It has been a volatile start to the week for....>

OIL: It has been a volatile start to the week for crude, although WTI has

managed to recover around $0.80 from the session lows, while Brent has been more

reluctant to turn bid.

- Oil's volatility stems from a tweet made by US President Trump over the

weekend which stated that "Just spoke to King Salman of Saudi Arabia and

explained to him that, because of the turmoil & disfunction in Iran and

Venezuela, I am asking that Saudi Arabia increase oil production, maybe up to

2,000,000 barrels, to make up the difference. Prices to high! He has agreed!"

The White House pulled back on this statement noting that King Salman bin

Abdulaziz affirmed that Saudi Arabia has 2 million barrels a day of spare

production capacity "which it will prudently use if and when necessary to ensure

market balance and stability, and in coordination with its producer partners, to

respond to any eventuality."

- Libya's NOC stated that ~850k b/d worth of production could be lost owing to

the current port blockades.

- WTI support is noted at $72.51 (Hourly support July 2).