Oil End of Day Summary: Crude Finds Late Support

Crude had struggled for direction during the day but has found support near US close to be trading higher. A weaker US dollar amid a more dovish May FOMC outcome, is likely adding some support. The Bloomberg dollar spot index is down to its lowest since April 12.

• WTI JUN 24 up 0.1% at 79.1$/bbl
• Wires reporting that Hamas have agreed with Qatar to continue talks on a truce in Gaza.
• The OPEC+ group is expected to extend production cuts into H2 2024: Bloomberg survey.
• The OPEC+ group is expected to maintain production cuts through the H2: Citigroup.
• OPEC+ has not begun formal talks on extending the 2.2mn bpd of voluntary cuts beyond June: Reuters.
• “We are at a tipping point in the oil markets, where there is a strong case to add volumes” at the OPEC+ meeting on June 1, JPMorgan’s Christyan Malek.
• Global oil demand grew by 1.9mn bpd in April: high frequency demand indictors cited by JP Morgan.
• Canada’s largest oil and gas producer Canadian Natural Resources is looking at opportunities to significantly increase bitumen output.
• Russia’s Urals crude prices for loading in May to India have been held stable for the third consecutive month.
• Indian Oil Corp resumed Russian crude purchases delivered on Sovcomflot tankers, taking delivery of a load this week.
• India is expected to increase imports of oil grades comparable to Venezuela’s crude after the US reinstated sanctions, FGE said.
• CPC expects to complete the necessary work in July 2025 to ensure the possibility of simultaneously shipping oil from three single point moorings (SPM), Interfax said.
• Goldman Sachs has lowered its forecast for the gasoil margin in Northwest Europe by $2/bbl to $27/bbl by December on a weakening demand outlook, according to Bloomberg.