Oil End of Day Summary: Crude Sinks

Oil prices have sunk today although still hold some of yesterday’s gains. A stronger USD has been adding downside pressure, with the dollar spot index up around 0.35%.

• WTI SEP 24 down 1.2% at 76.95$/bbl
• US data showed lower than expected ISM manufacturing, falling to 46.8 (cons 48.8) from 48.5 in June. It’s the lowest since Nov 2023. Swaps now fully price in three rate cuts in 2024.
• The New York Times is reporting that according to Iranian officials briefed on the matter, Supreme Leader Ayatollah Ali Khamenei "has issued an order for Iran to strike Israel directly, in retaliation for the killing in Tehran of Hamas’s leader, Ismail Haniyeh,".
• OPEC + did not issue a recommendation at the online session on Thursday according to delegate reports.
• Saudi may raise its September OSP for Asia for the first time in three months according to a Reuters survey.
• Around 19 Aframax ships loaded around 330k /bd of crude oil at Canada’s West Coast in July, the second full month of expanded Trans Mountain Pipeline operations, Reuters said
• Nigeria has added a new crude grade known as Utapate, as it looks to return output to pre-pandemic levels of over 2m b/d, Bloomberg said.
• Libya plans to export 8.8m bbl, or 284k b/d, of Es Sider crude in August, according to an initial loading program compiled by port agents, seen by Bloomberg.
• Venezuela’s oil production by state-owned PDVSA and its foreign partner rose to 993k b/d in July, up 85k b/d on the month, Platts said.