US Daily Oil Summary: Boosts for Product Demand

The latest weekly EIA oil data showed a recovery in both US gasoline and distillates implied demand but both moves were in line with the seasonal trend seen in the previous five years.

• EIA Weekly US Petroleum Summary - w/w change week ending Feb 02: Gasoline stocks -3,146 vs Exp +836, Implied mogas demand +663, Distillate stocks -3,221 vs Exp -2,147, Implied dist demand +60
• Crude inventories rose more than expected on the week (+5,520 vs Exp +1,515) with production back up to record highs of 13.3mb/d and with imports recovering after the dip lower in the last couple of weeks.
• USD: Wednesday saw the USD index (-0.14%) trade in a very narrow range, broadly consolidating a moderate early decline. Some further initial weakness for NYCB at the cash open, prompted a brief greenback selloff (most notable for USDJPY), however, stabilisation on this front quickly sapped any downside momentum for the dollar.
• US Secretary of State Anthony Blinken is delivering a press conference at 7pm GMT. His presser will give a firmer indication on the status of further talks, expected to take place in Egypt in the coming days. LIVESTREAM (https://www.youtube.com/watch?v=yWExb3cu-fQ)
• The G7 are working to force Russian oil volumes away from the shadow fleet and back onto western service providers, Olga Dimitrescu, head of engagement for the oil price cap at the UK office of Financial Sanctions Implementation said in a podcast.