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2/2/2016, 4:39 PM (Source: TeleTrader)
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Crude slides with more reports on weaker profits

Oil futures increased sharp losses on Tuesday as Imperial Oil Ltd. of Canada said its net income in the fourth quarter fell sevenfold, continuing the streak of losses posted by energy companies. The profit dropped to C$102 million ($72.53 million) or 12 Canadian cents per diluted share, from C$671 million or 79 cents from the same period of 2014, according to the report. Imperial is majority owned by Exxon Mobil Corp. The Canadian dollar, also called loonie, sunk in value compared the euro and fell significantly against its United States counterpart.

Earlier in the day, Exxon revealed earnings of $2.8 billion for the past quarter on Tuesday, while the figure for the whole year of $16.2 billion was more than halved compared to $32.5 from 2014. Earnings for the last three months compare to $6.6 billion from the same quarter of last year. Exxon Mobil said the figure translates to $0.67 per diluted share, 57% less than a year before. 

Petroleum companies have been suffering in the upstream segment from a crash in oil prices. BP today posted a full-year loss of $6.5 billion for last year, compared to a profit of $3.8 billion a year before. WTI oil for delivery in March sunk 4.52% to $29.9 a barrel at 4:23 p.m. CET, after touching $29.81 earlier in the session. At the same time, Brent for shipment in April tumbled 4.62% to $32.53 a barrel, compared to today's low of $32.23. 

The Canadian dollar lost 1.3% versus the euro and 0.96% against the greenback. Exxon lost 3.01% at 4:22 p.m. CET in New York, while BP was heading to close 8.87% down in London and Imperial Oil was 3.49% in the red in Toronto.

Baha Breaking News (BBN) / IT