Oil End of Day Summary: Crude Loses Ground

WTI is headed for US close trading lower again today, as a continued bearish demand outlook and expectations of additional OPEC+ supplies returning from Q4 add pressure.

• WTI JUL 24 down 1% at 73.46$/bbl
• The API US oil inventory data is due at 16:30ET.
• April's US JOLTS report showed the lowest number of job openings since February 2021, at 8.059m vs 8.355m in March.
• OPEC “will hit the kill switch on a Q4 increase in the event of an oversupply/poor sentiment situation come September,” RBC’s Helima Croft said.
• OPEC oil output rose in May, according to a Reuters survey, driven by higher exports from Nigeria and Iraq which offset voluntary cuts.
• Iraq’s crude exports rose for a second month in May, despite pledges to compensate for overproduction beyond its OPEC+ targets.
• The Greek Navy resumed drills off its coast, allowing it to block Russia’s ability to use the area for STS transfers: Bloomberg.
• Russia’s four-week average crude exports in the period to June 2 declined for a fourth consecutive week: Bloomberg.
• Russian crude exports fell 10% to a six-month low of 3.52m b/d in May, according to Platts.
• Oil exports from Western Canada rose in May to average 76.8k b/d in May amid the TMX start up.
• The US DOE yesterday announced contracts for the purchase of 3mbbl of crude oil for the SPR for November delivery.
• Nigerian crude loadings for July have been relatively slow so far according to Reuters sources as an overhang of June cargoes weigh on prices.
• Nigeria is scheduled to load 190k b/d of Bonny Light crude in July, the highest since March, according to Bloomberg.
• The Chevron led Tengizchevroil will undertake further maintenance at its Tengiz oilfield in August, it said on Monday.