Oil Summary at European Close: Crude Pulls Back

Crude prices have pulled back from Friday’s gains as negotiators agreed on a framework for releasing the remaining US and Israeli hostages. The market is weighing Middle East escalation risks and Russian energy infrastructure attacks against ongoing demand concerns.

• Brent MAR 24 down -1.1% at 82.61$/bbl
• WTI MAR 24 down -1.3% at 77.02$/bbl
• North Dakota's oil production is disrupted by around 10-40kbpd as of 29 January due to the recent cold spell according to the pipeline authority.
• There are currently no vessels on behalf of Trafigura transiting the Gulf of Aden, following the Houthi rebel attack on Friday, the firm said in a statement.
• At least two further vessels carrying fuel from the Middle East to Europe appeared to have diverted away from the Red Sea, according to Kpler data, cited by Bloomberg.
• OPEC+ appears to be making a slow start to its new output cuts, according to Kpler.
• The KRG and the federal Iraqi authorities are discussing a deal to reimburse the KRG with a fixed amount selling price for the region’s oil production of around $20.60/bbl, Platts said.
• The amount of crude oil held around the world on tankers that have been stationary for at least seven days fell by 18% to 63.97m bbl as of 26 January, the lowest since March 2020, Vortexa data showed, cited by Bloomberg.
• Russian Urals crude prices rebounded to above $60/bbl on Monday for the first time since November.
• Angola plans to export 1.05m b/d of crude in March, the lowest since September.
• Nigeria has set its OSP for Qua Iboe crude at Dated +$2.11/b, up $1/b from January and the highest since December.