Oil End of Day Summary: Crude Finishing Day Higher

Crude prices are approaching US close trading higher on the day. WTI has been supported by a weakening in the US dollar and continued concerns over freight disruptions in the Red Sea.

• WTI JAN 24 up 1.3% at 73.41$/bbl
• The API oil inventory data is due for release today at 16:30 ET.
• ENERGY DEPT. AWARDS CONTRACTS FOR 2.1M BARRELS FOR OIL RESERVE - bbg
• Several companies shipping energy products have announced to pause shipments via the Red Sea, including Equinor and BP, sparking fears for supply passing through the Suez Canal.
• The US has put together a new naval task force to patrol the troubled area and protect commercial vessels. The Houthis warned the US they will be legitimate targets if they interfere in its ongoing operations against Israel-linked vessels.
• Disruption to energy flows through the Bab-El-Mandeb strait is unlikely to have a large impact on crude oil and LNG prices according to Goldman Sachs. Production should not be directly affected due to vessel redirection opportunities.
• China's Sinochem Corp has agreed to buy a million barrels of heavy Venezuelan Merey crude at a discount of 11$/bbl to dated Brent crude on a DES basis for arrival in December according to Reuters sources.
• Uncertainty remains over the source of tankers needed to export boosted Canadian Crude, following the TMX pipeline expansion completion, Argus said.
• Russia’s seaborne crude exports climbed on a four-week average basis, according to Bloomberg data, despite weekly flows falling amid paused shipments from Primorsk.
• new OPEC+ meeting is possible in the near future for the group to discuss the market situation but currently there is no need for new decisions, Russia Deputy PM Alexander Novak said, cited by Interfax.