Crude Rallies and Prompt Time Spreads Surge Amid Black Seas Tensions

Crude resumes the rally from yesterday amid supply risks from rising tensions in the Black Sea. Russian Black Sea ports are at present likely to be considered as safe according to marine insurer Gard but the situation remains volatile.

• Front month Brent has risen to the highest since a peak in mid April with the Russia supply risks adding to the OPEC+ production cuts that have driven the rally since the end of June.
• Brent Oct23 is trading up through the first technical resistance with the next level at the psychological round number at 90$/bbl and at 85$/bbl for WTI.
• Near term time spreads have also spiked higher on the increasing supply risks while longer dated spreads are also rallying.
  • Brent OCT 23 up 0.8% at 86.86$/bbl
  • WTI SEP 23 up 1% at 83.73$/bbl
  • WTI-Brent down -0.05$/bbl at -3.86$/bbl
  • Brent OCT 23-NOV 23 up 0.14$/bbl at 0.64$/bbl
  • Brent DEC 23-DEC 24 up 0.36$/bbl at 5.16$/bbl
  • WTI SEP 23-OCT 23 up 0.17$/bbl at 0.73$/bbl
  • WTI DEC 23-DEC 24 up 0.35$/bbl at 5.75$/bbl