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Unwinding Monday's Gains

OIL

WTI & Brent sit ~$0.30 lower on the day, unwinding most of their Monday gains, which were a result of a softer USD and uptick in equity markets. Still, Monday's uptick in crude was likely limited by worries re: the demand side of the equation on the back of the global COVID-19 backdrop, a matter alluded to by Russian Energy Minister Novak, which compounds the problems presented by the ongoing supply glut.

  • Monday also saw the FT note that "Russia's Kremlin-controlled oil company has warned that BP and Royal Dutch Shell are creating an "existential crisis" for oil supplies that will lead to higher prices, attacking their shift towards renewables when demand is still growing."
  • The latest round of weekly API inventory estimates are due to be released after hours on Tuesday.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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