WTI Regaining Lost Ground in US Hours

WTI has regained some ground after an unexpected build in US crude stocks pushed crude to near rangebound on the day.

• WTI JUL 24 up 1.1% at 78.73$/bbl
• WTI-Brent down 0.02$/bbl at -4.37$/bbl
• WTI JUL 24-AUG 24 unchanged at 0.35$/bbl
• WTI AUG 24-SEP 24 unchanged at 0.47$/bbl
• Upside support remains from a sharp 0.5% fall in the USD index on the day, driven by softer CPI data. The softer CPI numbers will give the market further hope for a near-term rate cut.
• While there is an FOMC rate decision due today 7pm BST (2pm ET), rates are not expected to change just yet.
• May Core CPI 0.163% M/M (0.3% expected median, 0.28% expected unrounded, 0.3% prior). US MAY CPI 0.0%, CPI Y/Y 3.3%, CORE Y/Y 3.4%.
• Crude stocks showed an unexpected build of 3.73m bbl driven by the highest imports since 2018 and drop in exports back to just 3.19mbbls.