By now, the story of how Russia used fake news to push its own agenda in the United States is well known.

But it’s not just Kremlin-produced disinformation that Americans may have stumbled upon recently. Browsing Facebook and Twitter — and even just perusing the magazine rack at their local Walmart — they may have also been exposed to propaganda supporting the ambitious goals of two oil-rich Arab Gulf countries.

Saudi Arabia and the United Arab Emirates have long spent huge sums of money on Washington lobbyists and public relations firms to win favor with those in power in the United States and those who influence them. But when Saudi Arabia and the UAE launched a boycott and blockade of the tiny peninsula state of Qatar last year, organizations with ties to Riyadh and Abu Dhabii tried something new: They worked to sway American public opinion through online and social media campaigns, bringing a complicated, distant conflict among three Washington allies to US shores.

The Gulf crisis began in June 2017 when Saudi Arabia and the UAE led other Arab countries in cutting diplomatic relations with Qatar. They accused Qatar of supporting terrorism and destabilizing the region, a charge Doha rejects. After initiating an economic blockade, the boycotting countries issued a list of 13 demands for Qatar to meet, including aligning foreign policy with theirs, ending support for the Muslim Brotherhood, shuttering the satellite news channel Al Jazeera and cutting ties with Iran.

As they took steps against Doha, Saudi Arabia and the UAE also initiated propaganda efforts in the US aimed at weakening Washington’s alliance with Qatar — which hosts the largest American military base in the Middle East — while also enhancing their own images.

Take, for example, The Qatar Insider.

The anti-Qatar website went live last year, advertising itself as “your comprehensive source for information on #QatarCrisis.” It pushed a steady stream of clickbait-style disinformation, often relying on catchy, misleading infographics to try to draw in an audience.

It wasn’t an ordinary news outlet. The Saudi American Public Relation Affairs Committee (SAPRAC), a pro-Saudi lobby group not officially tied to the Saudi government, paid $2.6 million last year to the now-defunct, Washington-based lobbying firm the Podesta Group for public affairs services that included running the anti-Qatar website and its associated social media properties.

Among The Qatar Insider’s claims were that Qatar had spent a whopping $64.2 billion on supporting terrorism between 2010 and 2015 (citing the “US Treasury” as a source); that Qatar not only supports ISIS, but trained its fighters; that al-Qaeda’s 9/11 mastermind Khalid Sheikh Mohammed (who is imprisoned at Guantanamo Bay) is being “sheltered” by Qatar; that the Qatari state has openly threatened to carry out genocide on its people to quiet dissent; and that in preparing for the 2022 World Cup, Qatar has bankrolled Pyongyang’s dictatorship and nuclear program by allowing North Korean workers to work on World Cup infrastructure projects.

TV ads aired in the US by the Podesta Group that advertised The Qatar Insider were identified to viewers as “distributed by SAPRAC” and “sponsored by the embassy of Bahrain,” a close Saudi ally that was involved in funding SAPRAC. But The Qatar Insider’s website made no mention of the Podesta Group, SAPRAC or the Saudi or Bahraini governments. It was laid out like a news site, with its “about us” section describing it as “the comprehensive source for information on the truth about Qatar’s funding, activities and support for terrorist and extreme Islamist groups.”

In its contract with the SAPRAC, the Podesta Group wrote that their online campaign would target “low-hanging fruit,” which they described as users who were actively seeking information about Saudi Arabia and Qatar. The goal was to ensure “that they see the content we want them to see at the top of their search results.”

Along with painting Qatar as a terror-friendly nation, The Qatar Insider encouraged the US to remove its Al Udeid Air Base, which is home to the forward headquarters of the US Central Command, from Qatar and lobbied against Qatar hosting the 2022 World Cup.

SCL Social Limited, which is owned by the same parent company as Cambridge Analytica, took an approach similar to the Podesta Group when it was awarded a $333,000 contract for social media outreach on behalf of the UAE’s government.

Last September, the company spent more than $60,000 on ads on Facebook, YouTube, Twitter and other online platforms to promote the #BoycottQatar hashtag and link to a mix of articles critical of Qatar alongside disinformation.

Their ads were blunt and focused on Americans: “Trump: Qatar engaged in terrorism-related activity,” read one.

Most of the posts on their Boycott Qatar Facebook and Twitter pages have disappeared, but documents supplied to the Department of Justice show that they frequently linked to The Qatar Insider while also pointing users to articles critical of Doha in more credible publications.

