Oil prices settled lower on Friday on supply concerns, but still managed to post a fourth consecutive weekly gain as the US imposed new sanctions on Russia’s energy industry amid the war with Ukraine.
Brent, the benchmark for two thirds of the world’s oil, closed 0.62 per cent lower at $80.79 a barrel. West Texas Intermediate, the gauge that tracks US crude, shed 1.02 per cent to settle at $77.88 a barrel.
Oil prices are on the rise “helped by a cold weather fanning demand, the fall in US inventories and multiple risks to shipments”, said Vijay Valecha, chief investment officer at Century Financial.
“In addition to the curbs against Russia, traders are concerned the incoming [Donald] Trump administration may both tighten sanctions against Iran and impose trade levies that disrupt oil flows or risk drawing retaliatory measures,” he added.
Last week, the US and UK toughened sanctions on Russia's energy industry, intensifying pressure on Moscow as the war in Ukraine nears its fourth year. The new measures, designed to hit Moscow's energy revenue that is fuelling its war machine, targets individuals and Russian entities including Gazprom Neft and Surgutneftegas, both major players in the Russian oil industry.
The measures also take aim at oil-carrying vessels – many of which are part of the “shadow fleet” engaged in the illegal trade of Russian oil – as well as Russia-based oilfield service providers, energy officials and “opaque traders”, according to a statement from the US Department of the Treasury.
Falling US oil stock and continued cold weather in the US and Europe is also supporting oil prices. For the week ending January 10, US commercial crude oil inventories decreases by 2 million barrels from the previous week, the latest data from the Energy Information Administration shows. At 412.7 million barrels, US crude oil inventories are about 6 per cent below the five-year average for this time of year.
Traders are also keeping a close eye on the incoming Trump administration and what polices it will institute in relation to Iran and trade. During his previous term in the White House, Mr Trump exerted maximum pressure on Iran to limit its energy exports and reduce revenue in response to its nuclear programme.
"Donald Trump’s tariff threats and plans to jolt the energy space with further sanctions against oil-producing countries like Iran, Russia and Venezuela threaten to maintain the upside pressure in oil prices this year," said Ipek Ozkardeskaya, senior analyst at Swissquote Bank.
"Although Trump explicitly wants to finish with the war in Ukraine, members of his new team say that they support further sanctions against Russian oil giants. On top, Trump will tighten his grip on Iran against its nuclear work and punish Venezuela for its anti-democratic turn."
Tips to keep your car cool
- Place a sun reflector in your windshield when not driving
- Park in shaded or covered areas
- Add tint to windows
- Wrap your car to change the exterior colour
- Pick light interiors - choose colours such as beige and cream for seats and dashboard furniture
- Avoid leather interiors as these absorb more heat
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
UAE currency: the story behind the money in your pockets
Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates
Tearful appearance
Chancellor Rachel Reeves set markets on edge as she appeared visibly distraught in parliament on Wednesday.
Legislative setbacks for the government have blown a new hole in the budgetary calculations at a time when the deficit is stubbornly large and the economy is struggling to grow.
She appeared with Keir Starmer on Thursday and the pair embraced, but he had failed to give her his backing as she cried a day earlier.
A spokesman said her upset demeanour was due to a personal matter.
MATCH INFO
Rugby World Cup (all times UAE)
Final: England v South Africa, Saturday, 1pm
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Day 3, Dubai Test: At a glance
Moment of the day Lahiru Gamage, the Sri Lanka pace bowler, has had to play a lot of cricket to earn a shot at the top level. The 29-year-old debutant first played a first-class game 11 years ago. His first Test wicket was one to savour, bowling Pakistan opener Shan Masood through the gate. It set the rot in motion for Pakistan’s batting.
Stat of the day – 73 Haris Sohail took 73 balls to hit a boundary. Which is a peculiar quirk, given the aggressive intent he showed from the off. Pakistan’s batsmen were implored to attack Rangana Herath after their implosion against his left-arm spin in Abu Dhabi. Haris did his best to oblige, smacking the second ball he faced for a huge straight six.
The verdict One year ago, when Pakistan played their first day-night Test at this ground, they held a 222-run lead over West Indies on first innings. The away side still pushed their hosts relatively close on the final night. With the opposite almost exactly the case this time around, Pakistan still have to hope they can salvage a win from somewhere.
EA Sports FC 25
Developer: EA Vancouver, EA Romania
Publisher: EA Sports
Consoles: Nintendo Switch, PlayStation 4&5, Xbox One and Xbox Series X/S
Rating: 3.5/5
THE DETAILS
Solo: A Star Wars Story
Director: Ron Howard
2/5
Brief scoreline:
Burnley 3
Barnes 63', 70', Berg Gudmundsson 75'
Southampton 3
Man of the match
Ashley Barnes (Burnley)
