By David Lawder
WASHINGTON (Reuters) - U.S. officials will on
Monday release partial transcripts of three phone conversations the man
who killed 49 people in a Florida gay nightclub last week had with
police as the massacre unfolded, Attorney General Loretta Lynch said on
Sunday.
Lynch, speaking on CNN's "State of the Union" talk show,
said the Orlando shooting incident was "an act of terror and an act of
hate", but she declined to say what charges may be filed nor who may be
charged in the case.
The
transcripts of the conversations between deceased gunman Omar Mateen
and law enforcement negotiators will "talk about what he told law
enforcement on the ground as the events were unfolding," Lynch said.
"As
we have said earlier, he talked about his pledges of allegiance to a
terrorist group. He talked about his motivations for why he was claiming
at that time he was committing his horrific act," the Attorney General
said.
Lynch said, however, that the transcripts would be edited
to "avoid revictimizing those who went through this horror, but it will
contain the substance of his conversations."
She told ABC's "This Week" program the transcripts would not include his pledge of allegiance to Islamic State.
Lynch
also said she would travel to Orlando on Tuesday to confer with
investigators and meet survivors of the worst domestic shooting incident
in American history.
She declined to say whether a federal grand
jury was likely to charge Mateen's second wife, Noor Salman. U.S.
officials have said Salman knew of her husband's plans to carry out the
attack.
"Because this investigation is open and ongoing, we're
not commenting on anyone else's role in it right now, except to say that
we are talking to everyone who knew him, and that of course includes
his family, to determine what they knew, what they saw in the days and
weeks leading up to this," Lynch said.
#Free Forex Signal
Sunday, June 19, 2016
Indian central bank chief felt undermined in weeks before quitting: sources
By Rupam Jain, Rajesh Kumar Singh and Suvashree Choudhury
NEW DELHI/MUMBAI (Reuters) - Indian central bank governor Raghuram Rajan's abrupt decision to quit came as he increasingly felt he lacked support from his political bosses Finance Minister Arun Jaitley and Prime Minister Narendra Modi, according to friends and colleagues.
A newspaper report a week ago that a selection panel would consider a field of candidates rather than directly offer the former IMF chief economist an extension to his three-year term, effectively forcing him to reapply for his own job, may have been the final straw, according to these people and a finance ministry source.
"He felt it would belittle the position of the RBI governor if he had to appear before the committee," said one senior commercial banker who knows Rajan personally but had not spoken to him since his decision.
"It would reveal a lack of government support. Rather than have two more years of constant quibbling, he decided to go."
The darling of international investors was also upset that Jaitley had not backed him more strongly after criticism from Hindu nationalists of both his policies and his perceived lack of "Indian-ness", the sources said.
Rajan joked when he took over the top job at the Reserve Bank of India in September 2013 that he wasn't expecting to win any votes or Facebook (NASDAQ:FB) 'likes' in the position.
But the hostility he had faced of late from elements of Modi's ruling party was evidently greater than he had counted on, the sources said.
When Rajan decided to leave, he did so without warning and on his own terms: in a sign of growing tensions he did not inform top members of the government before releasing an open letter to staff on Saturday, a move that took investors and the government by surprise.
NO CONTACT
In his letter, Rajan said he had been open to seeing through changes he championed such as the creation of a monetary policy committee to set interest rates and a clean-up of the banking sector.
But he added: "On due reflection, and after consultation with the government, I want to share with you that I will be returning to academia when my term as governor ends on Sept. 4, 2016."
Rajan was not available for comment but will face questions on the motives for his abrupt withdrawal at a speaking engagement on Monday afternoon in Mumbai. Less than two weeks ago, he laughed off speculation about his future after an RBI policy meeting, saying: "You will know when there is news."
Five sources familiar with the matter said Rajan had not contacted Modi's office directly. Nor was a meeting or discussion between the two planned, said one senior official.
Modi has not commented, tweeting instead on Sunday about the forthcoming World Yoga Day.
