Mid-Day Oil Summary: Crude Rebounding

Crude futures are higher today, re-adjusting after yesterday’s steep losses which pushed them to a near-month-to-date low. Front moth is trading rangebound within the three-day range. A weaker dollar is likely adding some support on the day.

• Brent JUL 24 up 0.6% at 82.42$/bbl
• WTI JUL 24 up 0.7% at 78.1$/bbl
• Russian oil production was over its quota in April due to "technical reasons" and the country will soon present to the group its plans to compensate according to the Russian Energy Ministry on Wednesday.
• Mexican crude exports have bounced back in May after a number of issues at Pemex refineries.
• Independent refiners in China are on track for the lowest volume of Russian ESPO crude since May 2021, according to Bloomberg based on Kpler data.
• Gasoline cracks are edging higher after the weekly decline amid signs of a recovery in demand ahead of the start of the traditional peak travel season from this weekend.
• US gasoline crack up 0.4$/bbl at 26.45$/bbl
• US ULSD crack up 0$/bbl at 25.25$/bbl
• Russian VGO seaborne exports slipped 10% in April m/m to about 3.32 million tons according to LSEG due to idled capacity for maintenance and technical outages due to drone attacks.
• Singapore’s onshore fuel oil stocks fell to a 5.5 year low in the week ended May 22. Middle distillate inventories were up 8% on the week to 10.9m bbl, while light end stockpiles were down 5% to 14.5m bbl.
• Iraq’s SOMO has offered around 82,000 metric tons (610,900 barrels) of gasoil term supplies for export within a three-month delivery window.