Oil Summary at European Close: Crude Falls

Crude prices have been trading lower today amid concerns for economic growth in China after Q4 growth and a higher US dollar. This is offsetting the supply risks from Red Sea disruptions and reduced production from Libya and North Dakota.

• Brent MAR 24 down -1% at 77.52$/bbl
• WTI FEB 24 down -0.5% at 72.07$/bbl
• White House National Security Adviser Jake Sullivan has released a statement confirming that the Houthi rebels in Yemen have been re-designated as a 'specially designated terrorist group'.
• Global oil markets are able to cope with Red Sea disruptions in the short term, but prolonged attacks could lead to tanker shortages in an already tightening oil market, Aramco CEO, Amin Nasser, told Reuters.
• North Dakota oil production down about 650,000-700,000 barrels per day, gas output off 1.7-1.9 bcf per day due to freezing weather - state pipeline authority.
• ARA crude stocks rose 838k bbl or 1.6% in the week ended Jan 12 to 54.2mn bbls according to Genscape.
• CPC resumed oil loading on Wednesday after suspensions due to weather.
• Crude oil processing at refineries in India rose 1.8% y/y to 22.7m tons (5.37mb/d) in December according to preliminary data from Petroleum Planning and Analysis Cell via Bloomberg.
• Saudi Arabia’s cut in OSPs to Asia reflects weaker fundamentals of supply and demand, rather than a potential shift in OPEC+ policy or fight for market share, analysts told Reuters.
• OPEC expects global oil demand growth to slow in 2025 even against easing inflation forecasts according to its latest monthly report.
• - MNI COMMODITY WEEKLY: Shipping Shows Mixed Response to Red Sea Security Woes - Full piece here: https://enews.marketnews.com/ct/x/pjJscQXek-kI6a9jcBx2Sw~k1zZ8KXr-kA8x6nCDJKhptIPjO1OcQ