WTI and Brent now hover around unchanged........>

OIL: WTI and Brent now hover around unchanged levels, well shy of their

respective NY/Asia peaks, after an impressive run higher over the last week or

so.

- In terms of fundamental developments, reports pointed to the API weekly oil

inventory estimates revealing a surprise drawdown in gasoline stocks (which

would have been cheered by producers and crude bulls), coupled with slightly

larger than exp. builds for headline crude, distillates & Cushing stocks.

- Re: well-documented seaborne storage matters, the latest Argus media tracking

estimate noted that "around 12mn bl of North Sea crude appears to be in floating

storage in northwest Europe." Also worth noting that the Texas Railroad

Commission voted to waive fees for various new crude storage projects.

- On the broader production front RTRS sources noted that "Saudi Arabia's crude

oil exports in May are expected to drop to about 6 million barrels per day

(bpd), the lowest in almost a decade, and domestic refining output is likely to

fall as the coronavirus crisis hits demand."

- DoE inventory data headlines on Wednesday.