U.S. crude plunges 5%, worst daily performance in over a year

Oil prices rise as looming Norway strike adds to disruptions

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However, there was speculation that Saudi Arabia, which has about 18 percent of the world's proven petroleum reserves, would tap into its spare capacity of 2 million barrels per day to add more oil to the markets, while USA shale production also remained robust.

Oil prices suffered steep falls on Wednesday after Libya said it would boost supply, even as investors fear that trade tensions will hit demand.

Washington had previously said countries must halt all imports of Iranian oil from November 4 or face USA financial restrictions, with no exemptions. So the Pompeo announcement came as a surprise for those holding long futures contracts.

Tokyo/London - Oil prices rose more than $1 a barrel on Tuesday due to growing supply outages, with Norway shutting one oil field as hundreds of workers began a strike and Libya saying its production more than halved in recent months. This was the biggest price slide in almost two years.

Oil prices rose about 1 percent on Friday as strike actions in Norway and Iraq hit supplies, but futures were set for a second straight week of decline after Libyan ports reopened and on the view that Iran might still export some crude despite US sanctions.

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Johnson, with limited success. "I didn't criticize the prime minister", he said. "He's been very nice to me". And maybe, some day, she'll do that. "You can't walk away because if she walks away that means she's stuck".

On Tuesday, the U.S. unveiled a list of $200bn worth of products to be hit with 10% tariffs, prompting China to vow counter-measures. Still, there is concern that doing so will use up global spare capacity and leave markets vulnerable to further or unexpected production declines.

Secondly, the recent rally was being supported partly from a drop in Libyan output.

Giving its first 2019 forecasts in a monthly report, the Organization of the Petroleum Exporting Countries said the world will need 32.18 million barrels per day (bpd) of crude from its 15 members next year, down 760,000 bpd from this year.

Still, there are already signs the threat of the renewed U.S. sanctions are discouraging some Asian countries from buying Iranian crude. Saudi Arabia pumped more as it heeded calls from the United States and other consumers to make up for shortfalls elsewhere and cool rising prices.

"In spite of the extraordinary draw in crude oil inventories, the market is under pressure after refiners produced a record amount of gasoline this week and in conjunction with a greater than expected build in distillate inventories", said Andrew Lipow, president at Lipow Oil Associates in Houston. Trader reaction to this zone will tell us if the buying or selling is greater at current price levels.

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