Broader Risk & The U.S. Gulf Weather System Eyed

WTI and Brent futures sit either side of unchanged as we type, after the space drew support from the broader risk backdrop and tropical storm/hurricane situation surrounding the U.S. Gulf of Mexico on Monday.

• The BSEE noted that ~82% of U.S. Gulf oil production had been shut in as of Monday, up from the ~58% shut in on Sunday. Suggestions are that storm Laura will become a hurricane on Tuesday, while Marco has weakened to a tropical depression.
• Elsewhere, Monday saw Energy Intelligence sources suggest that "Saudi Aramco no longer intends to build a refinery and ethylene plant with China Northern Industry Co. (Norinco), as the giant oil company adjusts its downstream investment plans in line with cuts in its overall capital spending."
• The weekly API crude inventory estimates are due to be released later today.