations to purchase Iranian oil in November. We do not know if we will get a waiver (from US sanctions) or not. Isn't it new diplomatic power and recognition of the new leadership of India?"

Stressing on the need to lower carbon footprint and enhance self-sufficiency in terms of energy, Pradhan noted that the Centre is focusing on achieving a significant reduction in the import of carbon molecules.

"Energy is an important component for any economy. India, being the third largest energy consumer in the world, imports nearly 300MMT of carbon molecules every year. Our challenge is to lower this import volume, enhance self-sufficiency and lower our carbon footprints," he said.

Emphasising on the Centre's efforts to expand India's gas-pipeline network, he added, "We aim to expand India's gas-pipeline network to nearly more than half of the country and are pushing to establish India as a gas-based economy, with domestic as well as foreign investments and also enhancing exploration and production activities to augment our own hydrocarbon production capacities."

Asserting that 'when the bottom of the pyramid is transformed, the characteristic of the country is transformed'&nbsp;he underlined the positive impact of the Pradhan Mantri Ujjwala Yojana on the lives of women.

"I interacted with a large number of beneficiaries of Ujjawala Yojana a few days back. All of them unanimously said that previously they had to spend around Rs. 1000 to 1200 to purchase wood, coal and other items for cooking. Today, they buy gas cylinders at a maximum cost of Rs 900, out of which Rs 400-450 is returned in the form of subsidy, and hence, the effective expenditure is only about Rs 500. They also said that many of their eye issues were resolved because of the same and they were getting more time to rest now."

The conference aims at analysing the global energy industry and overcoming challenges to address India's energy security. Other significant issues such as import reduction, sustainability, and reduction of CO2 footprints were also tabled for discussion at the conference.&nbsp;

Union Minister of Petroleum and Natural Gas Dharmendra Pradhan said that despite the sanctions imposed by the United States, Indian companies have made nominations to purchase oil from Iran.

Union Minister of Petroleum and Natural Gas Dharmendra Pradhan said that despite the sanctions imposed by the United States, Indian companies have made nominations to purchase oil from Iran. Delivering the opening remarks at the inaugural conference of The Energy Forum here on Monday, Pradhan said: "Two days ago, two of our companies made nominations to purchase Iranian oil in November. We do not know if we will get a waiver (from US sanctions) or not. Isn't it new diplomatic power and recognition of the new leadership of India?" Stressing on the need to lower carbon footprint and enhance self-sufficiency in terms of energy, Pradhan noted that the Centre is focusing on achieving a significant reduction in the import of carbon molecules. "Energy is an important component for any economy. India, being the third largest energy consumer in the world, imports nearly 300MMT of carbon molecules every year. Our challenge is to lower this import volume, enhance self-sufficiency and lower our carbon footprints," he said. Emphasising on the Centre's efforts to expand India's gas-pipeline network, he added, "We aim to expand India's gas-pipeline network to nearly more than half of the country and are pushing to establish India as a gas-based economy, with domestic as well as foreign investments and also enhancing exploration and production activities to augment our own hydrocarbon production capacities." Asserting that 'when the bottom of the pyramid is transformed, the characteristic of the country is transformed' he underlined the positive impact of the Pradhan Mantri Ujjwala Yojana on the lives of women. "I interacted with a large number of beneficiaries of Ujjawala Yojana a few days back. All of them unanimously said that previously they had to spend around Rs. 1000 to 1200 to purchase wood, coal and other items for cooking. Today, they buy gas cylinders at a maximum cost of Rs 900, out of which Rs 400-450 is returned in the form of subsidy, and hence, the effective expenditure is only about Rs 500. They also said that many of their eye issues were resolved because of the same and they were getting more time to rest now." The conference aims at analysing the global energy industry and overcoming challenges to address India's energy security. Other significant issues such as import reduction, sustainability, and reduction of CO2 footprints were also tabled for discussion at the conference.

