April 25, 2024 15:16 GMT
Oil Summary at European Close: Crude Slips Back
OIL
Crude markets have weakened during the day amid a recovery in the USD driven by stronger than expected Q1 Core PCE prices. Weaker than expected US GDP numbers will also put pressure on oil’s demand outlook.
- Brent JUN 24 down 0.5% at 87.57$/bbl
- WTI JUN 24 down 0.7% at 82.25$/bbl
- Q1 Core PCE price index: 3.7% (3.4% expected, 2.0% prior)
- Q1 GDP: 1.6% (2.5% expected, 3.4% prior)
- The US may leverage new Iran sanctions to pressure Chinese buyers to cut Iranian oil purchases, but measures are unlikely to have a near-term impact: Platts.
- Crude loadings fell from 15.5% last October to 13.9% in March this year, the lowest since at least 2016 according to Vortexa.
- Chinese buyers are receiving slight discounts on Venezuelan barrels now that sanctions have been reimposed.
- After initially planning large crude supply cuts in May, Mexico’s Pemex may have more volumes to supply after two of its refineries were hit by fires Bloomberg sources said.
- Baker Hughes sees a balanced global oil market, although powering up international spheres are offsetting tapering North American activity and decreasing natural gas basins, Platts said citing the company’s top executives.
- Tengizchevroil has started operations at its Wellhead Pressure Management Project (WPMP) at the Tengiz oil field.
- Russia has warned Kazakhstan its oil shipments to Germany could stop in June due to a payment issue according to Reuters sources.
- Libya plans to export 8.8m bbl, or 284k b/d, of Es Sider crude in May, according to an initial loading programme cited by Bloomberg.
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