Mid-Day Oil Summary: Crude Edges Higher

Crude markets are edging higher today supported by a lower US dollar and ongoing Middle Eastern tensions with little hope for a ceasefire in Gaza.

• Brent APR 24 up 0.3% at 83$/bbl
• WTI MAR 24 up 0.2% at 78.05$/bbl
• API weekly oil stock data: Crude +8.52mbbl, Cushing +0.5mbbl, Gasoline -7.2mbbl, Distillate -4.0mbbl
• The EIA weekly petroleum inventory data is due for release this afternoon at 10:30 ET.
• Kazakhstan will compensate for its overproduction in January over the next four months, as part of its OPEC+ obligations, according to the Ministry of Energy of the Republic.
• China’s crude oil imports from Iran fell to the lowest since Feb at around 986kbpd in Jan according to Bloomberg citing Kpler data.
• A brent price above $90/bbl would more adequately reflect current fundamentals and risk to the oil markets according to Paul Horsnell, Standard Chartered’s head of commodities research.
• US officials said they are "deeply concerned" by reports that human rights activist Rocio San Miguel and members of her family have been arrested in Venezuela – a move which further complicates energy sanctions relief.
• Global fuel markets will be more vulnerable to price and supply shocks amid refinery maintenance and Red Sea disruption according to Rystad.
• The lack of oil product imports to Europe from outside the Atlantic Basin are driving higher European refining margins according to Citigroup.
• Oil products stockpiles at the port of Fujairah rose by 2.1% to 19.149mn barrels in the week to 12 February, according to the Fujairah Oil Industry Zone.
• Gazprom Neft’s Moscow refinery is operating normally following reports of a nearby fire according to the facilities press service.
• Gasoline cracks continued to rally yesterday while diesel cracks pulled back but remain up on the month ahead of the update EIA US petroleum inventory data later today. API data last night showed large draws in both products.
• BP is buying refined products on the market to meet contractual obligations for wholesale fuel customers due to the continued outage of its 435,000 bpd Whiting, Indiana refinery according to Argus reports.
  • US gasoline crack down -0.4$/bbl at 22.52$/bbl
  • US ULSD crack down -0.2$/bbl at 43.83$/bbl