Efforts have not been limited to simple meme-formatted clickbait and ads on social media.

Last fall, a film billed as an “educational documentary” called “Qatar: A Dangerous Alliance” appeared online and was distributed to guests at an event hosted by the conservative Hudson Institute that featured Steve Bannon, a former senior adviser to President Donald Trump and the ex-chairman of Breitbart News.

The film had a clear anti-Qatar bent, but it was presented as an American production. But documents filed to the Department of Justice in recent months show that the film was made by two US companies paid by Lapis Middle East and North Africa, a Dubai-based communications firm that has worked for the UAE’s government. One of those companies, Andreae & Associates, is headed by Charles Andreae, a former CEO of Bell Pottinger, which produced fake Iraqi insurgent videos as part of US government propaganda push during his time with the company. Andreae & Associates was paid $565,000 for their role in the anti-Qatar documentary. Videos uploaded to the film’s YouTube channel has counted nearly one million views.

And when Saudi Arabia’s de facto ruler, Crown Prince Mohammed bin Salman, visited the US in March, a magazine bearing his face and celebrating his reign appeared at 200,000 outlets across the country. The Saudi Embassy denied knowledge of the magazine, and the company that published it, National Enquirer publisher American Media Inc., denied receiving guidance from the Saudis.

Citing employees of American Media Inc, The New York Times later reported that the magazine was an attempt by the publisher’s CEO to win business in Saudi Arabia. Still, there was evidencethat the Saudi Embassy and advisers to the Saudi royal family had received advanced copies of the publication, hinting that they were involved in its creation and fawning tone.

These attempts to woo the American public came even as the Saudis and Emiratis had access to the highest levels of power in the US — as well as the ability to influence Washington’s Gulf policy.

Seeing Trump’s hostility toward Iran mirroring their own, Saudi Arabia and the UAE were eager to strengthen their relationship with the former reality TV host when he took office, despite his harsh campaign-trail criticisms of Islam and Saudis (who, he once said, “want women as slaves and to kill gays”). In May, The New York Times reported that an emissary of Saudi Arabia’s Crown Prince Mohammed and the crown prince of Abu Dhabi, Mohammed bin Zayed, held a meeting with Donald Trump Jr. ahead of the 2016 elections offering their support to Trump as well as social media help in winning the election.

The early outreach attempts seemed to work: Trump’s first international trip as president, in May 2017, was to Saudi Arabia, where he signed a $110 billion arms deal. And when the Qatar crisis broke out the next month, Trump quickly expressed support for Riyadh and Abu Dhabi and accused Qatar of supporting terror.

“I think the Saudis and Emiratis very quickly grasped that they had pretty much a clean slate to try to paint — and I think that’s exactly what they tried to do,” said Kristian Ulrichsen, a Gulf expert at the Baker Institute for Public Policy at Rice University.

But Ulrichsen questions how effective the broader propaganda efforts have been.

“Very few of these moves — to target Facebook, Twitter, to make videos that very few people watch — would have any impact on shaping public opinion,” he said. “In terms of the Gulf crisis … very few people [in the US] actually think about it at all.”

Sigurd Neubauer, a Washington-based Middle East analyst, agreed.

“If you asked the average American about the Gulf and they see these commercials, they will not be able to tell the difference,” he said. “And for those who do know the difference, they will remember that Saudi Arabia, not Qatar, had its citizens participating in the 9/11 attacks.”

While Qatar has not apparently engaged in the kind of propaganda war that groups linked to Saudi Arabia and the UAE have in the US, it has not sat idle. Qatar — or, at best, its friends — has been involved in the hacking and leaking of emails designed to embarrass the UAE and reveal its role in trying to influence the Trump campaign. Qatar has increased its spending on lobbyists while also trying to soften its image by wooing American Jewish groups, including the Zionist Organization of America, which previously called for Qatar to be listed as a state sponsor of terrorism. And in May, Qatar flexed its soft power muscles when it offered to pay to keep the Washington, DC, metro open after a Capitals playoff game.

Over time, Trump softened his tone on Qatar, and now again hails them as an ally against terrorism. The situation remains delicate, but the US is once again on a friendly footing with all three allies, even as their own feud continues and Saudi Arabia threatens to turn Qatar into an island.

But to Neubauer, the Gulf crisis has left all parties involved looking bad.

