Mid-Day Oil Summary: Crude on Track for Weekly Rise

Front month Brent crude has rebounded from a low of $81.71/bbl and currently showing a net gain on the week with focus still on the geopolitical risks and the Middle East, OPEC+ output policy and global demand.

• Brent JUL 24 up 0.6% at 84.42$/bbl
• WTI JUN 24 up 0.8% at 79.87$/bbl
• Broader macro trends around a softer dollar and jobs data supportive of US Fed rate cuts this year have helped support crude markets.
• Malaysia will only recognize United Nations sanctions and not those by an individual nation according to its Home Minister Saifuddin Nasution Ismail.
• The latest Baker Hughes rig count data is due for release at 13:00ET.
• Crude implied volatility falls, and the options put skews has narrowed this week with market focus on upside risks from a possible extension to OPEC+ output cuts into Q3 and improved demand sentiment.
• Saudi Aramco have allocated full contractual crude volumes for June to at least five Asian refiners, according to Bloomberg sources.
• US Gulf Coast heavy and medium sour crude imports are set to pick up this month. 6 VLCCs en route carrying Saudi crude are behind this increase according to Vortexa.
• UKMTO received a report of an attempted hijacking 195nm east of Aden, Yemen, it said via X.