Jaitley had been in his office on Saturday and gave no indication of concern about Rajan's future, leaving for home before the news broke, an aide said.
The finance minister tweeted after a delay of more than two hours that he respected Rajan's decision.
It was unclear whether Rajan had briefed senior staff at the Reserve Bank of India since his bombshell decision.
"I am surprised," said one person who has worked with Rajan and who spoke on condition of anonymity. "A week back he was sounding very much interested in serving a second term."
SAFFRON POSSE
Rajan had for weeks faced intense pressure from Subramanian Swamy, a politician in Modi's Bharatiya Janata Party (BJP) who, say sources familiar with the matter, was acting with the backing of the Hindu-nationalist umbrella group to which the BJP is affiliated, the Rashtriya Swayamsevak Sangh (RSS).
Swamy, a 76-year-old former Harvard economist with a record of aggressive anti-corruption litigation, wrote an open letter to Modi a month ago accusing Rajan of being "mentally not fully Indian" and calling on the prime minister to "terminate" him with immediate effect.
The broadside from Swamy came soon after he was handed a seat in India's upper house of parliament by the ruling party, creating the impression that he was acting on good authority.
Challenged to respond to Swamy, Jaitley merely said that Rajan's candidacy should not be discussed publicly.
"As a colleague I could see he looked hurt," said one senior policymaker who works with Rajan. "You can question my efficiency, but if you question my loyalty to my job, then one would expect your employer to stand up and defend - and not stay silent."
Yet it was Rajan's own forays into politically sensitive territory that led the Hindu right to target him - in particular over a speech last October to students in Delhi in which he said that social tolerance was vital for a country's development.
"NO-GO ZONE"
The issue of "intolerance" has been a catalyst of controversy under Modi, driving to the heart of whether the overt message of development for all that he campaigned on to win the 2014 general election can hold, or whether a more divisive Hindu-first agenda will prevail under his party's rule.
Questions about where Modi stands on the issue date back to early in his term as chief minister of Gujarat, where more than 1,000 people, most of them minority Muslims, died in communal rioting in 2002. He was dogged for years by allegations that he either turned a blind eye to, or even encouraged, the attacks until a court-ordered probe found there was not enough evidence to prosecute him. Throughout, Modi has denied wrongdoing.
"It was Modi who protected him for the longest time but the defense wall collapsed when Rajan entered the no-go zone of politics," one senior RSS official told Reuters, speaking on condition of anonymity.
After he was appointed by the last Congress government, the 53-year-old Rajan took extended leave from his post as a finance professor at the University of Chicago's Booth School of Business. This would have lapsed had he not returned in time for the fall semester.
Friends also say his family had wanted him to return - his wife has remained teaching in Chicago.
One senior official said Rajan had signaled his willingness to work until next March - the deadline he had set for completing a clean-up of bad debts in the banking sector. This had not been seen as workable, however, with a "natural" departure at the end of his term rather than an "unnatural" exit later viewed as a less bad option.
NEW DELHI/MUMBAI (Reuters) - Indian central bank governor Raghuram Rajan's abrupt decision to quit came as he increasingly felt he lacked support from his political bosses Finance Minister Arun Jaitley and Prime Minister Narendra Modi, according to friends and colleagues.
A newspaper report a week ago that a selection panel would consider a field of candidates rather than directly offer the former IMF chief economist an extension to his three-year term, effectively forcing him to reapply for his own job, may have been the final straw, according to these people and a finance ministry source.
"He felt it would belittle the position of the RBI governor if he had to appear before the committee," said one senior commercial banker who knows Rajan personally but had not spoken to him since his decision.
"It would reveal a lack of government support. Rather than have two more years of constant quibbling, he decided to go."
The darling of international investors was also upset that Jaitley had not backed him more strongly after criticism from Hindu nationalists of both his policies and his perceived lack of "Indian-ness", the sources said.
Rajan joked when he took over the top job at the Reserve Bank of India in September 2013 that he wasn't expecting to win any votes or Facebook (NASDAQ:FB) 'likes' in the position.
