Crude Little Changed, US Demand In Focus With EIA Data Coming Up

Oil prices are little changed during APEC trading today holding onto most of the week’s gains and currently up almost 5% in June. WTI is down 0.3% to $80.50/bbl but has been in a narrow range of $80.44/80.67. Brent is flat at $85.10/bbl and has been trading between $85.01 and $85.22 finding support at $85. The USD index is off its intraday low but is unchanged.

• A record 71mn Americans are expected to travel over the July 4 holiday, which if realised is likely to boost oil and fuel prices. This would be a 4.8% y/y increase, according to the American Automobile Association. Another 5.74mn are forecast to fly at this time.
• US inventory data is being watched closely to gauge demand during the driving season. Official EIA data is released later today with industry figures showing a 1.08mn gasoline drawdown even though crude stocks rose 2.26mn, according to people familiar with the API data.
• Bloomberg is reporting that crude’s narrow range today has resulted in Brent’s volatility falling to its lowest in six years.
• Later the Fed’s Kashkari and Barkin speak and the BoE & SNB decisions are announced. The eurogroup meeting also takes place. In terms of data, US Q1 current account, May housing starts/permits, June Philly Fed and jobless claims print.