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Crude Futures Eke Out Small Gains

OIL

Crude futures made some small gains in Asia-Pac trade, WTI is up $0.30 from settlement levels at $60.00/bbl, Brent is up $0.34 at $63.62/bbl. There was little impetus to move oil markets, with participants now looking ahead to inventory data, US API data is due later on Tuesday. Median estimates on Bloomberg are for a 2.4m bbl drop, which if confirmed would be the third consecutive weekly decline in headline crude stocks. There could be some headwinds in terms of higher production; output at the Permian Basin is expected to rise to 4.466m bpd in May according to EIA data, a level not seen since the start of the pandemic.

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