* Brent and WTI set for weekly declines. * European Union ban on Russian refined products begins Feb. 5. * Russia says EU oil products ban will unbalance markets. By Stephanie Kelly.
China's independent refineries are ramping up imports of discounted fuel oil blended from Russian barrels to use as low-cost feedstock amid a shortage of government crude oil import quotas for some of them, according to trade sources and data.
Oil prices fell more than 2% on Friday in a volatile session, after strong U.S. jobs data raised concerns about higher interest rates and as investors sought more clarity on the imminent EU embargo on Russian refined products.
Oil prices made modest gains in early trade on Friday but were heading for a second straight week of losses, as the market looked for more signs of a strong recovery in fuel demand in China to offset looming slumps in other major economies.
U.S. pipeline operator Magellan Midstream Partners LP (MMP) on Thursday predicted crude oil flows from the Permian Basin will shift toward Houston as shale production rises and lines to export hub Corpus Christi fill. A surge in U.S. oil exports has pushed more and more barrels of crude from the Permian basin of West Texas and New Mexico to the port of Corpus Christi, the top U.S. oil export hub.
- The European Union's ban on imports of Russian refined oil products, including diesel and jet fuel, will disrupt global flows once it takes effect on Sunday and could hurt Moscow more than an embargo on crude oil.
* U.S. factory orders rebound, but machinery orders dip. * U.S. dollar rebounds. * Russian oil ban seen limiting crude price losses. By Laila Kearney. Oil prices settled lower on Thursday as U.S. industrial-linked factory orders dipped, while the dollar strengthened, making crude more expensive for non-American buyers.
Oil prices settled lower on Thursday as U.S. industrial-linked factory orders dipped, while the dollar strengthened, making crude more expensive for non-American buyers.
Oil prices rose in early Asian trade on Thursday after the U.S. Federal Reserve raised interest rates by 25 basis points, sending the dollar lower. Brent crude futures rose 56 cents, or 0.7%, at $83.40 a barrel while West Texas Intermediate U.S. crude futures rose 65 cents, or 0.8%, to $77.05 a barrel.
EU countries will seek a deal on Friday on a European Commission proposal to set price caps on Russian oil products, after postponing a decision on Wednesday amid divisions between member states, diplomats said.
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