Prices Holding Onto Most Of Yesterday’s Gains

Oil prices have held onto most of Tuesday’s gain but have traded in a narrow range today supported by signs of a cut in Russian exports and lower Fed rate expectations. The USD index is up 0.2%, which has weighed slightly on crude today with prices down around 0.3%.

• WTI is down 0.4% to $75.34 with $75 providing round number support. It is just off its intraday low of $75.32. Brent is 0.3% lower at $79.38 with $79 offering support. The low was $79.37.
• According to Bloomberg, the Brent timespread is its narrowest so far in July signalling that the market is becoming less bullish.
• With the price of Russian oil now exceeding the price cap, India has begun to look at purchasing from Middle East producers again.
• Official EIA US crude/product inventory data is released later. Bloomberg reported that the API measure of US crude inventories fell 797k barrels last week.
• Later today UK and euro area June CPIs print followed by US June housing starts/permits. BoE’s Ramsden speaks too.