Recognition of new leadership of India: Pradhan on India buying oil from Iran

India need not take an aggressive position in public on the issue of US sanctions on nations defying its directive to bring their oil imports from Iran to zero by November 4, says a former Indian diplomat.

India has to play a cautious role, in that priority should be the country's national interests, former Ambassador of India to Saudi Arabia Oman and the UAE Talmiz Ahmad said.

"India's national interests lie in maintaining relations with Iran while at the same time not totally alienating the United States", he told PTI.

"And what India will do and I think that's the correct policy that there will be some reduction in oil imports for a short period and at the same time discussions with the United States will continue in order to ensure that the US policy becomes more accomodative", Mr Ahmad said.

He was of the view that over a period of time or as early as six months, the entire sanctions regime would "collapse".

"My own view is that we don't need to take an aggressive position in public but constantly subserve our own interests and wait for that time when the United States' absurd policy is revised by the international community or the US itself," he said.

Ahmad said this had to be done quietly without going public and ensuring the country's interests was safeguarded.

According to him, there would be some reduction in oil purchases from Iran in the short term but it's not likely to continue for a longer period.

India need not take an aggressive position in public on the issue of US sanctions on nations defying its directive to bring their oil imports from Iran to zero by November 4, says a former Indian diplomat.

India need not take an aggressive position in public on the issue of US sanctions on nations defying its directive to bring their oil imports from Iran to zero by November 4, says a former Indian diplomat. India has to play a cautious role, in that priority should be the country's national interests, former Ambassador of India to Saudi Arabia Oman and the UAE Talmiz Ahmad said. "India's national interests lie in maintaining relations with Iran while at the same time not totally alienating the United States", he told PTI. "And what India will do and I think that's the correct policy that there will be some reduction in oil imports for a short period and at the same time discussions with the United States will continue in order to ensure that the US policy becomes more accomodative", Mr Ahmad said. He was of the view that over a period of time or as early as six months, the entire sanctions regime would "collapse". "My own view is that we don't need to take an aggressive position in public but constantly subserve our own interests and wait for that time when the United States' absurd policy is revised by the international community or the US itself," he said. Ahmad said this had to be done quietly without going public and ensuring the country's interests was safeguarded. According to him, there would be some reduction in oil purchases from Iran in the short term but it's not likely to continue for a longer period.

Wait and watch US sanctions implode: Ex-envoy's advice to India on Iran

Oil prices are likely to climb continuously into next year, as concerns over drops in supply from the likes of Iran and Venezuela outweigh any worry that global trade disputes could undermine demand, a Reuters poll showed on Friday.

A survey of 50 economists and analysts forecast Brent crude to average $73.48 a barrel in 2018, up from the $72.71 forecast in August and the $72.68 average so far this year. Brent was forecast to average $73.75 in 2019.

This is the highest projection for the benchmark for both 2018 and 2019 in the polls this year.

"Concerns over global trade disputes have not yet really affected economic growth, but the sanctions on Iran already have had an impact on Iranian exports and output," said Frank Schallenberger, head of commodity research at LBBW.

"If an export destination like South Korea is not willing to buy Iranian oil anymore, there is a high probability that output from Iran could drop some 500,000-1 million bpd. This is really bad news for the supply side - and especially also for the consumers - as prices could go up even further."

Iranian exports of crude and condensates have declined by 0.8 million barrels a day (mbd) from April to September, according to the Institute of International Finance, ahead of the November 4 US&nbsp;sanctions on the third largest producer in the Organization of the Petroleum Exporting Countries.

Brent prices have risen more than 20 per cent since the beginning of April.

Analysts expect a reduction of anywhere between 500,000 and 1.5 million bpd in Iranian supply due to the sanctions, with most expecting Saudi Arabia to take the lead in filling any supply gaps.

"The best is yet to come with a fourth-quarter of $80+/bbl driven by still strong oil demand growth, expectation of a significant drop in Iranian exports to 1 mbd by year-end and an only limited willingness by OPEC to ramp-up output to exhaust spare capacity," said Jan Edelmann, commodities analyst at HSH Nordbank AG.

