Slightly Higher After Early Moves

WTI is +$2.40 and Brent is +$1.90 at typing, printing ~$110.10 and ~$112.40 respectively.

• Both benchmarks have pulled back from the session’s best levels, with the earlier move higher driven by reports of Ukraine’s Zaporizhzhia nuclear plant being hit by fire. Worry re: the situation has since eased, with the plant director stating to Ukrainian media that radiation security had been secured, while later reports pointed to damage being limited to a training building and an offline nuclear reactor (albeit containing nuclear fuel).
• To recap Thursday’s movements, WTI and Brent hit fresh multi-year highs (highest since ‘08 and ‘12 respectively) on well-documented supply concerns re: Russian crude exports before closing lower, as elevated hope surrounding a possible Iranian nuclear deal applied some pressure to the space. To elaborate, the Russian envoy at the Iranian talks noted that a ministerial meeting to formalise the deal was now likely (although no timeline was provided), while the head of the International Atomic Energy Agency has announced a visit to Tehran on Saturday, with the aim of potentially addressing one of the final issues that have hindered talks (specifically on “outstanding safeguards”).
• On the technical front, WTI and Brent see resistance at $120.00 (psychological round number), while support is located at the Mar 2 lows of $105.18 and $106.83 respectively.