But the hostility he had faced of late from elements of Modi's ruling party was evidently greater than he had counted on, the sources said.
When Rajan decided to leave, he did so without warning and on his own terms: in a sign of growing tensions he did not inform top members of the government before releasing an open letter to staff on Saturday, a move that took investors and the government by surprise.
NO CONTACT
In his letter, Rajan said he had been open to seeing through changes he championed such as the creation of a monetary policy committee to set interest rates and a clean-up of the banking sector.
But he added: "On due reflection, and after consultation with the government, I want to share with you that I will be returning to academia when my term as governor ends on Sept. 4, 2016."
Rajan was not available for comment but will face questions on the motives for his abrupt withdrawal at a speaking engagement on Monday afternoon in Mumbai. Less than two weeks ago, he laughed off speculation about his future after an RBI policy meeting, saying: "You will know when there is news."
Five sources familiar with the matter said Rajan had not contacted Modi's office directly. Nor was a meeting or discussion between the two planned, said one senior official.
Modi has not commented, tweeting instead on Sunday about the forthcoming World Yoga Day.
Jaitley had been in his office on Saturday and gave no indication of concern about Rajan's future, leaving for home before the news broke, an aide said.
The finance minister tweeted after a delay of more than two hours that he respected Rajan's decision.
It was unclear whether Rajan had briefed senior staff at the Reserve Bank of India since his bombshell decision.
"I am surprised," said one person who has worked with Rajan and who spoke on condition of anonymity. "A week back he was sounding very much interested in serving a second term."
SAFFRON POSSE
Rajan had for weeks faced intense pressure from Subramanian Swamy, a politician in Modi's Bharatiya Janata Party (BJP) who, say sources familiar with the matter, was acting with the backing of the Hindu-nationalist umbrella group to which the BJP is affiliated, the Rashtriya Swayamsevak Sangh (RSS).
Swamy, a 76-year-old former Harvard economist with a record of aggressive anti-corruption litigation, wrote an open letter to Modi a month ago accusing Rajan of being "mentally not fully Indian" and calling on the prime minister to "terminate" him with immediate effect.
The broadside from Swamy came soon after he was handed a seat in India's upper house of parliament by the ruling party, creating the impression that he was acting on good authority.
Challenged to respond to Swamy, Jaitley merely said that Rajan's candidacy should not be discussed publicly.
"As a colleague I could see he looked hurt," said one senior policymaker who works with Rajan. "You can question my efficiency, but if you question my loyalty to my job, then one would expect your employer to stand up and defend - and not stay silent."
Yet it was Rajan's own forays into politically sensitive territory that led the Hindu right to target him - in particular over a speech last October to students in Delhi in which he said that social tolerance was vital for a country's development.
"NO-GO ZONE"
The issue of "intolerance" has been a catalyst of controversy under Modi, driving to the heart of whether the overt message of development for all that he campaigned on to win the 2014 general election can hold, or whether a more divisive Hindu-first agenda will prevail under his party's rule.
Questions about where Modi stands on the issue date back to early in his term as chief minister of Gujarat, where more than 1,000 people, most of them minority Muslims, died in communal rioting in 2002. He was dogged for years by allegations that he either turned a blind eye to, or even encouraged, the attacks until a court-ordered probe found there was not enough evidence to prosecute him. Throughout, Modi has denied wrongdoing.
"It was Modi who protected him for the longest time but the defense wall collapsed when Rajan entered the no-go zone of politics," one senior RSS official told Reuters, speaking on condition of anonymity.
After he was appointed by the last Congress government, the 53-year-old Rajan took extended leave from his post as a finance professor at the University of Chicago's Booth School of Business. This would have lapsed had he not returned in time for the fall semester.
Friends also say his family had wanted him to return - his wife has remained teaching in Chicago.
One senior official said Rajan had signaled his willingness to work until next March - the deadline he had set for completing a clean-up of bad debts in the banking sector. This had not been seen as workable, however, with a "natural" departure at the end of his term rather than an "unnatural" exit later viewed as a less bad option.