However, an escalating trade dispute between the United States and China, the world's largest consumer of commodities, could affect demand growth, especially next year, analysts said.

"Uncertainty about possible effects of a trade war between the U.S. and China could dampen some of the upside risks triggered by the supply issues," said Hans van Cleef, senior energy economist at ABN Amro.

Meanwhile, US&nbsp;crude futures were forecast to average $67.29 a barrel in 2018, compared with the $67.13 consensus last month and an average of $66.76 until now.

A majority of participants saw growth in US&nbsp;shale oil output slowing over the remainder of 2018 and into next year due to infrastructure problems.

Oil prices are likely to climb continuously into next year, as concerns over drops in supply from the likes of Iran and Venezuela outweigh any worry that global trade disputes could undermine demand, a Reuters poll showed on Friday.

Oil prices are likely to climb continuously into next year, as concerns over drops in supply from the likes of Iran and Venezuela outweigh any worry that global trade disputes could undermine demand, a Reuters poll showed on Friday. A survey of 50 economists and analysts forecast Brent crude to average $73.48 a barrel in 2018, up from the $72.71 forecast in August and the $72.68 average so far this year. Brent was forecast to average $73.75 in 2019. This is the highest projection for the benchmark for both 2018 and 2019 in the polls this year. "Concerns over global trade disputes have not yet really affected economic growth, but the sanctions on Iran already have had an impact on Iranian exports and output," said Frank Schallenberger, head of commodity research at LBBW. "If an export destination like South Korea is not willing to buy Iranian oil anymore, there is a high probability that output from Iran could drop some 500,000-1 million bpd. This is really bad news for the supply side - and especially also for the consumers - as prices could go up even further." Iranian exports of crude and condensates have declined by 0.8 million barrels a day (mbd) from April to September, according to the Institute of International Finance, ahead of the November 4 US sanctions on the third largest producer in the Organization of the Petroleum Exporting Countries. Brent prices have risen more than 20 per cent since the beginning of April. Analysts expect a reduction of anywhere between 500,000 and 1.5 million bpd in Iranian supply due to the sanctions, with most expecting Saudi Arabia to take the lead in filling any supply gaps. "The best is yet to come with a fourth-quarter of $80+/bbl driven by still strong oil demand growth, expectation of a significant drop in Iranian exports to 1 mbd by year-end and an only limited willingness by OPEC to ramp-up output to exhaust spare capacity," said Jan Edelmann, commodities analyst at HSH Nordbank AG. However, an escalating trade dispute between the United States and China, the world's largest consumer of commodities, could affect demand growth, especially next year, analysts said. "Uncertainty about possible effects of a trade war between the U.S. and China could dampen some of the upside risks triggered by the supply issues," said Hans van Cleef, senior energy economist at ABN Amro. Meanwhile, US crude futures were forecast to average $67.29 a barrel in 2018, compared with the $67.13 consensus last month and an average of $66.76 until now. A majority of participants saw growth in US shale oil output slowing over the remainder of 2018 and into next year due to infrastructure problems.

Oil to rise as Iran sanctions outweigh demand risks from trade wars: Report

Just hours after annoucing cut in fuel <a href="http://wionews.com/india-news/fuel-prices-finally-mellow-down-after-16-days-of-consecutive-hike-140787">prices, Indian Oil Corporation&nbsp;said the revised </a>&nbsp;price was actually 1 paisa and not 60 paisa as previously reported blaming it on "clerical error"

On Wednesday morning, Indian Oil had declared that they had cut oil prices in the country after sixteen consecutive days of high prices which had angered everyone.

As a result petrol prices have now have been revised down by just 1 paisa and not 60 paisa in Delhi & 59 paisa in Mumbai.

Diesel prices also went down by just 1 paisa instead of 56 paise in Delhi and 59 paise in Mumbai.

On Tuesday petrol price in Delhi had climbed to Rs 78.43 a litre.

