Brent crude futures gained 12 cents, or 0.3%, to $44.46 a barrel by 0733 GMT, after gaining 1.4% on the previous day.
The US looks to begin its holiday season, a time typically for driving around the country, but this year, it is expected that the pandemic will cut the number of journeys made by half, with demand for fuel at this busy period weaker than usual.
UK refiners push back on the news that a ban on selling fossil fuel cars past 2030, 5-years earlier than previously targeted, in a bid to decarbonize the industry. The move is set to displace 60,000 barrels per day of demand from the market. The move to bring forward to band on fossil fuel powered card brings the UK in line with other European countries, with Norway looking to phase out combustion-engine cars by 2025. (S&P Global Platts)
China has been the nation that is supporting the global crude market this year, offering a lifeline to global exporters as it mops up supply as demand has taken a hit since the coronavirus pandemic. Chinas imports are expected to reach 12 million barrels per day in 2021, although global supply is expected to fall by 9% in 2020. (Reuters)
OPEC+ has come under pressure as mounting disputes in the cartel have led to the idea that the Gulf producer may leave the cartel unless negotiations can resume and come to an outcome beneficial for all. It is still unclear as to whether the move is in response to failures in negotiations, or a genuine policy change. (Bloomberg)
Yesterday, crude stocks in the US rose by 768,000 barrels in the week ending 13th November, bullish news as analysts had predicted a build of over 1.7 million barrels. (Reuters)
INDEX: (MTD Estimates)
* Sing 380: 266.15
* Rott 3.5%: 247.10
* Sing 0.5%: 329.23
* Rott 0.5%: 307.81
MARKETS NEWS:
* Pandemic Thanksgiving Means About Half as Much Driving This Year
* Saudi Energy Minister: Jury Is Out on Extending OPEC+ Oil Cuts
* Cushing Crude Stockpiles Rise to Highest Since May: TOPLive
* SK Buys U.S. Eagleford, Canadian Cold Lake Crude for February
* China’s Implied Crude Inventory Shows 1st Drawdown Since 2017
* Asia’s High-Sulfur Fuel Oil Timespread Trades Near 9-Month High
* European Road Use Continues to Fall as Virus Restrictions Hit
* Italy’s Oil Product Sales Weaken in October, Slumping 13% Y/y
OTHER NEWS:
* Oil Search to Start Sale Process for 15% Stake in Alaska Project
* ConocoPhillips Weighed Three-Way Merger Prior to Concho Deal
* India Denies Report That State-Run Oil Firms May Bid for BPCL
* Biggest in Oil, Saudis Aim Next to Be Largest Hydrogen Exporter
* Gulf Oil Lease Sale Draws $121 Million in Pre-Biden Auction
OIL PRODUCT NEWS:
* U.S.: Thanksgiving Driving Could Fall By Half
* EUROPE: Grandpuits Shuts CDU; Mol Diesel Tender
* Fuel Stocks Rise to Six-Week High at Middle Eastern Oil Hub
* ASIA: Clean Fuels in Storage; Wepec Offers Gasoil
ECONOMIC EVENTS:
* RBC Midstream and Energy Infrastructure Conference, day 2
* Singapore onshore oil-product stockpile weekly data
* Insights Global weekly report on European refined product inventories in ARA region
ANALYST VIEWS:
* Oil Poised to Trade in Upper Range on Vaccine Sentiment: Citi
* Goldman Says Buy Bullish Options on Energy Ahead of OPEC Meeting
* Shipping’s Emissions Set to Rise Despite Efficiency Gains: Study
(Data and News FIS + Bloomberg)
Rotterdam 3.5% INDIC
Dec20 252.50 / 254.50
Jan21 252.25 / 254.25
Feb21 251.75 / 253.75
Mar21 251.25 / 253.25
Apr21 250.50 / 252.50
May21 249.50 / 251.50
Q1-21 251.75 / 253.75
Q2-21 249.50 / 251.50
Q3-21 246.00 / 248.00
Q4-21 241.75 / 244.75
CAL21 247.00 / 250.00
Singapore 380 INDIC
Dec20 273.25 / 275.25
Jan21 269.25 / 271.25
Feb21 267.25 / 269.25
Mar21 266.00 / 268.00
Apr21 265.00 / 267.00
May21 264.00 / 266.00
Q1-21 267.50 / 269.50
Q2-21 264.00 / 266.00
Q3-21 261.50 / 263.50
Q4-21 259.50 / 262.50
CAL21 263.25 / 266.25
Rott VLSFO 0.5% INDIC
Dec20 320.00 / 325.00
Jan21 320.00 / 325.00
Feb21 320.50 / 325.50
Mar21 321.00 / 326.00
Apr21 321.50 / 326.50
May21 322.25 / 327.25
Q1-21 320.50 / 325.50
Q2-21 322.25 / 327.25
Q3-21 324.00 / 330.00
Q4-21 326.25 / 332.25
CAL21 323.00 / 329.00
Singapore VLSFO 0.5% INDIC
Dec20 345.00 / 350.00
Jan21 342.50 / 347.50
Feb21 341.25 / 346.25
Mar21 340.50 / 345.50
Apr21 340.50 / 345.50
May21 340.75 / 345.75
Q1-21 341.25 / 346.25
Q2-21 340.75 / 345.75
Q3-21 342.25 / 348.25
Q4-21 344.50 / 350.50
CAL21 342.00 / 348.00
Sing 10ppm GO INDIC
Dec20 49.05 / 49.19
Jan21 49.10 / 49.30
Feb21 49.35 / 49.55
Mar21 49.69 / 49.89
Apr21 50.03 / 50.23
May21 50.36 / 50.56
Q1-21 49.40 / 49.60
Q2-21 50.36 / 50.56
Q3-21 51.46 / 51.66
Q4-21 52.25 / 52.45
CAL21 50.76 / 51.16
ICE Gasoil 10ppm INDIC
Dec20 362.45 / 364.45
Jan21 366.48 / 368.48
Feb21 370.06 / 372.06
Mar21 372.73 / 374.73
Apr21 375.75 / 377.75
May21 378.63 / 380.63
Q1-21 369.75 / 371.75
Q2-21 378.64 / 380.64
Q3-21 386.77 / 388.77
Q4-21 393.49 / 395.49
CAL21 382.17 / 384.17
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