Italy's Ferragamo CEO sees no let-up in luxury sector slowdown
MILAN (Reuters)
Salvatore Ferragamo (MI:SFER) will focus on boosting profits this year to combat lower growth in the luxury industry as a whole, its outgoing chief executive said on Sunday.
Slower economic growth in China, plunging oil prices, volatile exchange rates and security threats that have curbed tourist flows have all put the brakes on spending on upmarket handbags, shoes and other accessories.
Ferragamo posted a larger-than-expected 5 percent rise in first-quarter core profit in May but revenue fell 2 percent to 321 million euros ($362 million).
Speaking before the brand's menswear show at Milan Men's Fashion Week, Chief Executive Michele Norsa said the luxury sector would have to focus on managing risks.
"Growth will not be as strong as in past years, when the Chinese economy and new markets have been opportunities for the industry," said Norsa.
He said Florence-based Ferragamo, whose founder designed ballet shoes for Audrey Hepburn, is on track to continue increasing profitability and that it would not be affected if Britain voted to leave the European Union.
Ferragamo will continue to focus on widening the profit margins on its products rather than pushing sales, "given the growth of volumes will be hard to forecast", Norsa said.
Norsa, who has been at the helm of the luxury group for a decade and presided over its stock market debut in 2011, is due to leave by the end of the year. He will be replaced by Eraldo Poletto, former head of handbag maker Furla.
Ferragamo's shares have more than doubled in value in the five years since the listing, but have slid 9 percent so far this year as the luxury industry faces weakened demand.
Salvatore Ferragamo (MI:SFER) will focus on boosting profits this year to combat lower growth in the luxury industry as a whole, its outgoing chief executive said on Sunday.
Slower economic growth in China, plunging oil prices, volatile exchange rates and security threats that have curbed tourist flows have all put the brakes on spending on upmarket handbags, shoes and other accessories.
Ferragamo posted a larger-than-expected 5 percent rise in first-quarter core profit in May but revenue fell 2 percent to 321 million euros ($362 million).
Speaking before the brand's menswear show at Milan Men's Fashion Week, Chief Executive Michele Norsa said the luxury sector would have to focus on managing risks.
"Growth will not be as strong as in past years, when the Chinese economy and new markets have been opportunities for the industry," said Norsa.
He said Florence-based Ferragamo, whose founder designed ballet shoes for Audrey Hepburn, is on track to continue increasing profitability and that it would not be affected if Britain voted to leave the European Union.
Ferragamo will continue to focus on widening the profit margins on its products rather than pushing sales, "given the growth of volumes will be hard to forecast", Norsa said.
Norsa, who has been at the helm of the luxury group for a decade and presided over its stock market debut in 2011, is due to leave by the end of the year. He will be replaced by Eraldo Poletto, former head of handbag maker Furla.
Ferragamo's shares have more than doubled in value in the five years since the listing, but have slid 9 percent so far this year as the luxury industry faces weakened demand.
Britain's rival EU camps resume campaign as polls show momentum for 'In'
By William James
LONDON (Reuters) - Campaigning for Britain's vote on EU membership resumed on Sunday after a three-day hiatus prompted by the killing of a pro-EU lawmaker, but pledges of a more respectful tone were quickly tested by a fresh row over immigration.
Three opinion polls ahead of Thursday's vote showed the 'Remain' camp recovering some momentum although the overall picture remained one of an evenly split electorate.
The murder of Jo Cox, a 41-year-old mother of two young children, shocked Britain, raised questions about the tone of campaigning and could yet prove a defining moment in what is Britain biggest political decision for decades.
Both sides sought to adopt a more measured style on Sunday, paying their respects to Cox but sticking closely to the immigration versus economy debate that has defined the campaign.
"I hope, because of the tragic death of Jo, we can have a less divisive political debate in our country," finance minister George Osborne, a leading conservative 'Remain' campaigner, told ITV's Peston on Sunday show.
