Oil Summary at European Close: Crude Eases Back

Crude markets are continuing to trade lower amid easing of shipping risks in the Red Sea and a larger than expected draw in US crude oil stocks.

• Brent FEB 24 down -1.2% at 78.67$/bbl
• WTI FEB 24 down -1.1% at 73.28$/bbl
• EIA Weekly US Petroleum Summary - w/w change week ending Dec 22: Crude stocks -7,114 vs Exp -2,880, Crude production 0, SPR stocks +793, Cushing stocks +1,508
• Half of the container ships which regularly transit the Red Sea and Suez Canal is avoiding the area because of the risk of attack, according to Bloomberg.
• Oil product exports from Russia in the week to Dec 24 fell 666kb/d to 2.5mb/d according to Bloomberg based on Vortexa data.
• Brazil’s crude production rose to a new record in November of 3.671m b/d, according to ANP.
• The North Sea combined BFOET exports are set to dip to 652kbpd in February compared with 655kbpd in January according to the latest loading schedules.
• Angolan crude loadings were revised up to 1.09m b/d in February, according to a copy of the loading programme seen by Bloomberg.
• The OPEC global market share is falling to the lowest since the Covid-19 pandemic with weakening demand in H1 2024 due to output cuts and Angola's exit from the group, according to Reuters.
• Sinopec expects China’s oil product demand growth to ease to 1.7% in 2024 from the post-Covid demand boost to 16.1% in 2023, according to Bloomberg.