Oil Summary at European Close: Crude Down Despite US Draw

Crude markets are maintaining earlier losses after an unexpectedly large draw in crude stocks but with declining oil products demand again. Diesel and gasoline cracks are slightly softer following the bigger than expected builds.

• Brent FEB 24 down -3.4% at 74.59$/bbl
• WTI JAN 24 down -3.9% at 69.5$/bbl
• EIA Weekly US Petroleum Summary - w/w change week ending Dec 01: Crude stocks -4,633 vs Exp -774, Crude production -100, SPR stocks +330, Cushing stocks +1,829
• Russia’s Putin has arrived in Saudi to meet Mohammed Bin Salman in a bid to strengthen Middle East partnerships.
• ARA crude inventories rose 3.4% or 1.8mn bbls in the week ended December 1 to 55mn bbls according to Genscape.
• US crude oil exports are nearing 6mbpd this month as domestic production hit new records of 13mbpd this year according to several sources cited by Bloomberg.
• The reduction in Saudi Arabia OSPs to Asia by less than expected is likely to turn Asian buyers more to the spot market for cargoes according to a Bloomberg survey.
• The Canada Energy Regulator denied a request Tuesday from the Trans Mountain Expansion project to install a smaller diameter pipeline in a difficult section of the routing due to rock hardness - potentially creating around a 2 month project delay.
• OPEC output in November saw its first monthly decline since July, according to a Reuters survey reported by Nasdaq.
• Kazakhstan intends to reduce its oil output by an additional 82kbpd in the first quarter of next year, in addition to prior voluntary cuts of 78kbpd that run until December 2024, the Energy Ministry said, cited by Interfax.
• Reuters reporting that navigation in the eastern lane of Egypt's Suez Canal remains unaffected, "after a container ship collided with a bridge," according to Egypt's Al Qahera News TV.
• MNI COMMODITY WEEKLY: Venezuela Sanction Easing Hanging in the Balance - Full piece here: https://enews.marketnews.com/ct/x/pjJscQLcwu4I6a9lIU9zTw~k1zZ8KXr-kA8x6nFDsOmptIPjO1OcQ