"Particularly in the last few days of this referendum we’re going to have less baseless assertion and inflammatory rhetoric and more reasoned argument and facts," he said.
Cox, a Labour Party lawmaker and ardent supporter of EU membership, was shot and stabbed in the street in her electoral district in northern England on Thursday. A 52-year-old man appeared in a London magistrate's court on Saturday, charged with her murder.
Both 'Remain' and 'Leave' halted their campaigns until Sunday morning.
But the heated nature of the debate, which has so far seen 'In' campaigners accused of scaremongering on the economy and the 'Out' campaign's immigration focus criticized as divisive, soon resurfaced after the temporary truce.
Osborne criticized as "disgusting and vile" a poster unveiled by 'Leave' campaigners last week showing a line of refugees under the slogan 'Breaking Point', saying it was reminiscent of literature used in the 1930s.
UK Independence Party (UKIP) leader Nigel Farage, who was pictured in front of the poster, said the EU had failed to control immigration properly and had compromised safety in Europe by allowing in religious extremists who wanted to attack Western states.
"Something that is true can't be a scare, can it?," Farage told BBC radio when asked about the poster. "It was a comment about us being part of a European Union that is failing."
LACK OF CONTROL
The official 'Vote Leave' campaign sought to distance itself from the poster but defended its focus on immigration - an issue that has resonated with many voters.
"The debate in this referendum is about our lack of control over economic migration from parts of Europe whose economies are being destroyed by the euro," said Vote Leave chairwoman Gisela Stuart. "This is now affecting families in Britain."
Farage also appeared to indicate he thought Cox's killing had had an adverse effect on the 'Out' campaign.
"It has an impact on the campaign for everybody," he told Peston on Sunday when asked whether it would affect the referendum outcome. "We did have momentum until this terrible tragedy."
The only poll fully carried out since the killing showed support for "In" at 45 percent ahead of "Out" on 42 percent - a reversal of the three-point lead that the pollster, Survation, showed for 'Out' in a poll conducted on Wednesday.
Two other polls published on Saturday showed the 'Remain' campaign had regained its lead over 'Leave', while another showed the two camps running neck-and-neck.
However, pollsters said most of these surveys were carried out before Thursday's attack and thus did not reflect the full impact of the event.
"We are now in the final week of the referendum campaign and the swing back toward the status quo appears to be in full force," Anthony Wells, a director with polling firm YouGov, said.
LONDON (Reuters) - Campaigning for Britain's vote on EU membership resumed on Sunday after a three-day hiatus prompted by the killing of a pro-EU lawmaker, but pledges of a more respectful tone were quickly tested by a fresh row over immigration.
Three opinion polls ahead of Thursday's vote showed the 'Remain' camp recovering some momentum although the overall picture remained one of an evenly split electorate.
The murder of Jo Cox, a 41-year-old mother of two young children, shocked Britain, raised questions about the tone of campaigning and could yet prove a defining moment in what is Britain biggest political decision for decades.
Both sides sought to adopt a more measured style on Sunday, paying their respects to Cox but sticking closely to the immigration versus economy debate that has defined the campaign.
"I hope, because of the tragic death of Jo, we can have a less divisive political debate in our country," finance minister George Osborne, a leading conservative 'Remain' campaigner, told ITV's Peston on Sunday show.
"Particularly in the last few days of this referendum we’re going to have less baseless assertion and inflammatory rhetoric and more reasoned argument and facts," he said.
Cox, a Labour Party lawmaker and ardent supporter of EU membership, was shot and stabbed in the street in her electoral district in northern England on Thursday. A 52-year-old man appeared in a London magistrate's court on Saturday, charged with her murder.
Both 'Remain' and 'Leave' halted their campaigns until Sunday morning.
But the heated nature of the debate, which has so far seen 'In' campaigners accused of scaremongering on the economy and the 'Out' campaign's immigration focus criticized as divisive, soon resurfaced after the temporary truce.
