Oil End of Day Summary: Crude Ends Week Higher

Oil relinquished its gains on the day amid a volatile session but is set for a marginal rise compared to the start of the week. Concerns over shipping security in the Red Sea have been weighed against lower optimism on US rate cuts and headlines concerning the newest covid variant reaching China.

• WTI JAN 24 up 0% at 71.59$/bbl
• Maersk and Hapag Lloyd have suspended Red Sea activities due to ongoing attacks from the Houthis in Yemen.
• US oil and gas rig counts fell by 3 to 623 rigs, according to Baker Hughes latest data Dec. 15. US oil rig count declined by 2 to 501.
• Trans Mountain Corp has asked the Canda Energy Regulator to reverse its pipeline variance request denial – warning it could lead to a two-year delay.
• Mexico’s Pemex intends to reduce exports of most oil grades from the country next year to gear up supply for its delayed Dos Bocas refinery according to Bloomberg sources.
• Mexico’s state energy company Pemex’s rising debts with oil service providers and private crude and gas producers could threaten the survival of suppliers, according to Reuters.
• PMI SETS MAYA TO USGC AT -$10.75 FOR JAN. VS $10.25 FOR DEC - bbg
• Global oil demand in December is estimated at 102.2mbpd, with year-to-date oil demand tracking a 1.8mbpd growth, JP Morgan said in a note.
• Oil exports from the CPC terminal are set to decline to 5.4mn tons in January, down from 5.6mn tons the December plan, two industry sources told Reuters.
• Russia has suspended about two thirds of its Urals oil loading from seaports because of weather issues and scheduled maintenance according to Reuters sources and LSEG data.