“Instead of saying one country is better than the other, everyone looks really, really horrible,” he said. “It really raises questions about what kind of partners these countries are for the United States.”

(Reuters) – The United Arab Emirates (UAE) denied reports on Thursday that Yemen’s Iranian-aligned Houthi movement had attacked Abu Dhabi airport with a drone, and said operations were unaffected.

Houthi-run media said earlier that a Sammad-3 drone had launched three strikes on the facility, disrupting air traffic, but did not provide any evidence and there were no reports of damage or casualties.

“Operations at the airport are business as usual,” a UAE official told Reuters.

The Houthis attacked two tankers in the Bab al-Mandeb strait a day earlier, prompting Saudi Arabia to suspend oil shipments through the strategic Red Sea lane.

The Houthis control much of northern Yemen and have said Abu Dhabi, a member of the Western-backed coalition fighting against them since 2015, was a target for their missiles.

The UAE has an advanced anti-missile interception system – the Theater High Altitude Area Defense (THAAD) which is designed to destroy short- and intermediate-range missiles both inside and outside the Earth’s atmosphere.

Abu Dhabi airport tweeted earlier in the day that there had been an incident involving a supply vehicle which had not affected operations, but it was unclear if it was referring to the same incident.

In December last year, the Houthis said they fired a cruise missile toward a nuclear power plant in Abu Dhabi.

With non-oil growth expected to taper as the government’s investment programme reaches an advanced phase, Qatar has turned back to gas/liquefied natural gas (LNG) production as it intends to maintain its position as the world’s largest LNG producer, according to NBK.

Non-oil growth is expected to taper with the government’s investment programme reaching an advanced phase; only four years remain for many of the high-profile infrastructure projects, such as the metro, light rail system and stadia, to be completed in time for the 2022 FIFA World Cup, it said in a report.
The $7.4bn Hamad Port, which Qatar plans to develop into a regional transport hub and with which Doha hopes to bypass trade sanctions, was officially inaugurated at the end of 2017, leaving only a handful of projects left for the authorities to eke out future output gains, it said.
“Attention, therefore, has turned back to gas/LNG production,” NBK said, adding in the short term, the delayed 1.4bn cubic feet per day Barzan gas facility should finally come on line in the fourth quarter of 2018, supplying additional volumes of gas and condensates; while in the medium term, Qatar’s intention to expand liquefaction capacity by 30% to 100mn tonnes per annum will significantly boost growth in the hydrocarbon sector.
Qatar’s economic growth is expected to edge up slightly in 2018 to 1.7%, following last year’s growth of 1.5%, before accelerating to 2.2% in 2019.
The economic activity will benefit from output gains in both the hydrocarbon (+0.3%) and non-hydrocarbon sectors (+3.3%), with the former witnessing an expansion in crude and LNG production and the latter benefitting from the government’s $200bn infrastructure spending programme.
Qatar’s public finances appear to be on a sound footing following the government’s fiscal consolidation efforts (cuts to subsidies, merging of ministries etc.), which brought public expenditures down by 12% in 2017, and the rise in oil and gas prices, it said.
“The fiscal deficit should continue to narrow to 1.2% of GDP (gross domestic product) by 2019, helped by firmer energy prices and additional non-hydrocarbon revenue streams, such as value added tax,” it said.
The deficit has been financed primarily by domestic debt, although Qatar returned to the international bond markets in April with a successful $12bn bond sale.
Meanwhile, Qatar Central Bank’s international reserves appear to have recovered to $24.7bn in May; around $20bn was tapped in 2017 to stem the capital outflows.
NBK said public debt is expected to peak at 57.8% of GDP this year, before falling to 54.3% of GDP in 2019.

Fracking to extract oil and natural gas from shale rock has produced a flood of energy in the U.S. and Canada, lowered fuel prices and created tens of thousands of jobs. It’s helped the two countries lessen their dependence on foreign energy and cut their use of coal, the dirtiest fossil fuel, by almost a third since 2008. At the same time, fracking is associated with earthquakes, greenhouse-gas emissions and water and air pollution. Fracking raises questions about whether the benefits justify the costs, whether the minuses can be diminished through technology and regulation, or whether fracking presents a threat so grave it must be banned, an action many communities have taken.

