Oil End of Day Summary: Crude Climbs

Crude markets found further support today, despite higher-than-expected US CPI data. Continued Middle East tensions amid little hope for a ceasefire in Gaza, coupled with a stable OPEC demand outlooks have added support. The crude time spreads have also rallied on the day after yesterday’s narrowing.

• WTI MAR 24 up 1.6% at 78.14$/bbl
• MNI: US JAN CPI 0.3%, CORE 0.4%; CPI Y/Y 3.1%, CORE Y/Y 3.9%
• OPEC maintained its oil demand growth forecast for 2024 and 2025 steady on the month according to the latest OPEC Monthly Oil Market Report.
• Global oil demand is expected to grow slower this year by 1.2-1.3mbpd this year, IEA Executive Director, Fatih Birol, said to Bloomberg.
• Russia’s seaborne crude exports eased back from a seven-month high although remained above the 52-week average, according to Bloomberg.
• Nigeria’s daily average oil production in January was 1.643m b/d, up from 1.55m b/d in December and the highest level in two years, according to Bloomberg.
• Colombia’s Oil and Gas Association (ACP) expects the country’s oil output to hit 0.8m b/d in 2024.
• Around half of the 50 tankers that the US Treasury has been sanctioning since 10 October have failed to load cargoes, Bloomberg ship tracking data showed.
• The number of tankers that have diverted around southern Africa continues to rise as shippers look to avoid the Red Sea, according to Oil Brokerage.
• Morgan Stanley has raised the Brent price forecast for 2024 and 2025 amid tighter than expected supplies after recent inventory declines.
• US oil production in 2024 is likely to rise at less than half the rate in 2023, according to SocGen, cited by Bloomberg.