| At 10:40 am Singapore time (0240 GMT), the ICE February Brent futures contract was up 84 cents/b (1.12%) from the previous close at $75.99/b, while the NYMEX January light sweet crude contract was 92 cents/b (1.28%) higher at $72.59/b.
Oil prices were climbing in line with other risk assets as investors remained optimistic that the omicron variant would not have as large an impact on oil demand as initially feared. A widely-watched US inflation reading Dec. 10 came in within expectations, sparking modest changes in the US dollar index on the day. Analysts also noted that movement traffic in the US appeared to have returned to pre-pandemic levels. (S&P Global Platts)
Data from the US Labor Department Dec. 10 showed US consumer prices for November rising 6.8% on the year, the biggest year-on-year gain since June 1982. While the reading notched fresh multi-year highs, coming after October’s 6.2% print, analysts said the figure was nonetheless already priced into markets. (S&P Global Platts)
Markets were also watching for the outcome of talks between Iran and world powers. Iran’s chief negotiator reported some progress on negotiations over the weekend. Analysts said a deal reached would see at least 1 million b/d of Iranian oil returning to global oil markets. (S&P Global Platts)
South African scientists see no sign that the Omicron variant is causing more severe illness, they said on Friday, as officials announced plans to roll out vaccine boosters with daily infections approaching an all-time high. Investors are closely watching the Organization of Petroleum Exporting Countries and its allies, a group known as OPEC+, at their next meeting on Jan. 4. They agreed earlier this month to stick to their existing policy of monthly oil output increases. (Reuters)
OIL MARKET ROUND-UP: (Bloomberg)
* U.S. Grants First Oil From Biden’s Reserves Release to Exxon
* Halliburton, Exxon in Discussions for Stake in Iraq Oil Field
* Nigeria’s Bonny Terminal Hasn’t Loaded Oil for 19 Days: Tracking
* Trafigura Moves North Sea Forties Crude in Rare Journey to India
* Mideast Tanker Glut Set to Persist as Daily Earnings Go Negative
* Supertanker tracker: China-Bound Ships Climb to Nine-Month High
* U.S. Total Rig Count Rises to 576, Baker Hughes Says |
