Crude Extends Gains

Crude is regaining some ground, with Brent front month rising to a new intra-day high of $78.95/bbl, due to a corrective bound in the US Dollar, building on earlier gains driven by supply risks on renewed Houthi rebel attacks in the Red Sea.

• Brent APR 24 up 1.2% at 78.89$/bbl
• WTI MAR 24 up 1.2% at 73.64$/bbl
• The latest bounce in the US dollar is corrective. US yields rolled off highs on a combination of Treasury block buys and risk aversion stemming from the NYCB equity sell-off. Fading yields took the dollar with it, helping EUR/USD erase the morning's losses and putting GBP/USD to fresh highs.
• Yemen’s Houthi rebels claimed two separate vessel attacks Tuesday as they targeted US and British vessels. One of the attacks has been confirmed by security firm Ambrey.
• The number of oil tanker diversions around the Cape of Good Hope has risen to 133, compared with 100 as of 30 Jan, since the US and UK started targeting the Houthis, Oil Brokerage said in a note.