OIL: Oil Summary at European Close: Crude Recovers Some Losses

Crude markets have recovered some of the earlier losses after a small US crude inventory draw according to the update EIA weekly petroleum data.

• Brent OCT 24 down 0.4% at 79.2$/bbl
• WTI OCT 24 down 0.4% at 75.26$/bbl
• EIA Weekly US Petroleum Summary - w/w change week ending Aug 23
• Crude stocks -846 vs Exp -2,521, Crude production -100, SPR stocks +745, Cushing stocks -668.
• Libyan crude production has fallen at least 400kbd since the eastern government ordered a total shutdown according to Bloomberg sources.
• ARA crude stocks rose 782k bbl or 1.5% in the week ended August 23 to 54mn bbls according to Genscape.
• US and Canadian seaborne oil exports set new records over the last 3 months at 10.9m b/d, Vortexa said.
• The CEO of Ukraine’s Naftogaz said on Tuesday that new solutions are needed for the energy security of Ukraine and Slovakia.
• Barclays sees OPEC+ following through with its gradual phase-out of additional voluntary adjustments.
• Oil prices are at risk of spiking following a “carry trade” that has diverted capital from the market, according to Jeff Currie at Carlyle Group cited by Bloomberg.
• China’s crude imports from Iran are expected to rise from 1.24mb/d in July to a record 1.75mb/d in August, according to Kpler data cited by Bloomberg.
• Kazakhstan is preparing a corrective plan for oil production in 2024, in line with its OPEC+ obligations, Energy Minister Almasadam Satkaliyev told Interfax.
• Global crude loadings are estimated to fall 186kb/d from July to a new low for 2024 of 37.2mb/d in August, according to FGE.
• MNI COMMODITY WEEKLY: Oil Market Backdrop Erodes Libya Concerns: Read Here