Oil Markets Flat Ahead of OPEC+ Meet

Crude markets are flat on Friday after a sell-off on Thursday over Fed officials comments about it being too soon to consider cuts. Crude stocks fell in the EIA data but a gasoline build prior to the summer driving season added downside pressure.

• Brent JUL 24 down -0.1% at 81.8$/bbl
• WTI JUL 24 down -0.2% at 77.78$/bbl
• Gasoil JUN 24 down -1.4% at 732.5$/mt
• WTI-Brent down -0.01$/bbl at -4.05$/bbl
• OPEC+ is working on a complex production cut deal for 2024-2025 for its June 2 meeting according to Reuters sources Thursday.
• OPEC+ is widely expected to rollover current commitments into the second half of the year. It remains to be seen if that expectation is already priced into oil markets.
• Brent JUL 24-AUG 24 up 0.01$/bbl at -0.01$/bbl
• Brent AUG 24-SEP 24 unchanged at 0.3$/bbl
• The prompt timespread for Brent weakened into a bearish contango structure for the first time since January, indicating oversupply. Other timespreads are also turning more bearish.
• Dallas Federal Reserve President Lorie Logan said Friday, "I think it's too soon to really be thinking about rate cuts."
• U.S. crude oil inventories fell 4.2 million barrels to 454.7 million barrels in the week ending on May 24 according to the EIA.
• Meanwhile, U.S. gasoline stocks were up 2 million barrels for the week to 228.8 million barrels, the EIA said.
• US 321 crack down 0$/bbl at 22.71$/bbl
• US ULSD crack down 0$/bbl at 22.44$/bbl