Mumbai, Chennai and Kolkata also witnessed petrol prices breaking the Rs 80+ mark at Rs 86.24, Rs 81.43 and Rs 81.06 respectively. &nbsp;

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&nbsp;

On Wednesday morning, the oil companies had declared that they had cut oil prices in the country

Just hours after annoucing cut in fuel prices, Indian Oil Corporation said the revised price was actually 1 paisa and not 60 paisa as previously reported blaming it on "clerical error" On Wednesday morning, Indian Oil had declared that they had cut oil prices in the country after sixteen consecutive days of high prices which had angered everyone. As a result petrol prices have now have been revised down by just 1 paisa and not 60 paisa in Delhi & 59 paisa in Mumbai. Diesel prices also went down by just 1 paisa instead of 56 paise in Delhi and 59 paise in Mumbai. On Tuesday petrol price in Delhi had climbed to Rs 78.43 a litre. Mumbai, Chennai and Kolkata also witnessed petrol prices breaking the Rs 80+ mark at Rs 86.24, Rs 81.43 and Rs 81.06 respectively. ×

Fuel prices cut 1 paisa, not 60 paisa; Indian Oil blames it on 'clerical error'

There seems to be no relief for commuters across the country as fuel prices continued to soar for the 15th consecutive day on May 28.&nbsp;

Petrol price per litre in Delhi today morning shot up to Rs 78.27. For Mumbai petrol per litre was registered at Rs 86.08, Rs 80.91 in Kolkata and Rs 81.26 per litre in Chennai.&nbsp;

Diesel prices were recorded at Rs 69.17 per litre in Delhi, Rs 73.64 in Mumbai, Rs 71.72 per litre in Kolkata and Rs 73.03 for a litre in Chennai.&nbsp;

<table border="1" cellpadding="1" cellspacing="1" style="width: 500px">
	<tbody>
		<tr>
			<td>Date</td>
			<td>Delhi (petrol in Rs/per litre)</td>
			<td>Mumbai</td>
			<td>Kolkata</td>
			<td>Chennai</td>
		</tr>
		<tr>
			<td>May 28</td>
			<td>78.27</td>
			<td>86.08</td>
			<td>80.91</td>
			<td>81.26</td>
		</tr>
		<tr>
			<td>May 27</td>
			<td>78.12</td>
			<td>85.93</td>
			<td>80.76</td>
			<td>81.11</td>
		</tr>
		<tr>
			<td>May 26</td>
			<td>77.97</td>
			<td>85.78</td>
			<td>80.61</td>
			<td>80.95</td>
		</tr>
		<tr>
			<td>May 25</td>
			<td>77.83</td>
			<td>85.65</td>
			<td>80.47</td>
			<td>80.80</td>
		</tr>
		<tr>
			<td>May 24</td>
			<td>77.47</td>
			<td>85.29</td>
			<td>80.12</td>
			<td>80.42</td>
		</tr>
		<tr>
			<td>May 23</td>
			<td>77.17</td>
			<td>84.99</td>
			<td>79.83</td>
			<td>80.11</td>
		</tr>
		<tr>
			<td>May 22</td>
			<td>76.87</td>
			<td>84.70</td>
			<td>79.53</td>
			<td>79.79</td>
		</tr>
		<tr>
			<td>May 21</td>
			<td>76.57</td>
			<td>84.40</td>
			<td>79.24</td>
			<td>79.47</td>
		</tr>
		<tr>
			<td>May 20</td>
			<td>76.24</td>
			<td>84.07</td>
			<td>78.91</td>
			<td>79.13</td>
		</tr>
	</tbody>
</table>

According to reports, petrol price in Delhi crossed Rs 77 per litre for the first time ever on Wednesday while in Mumbai, the petrol price amounted to 1 paise short of Rs 85 per litre.&nbsp;

The spree of hike in petrol and diesel prices were triggered following a peak in the international crude oil rate.

