End of Day Oil Summary: Crude Erases Most Losses

Crude front month has recouped most of the earlier losses after delay to the OPEC+ ministerial meeting amid disagreement on output assessment from African nations. Another US crude inventory stock build, also at Cushing weighed on the WTI-Brent spread.

• Brent JAN 24 down -1% at 81.6$/bbl
• WTI JAN 24 down -1.2% at 76.85$/bbl
• WTI-Brent down -0.08$/bbl at -4.76$/bbl
• Discontent within OPEC+ comes as Saudi shoulders much of the efforts to shore up global oil prices alone which seems to be driving the push to move the upcoming meeting from November 26 to November 30 as it aims to align the group.
• Nigeria and Angola are fighting the adjustment of the OPEC crude output quotas that led to a delay of the OPEC+ meeting, despite not meeting current output targets according to OPEC secondary sources and market sources.
• Crude inventories rose 8.7mbbls to the highest since July supported by a slight dip in exports and higher imports while production held up at record levels again.
• EIA Weekly US Petroleum Summary - w/w change week ending Nov 17: Crude stocks +8,700 vs Exp +510, Cushing stocks +858, Total exports +58, Total imports +205
• API weekly oil stock data from late yesterday according to Bloomberg: Crude +9.05mbbl, Cushing +0.64mbbl, Gasoline -1.79mbbl, Distillate -3.51mbbl.
• Crude stockpiles in ARA fell 4.2mn bbls or 8.1% on a weekly basis for the week ended November 17 to 47.5mn bbls according to Genscape.
• The US oil rig count remained unchanged at 500 according to Baker Hughes.
• Iraq's Prime Minister Mohammed Shia al-Sudani in a meeting with the Turkish energy minister expressed the government's readiness to find a solution to resume oil exports from Iraq’s northern fields to the Turkish port of Ceyhan according to a statement from the Iraqi PM's office.
• Russian crude oil output remained almost stable in October with daily production at 1.318mn tons, according to people familiar with Energy Ministry data, continuing to exceed pledged output cuts.
• Nigeria is reviving demands that shipping companies must pay outstanding tax bills by 31 December which previously resulted in tankers staying clear of Nigerian waters, lifting freight rates.