Oil dips toward $82 on firmer dollar, OPEC exports

By Edward McAllister

NEW YORK (BestGrowthStock) – Oil fell nearly one percent toward $82 a barrel on Thursday, ending a two-day rally as the dollar strengthened against the euro amid concern’s about Greece’s debt problems.

An analyst report showing that exports from the Organization of the Petroleum Exporting Countries are expected to rise in the four weeks to April 3 also helped pressured crude.

U.S. crude oil futures fell 73 cents to settle at $82.20 per barrel, after rising more than $3 in the previous two sessions. ICE Brent crude lost 48 cents to settle at $81.48.

“The correlation between the financial markets and crude continues. The dollar’s rebound and what was mostly a down day in the equity markets seemed to take some of the steam out of the two-day rally that that pushed crude prices above $83,” said Gene McGillian, analysts at Tradition Energy in Stamford, Connecticut.

The euro fell (Read more about the trembling euro. ) against the dollar on Thursday on persistent worries over Greece’s debt problems after a report said the country was not optimistic about aid from euro zone members.

Crude prices tend to fall with a stronger dollar, as investors seek the safer haven of the dollar over commodities.

Adding pressure to crude was a report showing seaborne oil exports by OPEC, excluding Angola and Ecuador, will rise by 70,000 barrels per day in the four weeks to April 3, according to an analyst at UK consultancy Oil Movements.

Ministers from OPEC had agreed on Wednesday to maintain the official existing cuts of 4.2 million barrels per day. But some member countries have been pumping oil above their output targets.

OPEC’s Secretary General said the group did not push member countries about the compliance too much at the meeting and the oil minister of Saudi Arabia, its largest producer, said he was “very happy” with “beautiful prices.

The group is even likely to continue to leave its oil output quotas unchanged at its next meeting in October, Kuwaiti Oil Minister Sheikh Ahmad al-Abdullah al-Sabah told Reuters on Thursday.

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(Additional reporting by Haitham Haddadin in New York, Ikuko Kurahone in London and Jennifer Tan in Singapore; Editing by Marguerita Choy)

Oil dips toward $82 on firmer dollar, OPEC exports