The Situation

Hydraulic fracturing, or fracking, was largely responsible for a 52 percent increase in U.S. oil and gas output from 2008 to 2015 and has made the country one of the world’s biggest producers of the two fuels. Fracking generates a little more than half the oil and gas the U.S. produces today. The practice has yet to take off outside North America. Environmental concerns have provoked a backlash, with bans or limits imposed by several European countries, Canada’s Quebec province and, in the U.S., the states of New York, Vermont and Maryland and hundreds of counties and municipalities. Saudi Arabia and other members of the Organization of Petroleum Exporting Countries tried to drive North American frackers out of business starting in 2014 by flooding the market to push down oil prices. The biggest crash in the price of crude in a generation put some frackers out of business and prompted others to scale back. In 2016, U.S. crude production declined 5.7 percent and gas output fell 1.7 percent. After slashing costs by more than a quarter by adopting more efficient drilling techniques, the fracking industry began to rejuvenate in 2017. At the same time, U.S. President Donald Trump began to reduce energy regulations.

The Background
The first commercial use of fracking was in 1949 in Oklahoma. The technique involves forcing water mixed with sand and chemicals into a well to create fissures in shale rock so the oil or gas trapped inside escapes. Advances in another innovation, horizontal drilling, came in the early 1980s and provided access to shallow layers of shale deep underground. The subsequent exploitation of the Barnett Shale formation in Texas proved large-scale fracking was economically viable, not least because of high oil and gas prices.

The Argument
Advocates of fracking point out that abundant gas has let many U.S. power plants abandon coal, helping drive down energy-related carbon emissions 12 percent from 2005 to 2015. It’s also decreased U.S. dependence on Persian Gulf oil, with U.S. net energy imports as a share of consumption in recent years hovering around 10 percent — levels last seen in the 1980s. The environmental risks of fracking, proponents argue, can be mitigated. For instance, operators can reduce leaks of methane, a potent greenhouse gas, by testing and repairing pressure safety valves. Pollution of nearby water sources can be minimized by ensuring that oil and gas wells are properly sealed with cement. Fracking’s champions say the risks of small earthquakes — linked mainly to the injection of wastewater into underground wells — can be lessened by mapping deep-rock formations and avoiding areas where tremors might result. They say frackers can trim their tremendous consumption of fresh water by recycling wastewater or using foam or gel as alternatives. Opponents say fracking is inherently too hazardous to tolerate. They say that methane leaks not only offset the greenhouse-gas savings from fracking but could outweigh them. Critics say strictly enforced nationwide regulations are required before operators would make investments that might curb environmental risks. They argue that the oil and gas industry has the power to block comprehensive regulation, and that the Trump administration has no interest in such oversight in any case. That leaves in place an existing patchwork of gap-filled laws. Opponents argue that the abundance of fossil fuels fracking produces will prove a curse because it will delay the development of renewable alternatives and thus impede the effort to slow global warming.

CAIRO — The top United Nations court intervened Monday in the bitter political feud dividing the Persian Gulf, ordering the United Arab Emirates to allow the return of Qatari citizens expelled from the country last year.

The provisional order by the International Court of Justice, which is based in The Hague, is expected to have limited concrete effect. The court has no powers of enforcement and the United Arab Emirates, in response to the verdict, insisted it was already in compliance with it.

But the decision, by the most prominent international body to rule on the dispute, struck a symbolic blow to the punishing trade and diplomatic embargo that the United Arab Emirates and its allies — Saudi Arabia, Egypt and Bahrain — have been pressing against Qatar for the past year in an effort to isolate the tiny and fabulously wealthy nation.

“This sends an early, strong signal that there will be no tolerance shown to countries that take arbitrary measures against Qataris,” Lulwa al-Khater, a spokeswoman for Qatar’s foreign ministry, said in comments published by Qatar’s state media.

The ruling may have its biggest impact in the battle for influence in Western capitals and international bodies, where Qatar and its foes have spent tens of millions of dollars in the past year on conferences, lawyers, news media advertisements and Washington lobbyists.

The court order “marks another blow to the blockade, which has failed from the beginning to gain support from the international community,” said Kristian Coates Ulrichsen, a fellow for the Middle East at Rice University’s Baker Institute for Public Policy.

Qatar’s foes initially enjoyed loud support from President Trump, who appeared to side with their accusations that Qatar was financing Islamist terrorist groups and was secretly in league with Iran. Qatar denied the charges, saying it was being targeted for its outspoken TV network, Al Jazeera.

American officials pointed out that Qatar was home to a major American military air base, and Mr. Trump later backed off. In April he welcomed Qatar’s emir, Tamim bin Hamad al-Thani, to the White House, where Mr. Trump hailed him as a “great friend.”

