Oil End of Day Summary: Crude Falls

Crude has fallen throughout US hours but remains within Friday’s range. High non-OPEC supplies and the difficulty for OPEC+ to adhere to its pledges is likely providing some downside after the group’s output cut extension. Warmer weather is also softening oil heating demand.

• WTI APR 24 down -1.6% at 78.72$/bbl
• UKMTO has received a report of an incident 91nm southeast of Aden, Yemen. A spokesperson for the Houthis said that they targeted the container ship MSC Sky II.
• Several OPEC+ countries have announced to extend the additional voluntary output cuts of 2.2mbpd from the end of March to the end of June, according to an OPEC press release.
• OPEC oil production increase by 110kb/d to 26.68mb/d in February according to a Bloomberg survey.
• Iraqi crude oil exports stood at 3.434mbpd in February, up from 3.338mbpd in January: oil ministry.
• A surge in exports from the Americas, primarily from the USGC, helped drive up global oil shipments in Feb.
• OPEC+ crude exports fell in February, but remained above levels shipped in H2 2023, according to Vortexa.
• Aramco may leave OSPs to Asian customers little change in April according to Reuters. An announcement on the April crude OPSs is expected in the coming days.
• An oil surplus is still expected in Q2 2024 despite the extension of OPEC+ voluntary production cuts according to a Macquarie Group report.