Oil steadies as U.S. refineries avoid worst of storm Laura

28.08.2020 - Petr Mazaylo
Oil steadies as U.S. refineries avoid worst of storm Laura

Oil prices dropped on Friday as a massive hurricane hit key U.S. oil production in Louisiana and Texas without causing widespread damage to the facilities.

U.S. West Texas Intermediate crude futures fell 0.1%, or 3 cents, at $43.01 per barrel. WTI is on course for a 1.6% climb this week, on its fourth straight week of gains.

Brent crude futures for October delivery, which is due to expire on Friday, gained 2 cents to $45.11 per barrel. The November contract rose 3 cents to $45.63 per barrel.

Hurricane Laura made landfall in Louisiana early Thursday with winds of 150 miles per hour (240 km per hour). The storm cut power to over 650,000 people in Louisiana and Texas, but oil refineries were left undamaged. However, public buildings and private properties were destroyed.

U.S. producers had closed down 1.56 million bpd of crude output in the Gulf of Mexico, which accounted for 83% of the region’s production. Nine refineries shut nearly 2.9 million bpd of capacity or 15% of total U.S. processing capacity before Laura hit the Louisiana coast. 

Risk disclaimer "Market Solutions Ltd – Suite 305 Griffith Corporate Centre P.O. Box 1510 Beachmont, Kingstown, St Vincent and the Grenadines is a financial services institution outside the European Union Area, which is subject to the supervision of the IFMRRC Certificate 0395 AA V0128 Trading in Forex/ CFDs and Other Derivatives is highly speculative and carries a high level of risk. It is possible to lose all your capital. 70% of trading deals can be unprofitable. These products may not be suitable for everyone and you should ensure that you understand the risks involved. Seek independent advice if necessary. Speculate only with funds that you can afford to lose. This Website may contain information in particular regarding financial services and products that could be regarded b a E.U. supervisory authority as an offer of financial services targeted in Europe. ESMA intervention measures do not apply to customers of Market solutions Ltd and it is your responsibility to choose a company which is most suitable for your trading needs. By clicking continue you confirm that you have read, understood and agree to the risk disclosures, terms of service, cash policies, privacy policies and this notice and that you are visiting this website on your own initiative, without any encouragement whatsoever from umarkets.ai or Market Solutions limited." Cookies notification: We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we assume that you are happy with it. Read more. Continue
×

Help with deposit?