In the complaint filed to the International Court of Justice last month, Qatar argued that the United Arab Emirates breached an international convention on racism when it expelled thousands of Qatari citizens in the opening weeks of the embargo in June 2017.

Under the ruling issued Monday, the United Arab Emirates must allow families with a Qatari member that were separated to be reunited, and Qatari students who were expelled must be allowed to resume classes or obtain records to continue elsewhere. A third order stipulated that Qataris should be allowed to seek legal redress in the United Arab Emirates.

The orders do not constitute a final ruling, and it could be years before the full case is heard and decided.

The United Arab Emirates minister of state for foreign affairs, Anwar Gargash, attempted to put a positive spin on the decision, saying in a Twitter post that the judges had refused six other Qatari demands.

Mr. Gargash said his government had already met the “conditions required” by the court ruling.

A UK casting agency has been offering actors money to take part in an “anti-Qatar event” outside Downing Street during a meeting between Theresa May and the ruler of the Arab country.

The Independent has seen an email sent to extras offering £20 per person to take part in the supposed protest from 11am until 12.30pm on Tuesday, just  before Tamim bin Hamad Al Thani is due to arrive at No 10.

“This is NOT a film or TV production,” casting agency Extra People said in the email to their actors. “The company are looking for a large group of people to fill space outside Downing Street during the visit of the president of Quatar (sic). This is an ANTI-Qatar event – You will not have to do or say anything, they just want to fill space. You will be finished at 12:30.”

Extra People told The Independent it was “contacted by an individual” to “source people” for the event, but refused to reveal the identity of the client.

At 8.15pm, shortly after media reports first began to circulate about the job offer, the agency sent another mass email to its extras saying “on reflection” it would not be involved “in such a project”.

A spokesperson said the agency decided to cancel the project having begun “to understand what the hirer was asking of our artistes and the event involved” after “receiving further information”.

“We quickly made the decision to withdraw our involvement and wish to have no association with the event,” he added.

The planned event comes amid a visit to Britain by Mr al-Thani aimed at promoting Qatar in the face of a year-long blockade by four neighbouring states – Saudi Arabia, Egypt, the United Arab Emirates (UAE) and Bahrain.

They accuse Qatar of funding Islamist terrorism, supporting extremists and fostering ties with Saudi’s arch-rival Iran.

Qatar in turn has accused Saudi Arabia, its biggest neighbour, of “bullying” and risking a new conflictamid the ongoing diplomatic crisis.

On Tuesday, the UAE was ordered by the United Nations’ highest court to immediately allow Qatari families affected by the dispute between the countries to reunite.

The International Court of Justice in The Hague imposed the measure before it hears the full case filed by Qatar at a later date.

According to Qatar, which filed the suit in June, the UAE has as part of the boycott expelled thousands of Qataris, blocked transport and closed down the offices of the Doha-based Al-Jazeera news channel.

The UAE had argued the case was without merit and should be dismissed.

A casting agency advertised for paid extras to come and stand outside the gates of Downing Street when the emir of Qatar visits on Tuesday, amid accusations that the country’s Gulf rivals are paying protesters to oppose the country’s activities and create the impression of an upswell of British support against the country.

“This is NOT a film or TV production,” said the advert from booking agency Extra People, offering £20 to respondents willing to take part. “The company are looking for a large group of people to fill space outside Downing Street during the visit of the president of Quatar [sic]. You will not have to do or say anything, they just want to fill space.”

A Qatari diplomat pointed the finger at the country’s regional rivals, who have placed it under an economic blockade since last year, creating a vicious and expensive media war often fought through lobbyists, online advertising and selective leaks to journalists in the UK and US.

“The blockading countries have a long history of using paid protesters to try and discredit those who do not agree with their views,” said the Qatari diplomat. “Despite their latest attempts to spread lies about Qatar, the visit of HH the Emir has further strengthened the historic and strategic partnership between Qatar and the UK.”

The casting agency later retracted the advert and said that they did not want to be involved in providing extras for the event, which was arranged to coincide with the arrival of Tamim bin Hamad Al Thani to meet prime minister Theresa May.

“Upon receiving further information about the event, which regrettably was after our enquiry went out to our artistes, we began to understand what the hirer was asking of our artistes and the event involved,” said a spokesperson for the booking agency.