Osborne criticized as "disgusting and vile" a poster unveiled by 'Leave' campaigners last week showing a line of refugees under the slogan 'Breaking Point', saying it was reminiscent of literature used in the 1930s.
UK Independence Party (UKIP) leader Nigel Farage, who was pictured in front of the poster, said the EU had failed to control immigration properly and had compromised safety in Europe by allowing in religious extremists who wanted to attack Western states.
"Something that is true can't be a scare, can it?," Farage told BBC radio when asked about the poster. "It was a comment about us being part of a European Union that is failing."
LACK OF CONTROL
The official 'Vote Leave' campaign sought to distance itself from the poster but defended its focus on immigration - an issue that has resonated with many voters.
"The debate in this referendum is about our lack of control over economic migration from parts of Europe whose economies are being destroyed by the euro," said Vote Leave chairwoman Gisela Stuart. "This is now affecting families in Britain."
Farage also appeared to indicate he thought Cox's killing had had an adverse effect on the 'Out' campaign.
"It has an impact on the campaign for everybody," he told Peston on Sunday when asked whether it would affect the referendum outcome. "We did have momentum until this terrible tragedy."
The only poll fully carried out since the killing showed support for "In" at 45 percent ahead of "Out" on 42 percent - a reversal of the three-point lead that the pollster, Survation, showed for 'Out' in a poll conducted on Wednesday.
Two other polls published on Saturday showed the 'Remain' campaign had regained its lead over 'Leave', while another showed the two camps running neck-and-neck.
However, pollsters said most of these surveys were carried out before Thursday's attack and thus did not reflect the full impact of the event.
"We are now in the final week of the referendum campaign and the swing back toward the status quo appears to be in full force," Anthony Wells, a director with polling firm YouGov, said.
Crude oil futures - weekly outlook: June 20 - 24
Source : Investing.com
Oil futures rose for the first time in seven sessions on Friday, bouncing off four-week lows as a weaker U.S. dollar lent support to the commodity and as concerns over a potential U.K. exit from the European Union temporarily eased.
The dollar fell 0.5% on Friday, retreating from a two-week high the day before. Market sentiment recovered as concerns over a possible Brexit temporarily subsided as traders tried to assess whether the killing of a pro-EU British lawmaker may change the balance of opinions in Britain's upcoming referendum on European Union membership.
On the ICE Futures Exchange in London, Brent oil for August delivery jumped $1.98, or 4.2%, to settle at $49.17 a barrel by close of trade on Friday. A day earlier, Brent prices dropped to $46.94, a level not seen since May 12.
Despite Friday’s gains, London-traded Brent futures lost $1.25, or 2.71% on the week, as global concerns over a potential Brexit weighed on appetite for riskier assets.
A vote by Britain to leave the European Union may tip Europe back into recession, putting more pressure on the global economy and undermining future oil demand prospects.
Brent futures prices are nearly 7% below a 2016 high of $52.86 struck earlier this month amid easing concerns over global supply disruptions.
Elsewhere, on the New York Mercantile Exchange, crude oil for delivery in July advanced $1.77, or 3.83%, to end the week at $47.98 a barrel. Prices dropped to $45.83 earlier, the lowest since May 13.
For the week, New York-traded oil futures slumped 87 cents, or 2.22%, on signs of a potential recovery in domestic drilling activity.
Oilfield services provider Baker Hughes said late Friday that the number of rigs drilling for oil in the U.S. increased by nine last week to 337, the third straight weekly rise.
The renewed gain in U.S. drilling activity fueled speculation that domestic production could be on the verge of rebounding in the weeks ahead, underlining worries over a supply glut.
U.S. crude futures are down almost 8% since hitting a 2016 high close to $52 a barrel on June 9. Despite recent losses, Nymex oil prices are still up nearly 80% since falling to 13-year lows at $26.05 in early February. However, with prices now at levels that make drilling economical for some firms, the rig count might start rising soon and the decline in U.S. production may slow.
