Oil prices dip on refinery shutdown

A Marathon Petroleum refinery in Texas. Hurricane Harvey's aftermath flooding has shut many oil facilities. Carter Smith  Bloomberg

A Marathon Petroleum refinery in Texas. Hurricane Harvey's aftermath flooding has shut many oil facilities. Carter Smith Bloomberg

Gasoline rose still higher post-settlement, after sources told Reuters that Motiva was shuttering the largest us refinery.

"As of Monday afternoon, between 2.5 million bpd and 3.5 million bpd of refining capacity in the Gulf Coast region was offline due to a combination of refineries being shut down or running at reduced rates". "We have no idea when (the refineries will) come back on, the market is taking a wait and see approach".

Contrary to analysts' bullish forecasts before Harvey arrived, the price for West Texas Intermediate (WTI) crude dropped almost three percent on Monday and settled at $46.57 - the worst daily performance since July 7.

By 4:36pm EST, WTI was trading at $46.38 with Brent Crude trading at $51.96.

Trump To Kick Off First Major Tax Reform Effort In 30 Years
Trump says in Springfield, Missouri, that his tax overhaul plan will be "pro-growth, pro-jobs, pro-worker and pro-American". Households in the middle fifth would lose an average of $1,500 once the costs of paying for the Trump tax cuts are counted.

The national US gasoline price on Monday stands at $2.38 per gallon, up more than 5 cents from a week ago.

Preparing for more rain and floods, Total cut production to 53% of capacity at its 225,500 bpd Port Arthur refinery, reported a leading research agency. The contract's peak was $1.7888, the highest for NYMEX gasoline since July 2015. "We're setting up and gearing up for the next couple years", FEMA's Brock Long said today. Onshore, numerous nation's refineries remain offline because of heavy flooding in and around the Houston area.

The storm has set a rainfall record for tropical cyclones in Texas, the National Weather Service said.

The storm caused the closure of many oil platforms in the Gulf, and about a fifth of the region's oil output remained shut down, according to USA authorities.

Danny Drinkwater: Chelsea target hands in transfer request at Leicester
Chelsea are hopeful to sign Leicester City star Danny Drinkwater by the end of the summer transfer window, The Daily Telegraph reports .

Hurricane Katrina caused significant damage to United States refinery and production capacity in the Gulf of Mexico, and forced oil prices to briefly spike to above $70 per barrel in September 2005.

Crude markets were also looking at disruptions in Libya and Colombia.

This has caused prices of both benchmarks to fluctuate higher and lower.

"We are thus lowering our Brent oil price estimates to $55 per barrel from $60 per barrel in 4Q17 (and) to $57 per barrel from $64 per barrel in 2018", Jefferies bank said.

European Union chief believes Turkey wants bloc to halt membership talks
The UK wants to step up the pace of talks, according to the person, who declined to be named because the discussions aren't public.

Latest News