OIL: Crude Rebounds After Drop Towards Yesterday's Low

Front month crude pulled back towards the lows seen yesterday before rebounding with concern for US and China demand and potential returning OPEC+ supply from October offsetting the near term tightening over the summer.

• NBC News reporting that "Members of President Joe Biden’s family have discussed what an exit from his campaign might look like, according to two people familiar with the discussions." The White House has denied any such discussions have taken place.
• Some potential measures from a Trump victory would be generally bearish for oil with potential for Iran sanctions not likely enough to counter an approximate 2mb/d global surplus in H1 2025, according to a Citigroup note cited by Bloomberg earlier this week.
• The prompt crude spreads remain strong with WTI the highest since October and Brent the highest since late Apil. Dec24-Dec25 spread have however softened in line with the move in front month futures and are towards the lower end of the range seen so far this month.
  • Brent SEP 24 down 0.5% at 84.68$/bbl
  • WTI AUG 24 down 0.5% at 82.44$/bbl
  • WTI SEP 24 down 0.7% at 80.74$/bbl
  • Brent SEP 24-OCT 24 down 0.04$/bbl at 1.14$/bbl
  • Brent DEC 24-DEC 25 down 0.11$/bbl at 4.82$/bbl