On Track For Higher Weekly Close; U.S. Response To OPEC+ Cuts Eyed

WTI and Brent are little changed, operating just shy of the respective best levels observed on Thursday. Both benchmarks are on track for their largest weekly gain in months, with WTI sitting >10% firmer for the week at typing.

• Participants will be watching for the U.S. response to the OPEC+ output quota cut, with some of the measures possibly involving a further release of crude from the SPR, or restrictions on U.S. energy exports.
• Meanwhile, U.S. Senate Majority Leader Schumer stated that the “NOPEC” bill (allowing the U.S. to file antitrust lawsuits against members of OPEC) remains on the table, although BBG sources reported that there are no plans to bring the measure to the floor at present.
• Elsewhere, Norway announced that it expects crude production capacity at the Johan Sverdrup oilfield to rise by ~220K bpd in ‘23.
• Looking ahead, leaders from >40 nations will meet at the inaugural summit of the European Political Community later on Friday, with energy-related issues likely to rank highly on the agenda amidst a mix of multilateral and bilateral meetings.