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Crude managed to rally alongside regional.......>

OIL
OIL: Crude managed to rally alongside regional equity markets during Asia-Pac
hours, with WTI & Brent both printing around $0.50 above their respective
settlement levels at writing. This comes after Wednesday's choppy trading
session which saw WTI & Brent ranges of over $6.00. We won't recount the goings
on surrounding Iran as we have covered that in detail elsewhere.
- Wednesday's DoE inventory release was more bearish than the API estimate and
gave the move lower some fresh momentum before U.S. President Trump's
de-escalatory address re: Iran. Headline crude stocks experienced a surprise
build, while distillate and gasoline stocks saw much larger builds than
expected. Meanwhile, stocks at the Cushing hub fell and refinery run rates
turned lower. Production levels were virtually unchanged.
- Early Weds saw the UAE Energy Minister note that OPEC hadn't discussing any
steps to take on the back of the heightened tension in the Middle East, while he
noted improved compliance from Iraq & Nigeria re: the OPEC+ production pact.
- Worth noting that some major Saudi tanker co.'s suspended crossings of the
Strait of Hormuz on Weds (WSJ), but this is exp. to normalise in coming days.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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