China Daily Oil Summary: PetroChina Expects Demand Boost

China’s biggest oil and gas producer, Petrochina, said it expects the country’s oil product demand to rise more that 10% in Q4 from a year earlier. It cites government stimulus as a supportive factor.

• PetroChina’s total oil and gas output rose 5% to 1.3 billion barrels in the first nine months, compared to 1.25 billion barrels a year earlier. It has a goal of raising annual production to 1.73 billion barrels for this year.
• Oct. 30 - China’s crude throughput is set to decline this month and for the rest of Q4 due to maintenance, softer domestic demand, narrowing oil product exports access and feedstock shortage, traders and analysts told S&P Commodity Insights.
• Passenger capacity in Northeast Asia is down 0.4% during the week commencing Oct. 30, according to OAG. International capacity is up 3.4% on the week, but still down 26.6% on the same period in 2019.
• DATA: China's manufacturing Purchasing Managers' Index fell by 0.7 points to 49.5 in October, falling back to the contractionary zone below the breakeven 50 mark, indicating that the foundation for continued recovery requires further consolidation, data from the National Bureau of Statistics showed. Non-manufacturing PMI registered 50.6, declining from last month's 51.7.
• YUAN: The currency strengthened to 7.3176 against the dollar from 7.3180 on Monday.
• China must carefully coordinate monetary and fiscal policy to avoid liquidity tightening in Q4 following the government’s decision to issue an additional CNY1 trillion in treasury bonds, according to Guan Tao, former director at China's State Administration of Foreign Exchange.