WTI and Brent operate at sub-settlement.........>

OIL: WTI and Brent operate at sub-settlement levels into European hours. No

surprise in the rhetoric surrounding the space over the last 24 hours, as the

likes of the U.S., Saudi & Russia try to cajole belief in the global production

pact. Elsewhere, Tuesday saw RTRS sources note that "OPEC and its allies want to

maintain existing oil cuts beyond June when the OPEC+ group is next due to

meet." It will be interesting to see how long Saudi, the UAE & Kuwait conduct

their voluntary production cuts for, as they try and get others to follow in

their footsteps and over-comply with the production pact, given the demand gap.

Tuesday's API crude inventory estimates saw reports point to larger than

expected builds for both headline crude and distillate stocks, a smaller than

expected drawdown for gasoline stocks and a draw in stocks at the Cushing hub.

Finally, the EIA's STEO saw the Agency slash its global oil demand forecasts for

both '20 & '21, in addition to a lowering of U.S. output forecasts for both

years. The Agency looks for broader inventory drawdowns to start in July of this

year.

- The monthly OPEC oil report & weekly DoE stocks will hit later today.