Meanwhile, Brent's premium to the West Texas Intermediate crude contract stood at $1.19 at Friday’s settlement, compared to a gap of 98 cents by close of trade on Thursday.
In the week ahead, market players will be turning their full attention to a highly anticipated referendum on whether Britain remains in the European Union on Thursday.
Oil traders will also be focusing on U.S. stockpile data on Tuesday and Wednesday for fresh supply-and-demand signals.
Ahead of the coming week, Investing.com has compiled a list of these and other significant events likely to affect the markets.
Tuesday, June 21
The American Petroleum Institute, an industry group, is to publish its weekly report on U.S. crude supplies.
Wednesday, June 22
The U.S. Energy Information Administration is to release its weekly report on oil and gasoline stockpiles.
Thursday, June 23
The U.K. will vote on a referendum to decide if it continues to be a part of the European Union.
Friday, June 24
Baker Hughes will release weekly data on the U.S. oil rig count.
Oil futures rose for the first time in seven sessions on Friday, bouncing off four-week lows as a weaker U.S. dollar lent support to the commodity and as concerns over a potential U.K. exit from the European Union temporarily eased.
The dollar fell 0.5% on Friday, retreating from a two-week high the day before. Market sentiment recovered as concerns over a possible Brexit temporarily subsided as traders tried to assess whether the killing of a pro-EU British lawmaker may change the balance of opinions in Britain's upcoming referendum on European Union membership.
On the ICE Futures Exchange in London, Brent oil for August delivery jumped $1.98, or 4.2%, to settle at $49.17 a barrel by close of trade on Friday. A day earlier, Brent prices dropped to $46.94, a level not seen since May 12.
Despite Friday’s gains, London-traded Brent futures lost $1.25, or 2.71% on the week, as global concerns over a potential Brexit weighed on appetite for riskier assets.
A vote by Britain to leave the European Union may tip Europe back into recession, putting more pressure on the global economy and undermining future oil demand prospects.
Brent futures prices are nearly 7% below a 2016 high of $52.86 struck earlier this month amid easing concerns over global supply disruptions.
Elsewhere, on the New York Mercantile Exchange, crude oil for delivery in July advanced $1.77, or 3.83%, to end the week at $47.98 a barrel. Prices dropped to $45.83 earlier, the lowest since May 13.
For the week, New York-traded oil futures slumped 87 cents, or 2.22%, on signs of a potential recovery in domestic drilling activity.
Oilfield services provider Baker Hughes said late Friday that the number of rigs drilling for oil in the U.S. increased by nine last week to 337, the third straight weekly rise.
The renewed gain in U.S. drilling activity fueled speculation that domestic production could be on the verge of rebounding in the weeks ahead, underlining worries over a supply glut.
U.S. crude futures are down almost 8% since hitting a 2016 high close to $52 a barrel on June 9. Despite recent losses, Nymex oil prices are still up nearly 80% since falling to 13-year lows at $26.05 in early February. However, with prices now at levels that make drilling economical for some firms, the rig count might start rising soon and the decline in U.S. production may slow.
Meanwhile, Brent's premium to the West Texas Intermediate crude contract stood at $1.19 at Friday’s settlement, compared to a gap of 98 cents by close of trade on Thursday.
In the week ahead, market players will be turning their full attention to a highly anticipated referendum on whether Britain remains in the European Union on Thursday.
Oil traders will also be focusing on U.S. stockpile data on Tuesday and Wednesday for fresh supply-and-demand signals.
Ahead of the coming week, Investing.com has compiled a list of these and other significant events likely to affect the markets.
Tuesday, June 21
The American Petroleum Institute, an industry group, is to publish its weekly report on U.S. crude supplies.
Wednesday, June 22
The U.S. Energy Information Administration is to release its weekly report on oil and gasoline stockpiles.
Thursday, June 23
The U.K. will vote on a referendum to decide if it continues to be a part of the European Union.
Friday, June 24
Baker Hughes will release weekly data on the U.S. oil rig count.
Subscribe to:
Posts (Atom)