The agency declined to identify their client but said they backed out when they realised the event would involve the extras protesting outside the gates of Downing Street.

There have also been separate claims that attendees were paid to take part in an earlier anti-Qatar protest outside parliament on Monday afternoon. Protesters at the earlier event waved placards referring to allegations Qatar paid up to $1bn to terrorist groups as a ransom for 28 members of a royal hunting party kidnapped in Iraq.

The advert raises questions over the growing influence of Gulf money in the UK, with the ongoing political struggle between Qatar and the United Arab Emirates and Saudi Arabia. It follows an agreement by the Independent to licence its brands to a publishing business with close links to the Saudi government to produce Middle Eastern versions of its publications.

A series of anti-Qatar adverts have appeared on billboards around London, while other adverts highlighted the country’s treatment of migrant workers, its record on LGBT rights, and the continued existence of an absolute monarchy.

Many of the protests were also attended by British-based Qatari businessman Khalid Al-Hail. He has previously organised a “Qatari opposition” conference in London featuring paid speakers, such as the former cabinet minister Iain Duncan Smith and the BBC journalist John Simpson.

Al-Hail has also been linked to a high-profile big budget football conference opposing corruption in sport, which was attended by Tory MP Damian Collins and footballer Louis Saha, and focused on criticism of the decision to award Qatar the right to host the 2022 World Cup.

Qatar’s successful bid to host tournament has been beset by widespread allegations of corruption and poor conditions for workers building the stadiums.

Qatari-funded news network al-Jazeera has previously claimed that extras were paid to protest against the Qatari government at events in Germany.

Crude oil’s biggest plunge in two years has money managers heading for the hills.
Hedge funds cut their net-long position — the difference between wagers on a price gain and bets on a drop — in Brent crude by the most since 2016. Bulls fled the market on concern that the escalating US-China trade war will imperil economic growth, denting oil demand amid signs of mounting supply from the US to Saudi Arabia.
“Extended trade tensions with China threaten global economic growth,” said Rob Thummel, managing director at Tortoise Capital Advisors LLC, which manages $16bn in energy-related assets. An economic slowdown would “negatively impact global crude oil demand growth” as output from Saudi Arabia and Libya rises.
Oil has tumbled from a four-year high in May as President Donald Trump prepares to slap tariffs on $500bn of Chinese goods. Though Trump also leaned on Saudi Arabia to lower prices by pumping more, the kingdom said it will actually trim crude exports next month after bolstering production the most in three years in June.
Saudi Arabia “does not try to push oil into the market beyond its customers’ needs,” the Energy Ministry said in a statement on Thursday.
The world’s largest oil exporter is fulfilling a pledge made in late June that the Organisation of Petroleum Exporting Countries and allies including Russia would boost output by about 1mn barrels a day.
Output from Libya rose last week as production from its eastern fields climbed, offsetting thousands of barrels in production lost from the partial shutdown of the country’s biggest deposit after gunmen kidnapped workers there. “The return of Libya was a really big thing, and the addition from Saudi Arabia,” said James Williams, president of London, Arkansas-based energy researcher WTRG Economics.
The Trump administration, meanwhile, was said to be considering tapping the nation’s emergency oil supply to tame rising fuel prices before congressional elections in November, according to people familiar with the matter.
Hedge funds slashed their Brent net-long position by 21% in the week ended July 17 to 353,245 contracts, according to ICE Futures Europe data on futures and options released on Friday. That was the lowest level since August 2017.
Money managers’ net-long position in West Texas Intermediate crude fell by 7.4% to 401,690 futures and options, the biggest decline since May, according to US Commodity Futures Trading Commission data released Friday. Longs also slipped 7.4%, while shorts fell 7.5%.
Though crude has recovered from lows reached in late June as Opec weighed an output boost, trade tensions have roiled the market. A measure of crude volatility soared last week to levels last seen almost a year ago.
US supply data, meanwhile, showed mixed signals for the market. Gasoline held in US storage tanks dropped by the most since May and fuel demand increased, according to government data, overshadowing the biggest increase in American crude inventories since April.
US production gains have “caused some players who don’t have conviction to exit,” said Gene McGillian, manager of market research at Tradition Energy. “We saw some topping out of Brent around $79 and the idea that the Saudis and Russians were willing to add oil back into the market.”
In the fuel market, money managers trimmed their net-long position in benchmark US gasoline by 9.1%, the first decline in three weeks. The net-bullish position on diesel slid 27%, the most since February.