<table border="1" cellpadding="1" cellspacing="1" style="width: 500px">
	<tbody>
		<tr>
			<td>Date&nbsp;</td>
			<td>Delhi (diesel in Rs/per litre)</td>
			<td>Mumbai</td>
			<td>Kolkata</td>
			<td>Chennai</td>
		</tr>
		<tr>
			<td>May 28</td>
			<td>69.17</td>
			<td>73.64</td>
			<td>71.72</td>
			<td>73.03</td>
		</tr>
		<tr>
			<td>May 27</td>
			<td>69.06</td>
			<td>73.53</td>
			<td>71.61</td>
			<td>72.91</td>
		</tr>
		<tr>
			<td>May 26</td>
			<td>68.90</td>
			<td>73.36</td>
			<td>71.45</td>
			<td>72.74</td>
		</tr>
		<tr>
			<td>May 25</td>
			<td>68.75</td>
			<td>73.20</td>
			<td>71.30</td>
			<td>72.58</td>
		</tr>
		<tr>
			<td>May 24</td>
			<td>68.53</td>
			<td>72.96</td>
			<td>71.08</td>
			<td>72.35</td>
		</tr>
		<tr>
			<td>May 23</td>
			<td>68.34</td>
			<td>72.76</td>
			<td>70.89</td>
			<td>72.14</td>
		</tr>
		<tr>
			<td>May 22</td>
			<td>68.08</td>
			<td>72.48</td>
			<td>70.63</td>
			<td>71.87</td>
		</tr>
		<tr>
			<td>May 21</td>
			<td>67.82</td>
			<td>72.21</td>
			<td>70.37</td>
			<td>71.59</td>
		</tr>
		<tr>
			<td>May 20</td>
			<td>67.57</td>
			<td>71.94</td>
			<td>70.12</td>
			<td>71.32</td>
		</tr>
	</tbody>
</table>

The price rise was primarily caused to the sanctions re-imposed by the US against Iran and Venezuela, two among the handful of oil exporting nations.

Petrol price per litre in Delhi today morning shot up to Rs 78.27. For Mumbai petrol per litre was registered at Rs 86.08

There seems to be no relief for commuters across the country as fuel prices continued to soar for the 15th consecutive day on May 28. Petrol price per litre in Delhi today morning shot up to Rs 78.27. For Mumbai petrol per litre was registered at Rs 86.08, Rs 80.91 in Kolkata and Rs 81.26 per litre in Chennai. Diesel prices were recorded at Rs 69.17 per litre in Delhi, Rs 73.64 in Mumbai, Rs 71.72 per litre in Kolkata and Rs 73.03 for a litre in Chennai. Date Delhi (petrol in Rs/per litre) Mumbai Kolkata Chennai May 28 78.27 86.08 80.91 81.26 May 27 78.12 85.93 80.76 81.11 May 26 77.97 85.78 80.61 80.95 May 25 77.83 85.65 80.47 80.80 May 24 77.47 85.29 80.12 80.42 May 23 77.17 84.99 79.83 80.11 May 22 76.87 84.70 79.53 79.79 May 21 76.57 84.40 79.24 79.47 May 20 76.24 84.07 78.91 79.13 According to reports, petrol price in Delhi crossed Rs 77 per litre for the first time ever on Wednesday while in Mumbai, the petrol price amounted to 1 paise short of Rs 85 per litre. The spree of hike in petrol and diesel prices were triggered following a peak in the international crude oil rate. Date Delhi (diesel in Rs/per litre) Mumbai Kolkata Chennai May 28 69.17 73.64 71.72 73.03 May 27 69.06 73.53 71.61 72.91 May 26 68.90 73.36 71.45 72.74 May 25 68.75 73.20 71.30 72.58 May 24 68.53 72.96 71.08 72.35 May 23 68.34 72.76 70.89 72.14 May 22 68.08 72.48 70.63 71.87 May 21 67.82 72.21 70.37 71.59 May 20 67.57 71.94 70.12 71.32 The price rise was primarily caused to the sanctions re-imposed by the US against Iran and Venezuela, two among the handful of oil exporting nations.

No relief for commuters as fuel prices continue to soar for 15th straight day

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