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Crude Maintains Earlier Losses After US CPI Data

OIL

Crude markets are maintaining earlier losses after the updated US CPI data showing stronger than expected rental inflation. The potential for an oil supply surplus next year is weighing on crude markets despite upside risk from shipping disruption after another Houthi attack in the Red Sea.

  • Nov'23 CPI Unrounded % M/M (SA): Headline 0.097%; Core: 0.285% (from 0.227%)
  • Nov'23 CPI Unrounded % Y/Y (NSA): Headline 3.137%; Core: 4.007% (from 4.031%)
  • The market is weighing the OPEC+ member commitment to voluntary cuts planned for Q1 against non-OPEC supply growth and potential slower demand growth in 2024.
    • Brent FEB 24 down -1% at 75.26$/bbl
    • WTI JAN 24 down -1% at 70.61$/bbl
    • WTI-Brent up 0.06$/bbl at -4.38$/bbl
    • Brent FEB 24-MAR 24 down -0.02$/bbl at -0.24$/bbl
    • Brent JUN 24-DEC 24 down -0.11$/bbl at 0.83$/bbl
    • WTI JAN 24-FEB 24 down -0.01$/bbl at -0.25$/bbl
    • WTI JUN 24-DEC 24 down -0.13$/bbl at 0.96$/bbl

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