End of Day Oil Summary: Crude Tumbles

Crude has reversed earlier gains to be trading lower on the day after after FOMC kept the door open for further rate rises. EIA data which showed larger than expected stock draw provides some upside.

• Brent NOV 23 down -1% at 93.4$/bbl
• WTI OCT 23 down -1.3% at 90.05$/bbl
• WTI-Brent down -0.04$/bbl at -3.88$/bbl
• After leaving the federal funds rate in a 5.25%-5.5% range FOMC members penciled in another quarter-point rise this year in their quarterly Summary of Economic Projections.
• EIA Weekly US Petroleum Summary - w/w change week ending Sep 15: Crude stocks -2,136 vs Exp -718, Crude production 0, SPR stocks +600
• Janet Yellen said in an MSNBC interview yesterday that the recent increase in oil prices is unwanted, but they should stabilize in time while the US economy is still on track for a soft landing.
• Goldman Sachs raised its forecast for Brent crude over a twelve-month period by $7/bbl to $100/bbl because of rising demand and supply restrictions by OPEC+, analysts including Daan Struyven and Callum Bruce said in a note.
• Gazprom expect global oil demand to continue growing until at least 2030, Gazprom Neft CEO Alexander Dyukov told reporters.
• Crude inventories in the ARA region fell 233kbbls, or 0.4%, in the week ending 15 September to 55.3mbbls, Genscape data show.
• Enbridge could add 200,000 bpd of capacity to its 3 million bpd Mainline system, which ships the bulk of Canada's crude exports to the United States, the company said Tuesday.
• Kazakhstan’s Tengiz oil field is expected to produce about 28m metric tons of oil in 2024 down from 31m-32m this year according to Kazakhstan Energy Minister Almassadam Satkaliyev.
• Brent crude prices are likely to break above $100/bbl in the near time, as tightening fundamentals support the move higher, ING said in a note.
• Russia’s oil output is seen falling to 527m tons this year, down from 535m tons last year amid OPEC+ production cuts, Deputy Prime Minister Alexander Novak said.
• Russia remained the top supplier of crude oil to China in August, according to Chinese government data.
• November and haven’t been discussed during the World Petroleum Congress in Calgary this week according to Libya’s Oil Minister Mohamed Oun.
• Russian oil producers supplied their first cargoes of CPC Blend crude to the United Arab Emirates in August and September, traders told Reuters, opening up a new export route.
• MNI COMMODITY WEEKLY: Bank Forecasts Mixed for $100/bbl Oil - https://enews.marketnews.com/ct/x/pjJscQCIl-0I6ahudxoiTg~k1zZ8KXr-kA8x6nHWpalptIPjO1OcQ