Brent crude futures for November rose 31 cents, or 0.4%, to $72.53 a barrel by 0452 GMT, after falling 39 cents on Monday. U.S. West Texas Intermediate crude for October was at $69.14 a barrel, down 15 cents, or 0.2%, from Friday’s close, with no settlement price for Monday due to Labor Day holiday in the United States.
A relatively calm day in the oil market yesterday saw brent rangebound as the US celebrated Labor day, with a slight drop in Brent on the US open at 1400GMT but then a steady climb back to finish the day relatively flat.
Demand woes grew after state oil group Saudi Aramco notified customers that it will cut October official selling prices (OSPs) for all crude grades sold to Asia by at least $1 a barrel. The deep price cuts, a sign that consumption in the world’s top-importing region remains tepid, come as lockdowns across Asia to combat the delta variant of the coronavirus have clouded the economic outlook. Markets are also contending with a decision by the Organization of the Petroleum Exporting Countries and their allies, a grouping known as OPEC+, to raise output by 400,000 barrels per day a month between August and December. (Reuters)
On Sept. 5, the US Bureau of Safety and Environmental Enforcement said 88.3%, or about 1.61 million b/d, of US Gulf crude output remained offline. Looking ahead, analysts from Phillip Futures said the carryover effects of supply destruction caused by Hurricane Ida may keep prices elevated over the week, adding that a weaker dollar could also be another supporting driver for crude oil. (Reuters)
OIL MARKET ROUND-UP:
* Europeans Hit the Road to Fire Rebound in Continent’s Oil Demand
* Ida’s Initial Hit to U.S. Oil Output Has Surpassed Katrina’s
* Shell Says 80% of Its Gulf of Mexico Production Still Shut In
* U.S. Gasoline Imports From Europe Hit 4-Week High; Diesel Slumps
* Oil Tanker Rates to U.S. Gulf Rise Amid Aftershocks From Ida
*Rotterdam 3.5% INDIC*
Oct21 389.25 / 391.25
Nov21 383.50 / 385.50
Dec21 378.50 / 380.50
Jan22 375.75 / 377.75
Feb22 374.00 / 376.00
Mar22 372.25 / 374.25
Q4-21 383.75 / 385.75
Q1-22 374.00 / 376.00
Q2-22 368.75 / 370.75
Q3-22 362.50 / 365.50
CAL22 362.50 / 368.50
*Singapore 380 INDIC*
Oct21 410.75 / 412.75
Nov21 401.75 / 403.75
Dec21 396.25 / 398.25
Jan22 392.75 / 394.75
Feb22 391.00 / 393.00
Mar22 389.25 / 391.25
Q4-21 403.00 / 405.00
Q1-22 391.00 / 393.00
Q2-22 385.75 / 387.75
Q3-22 379.75 / 382.75
CAL22 380.25 / 386.25
*Rott VLSFO 0.5% INDIC*
Oct21 499.50 / 504.50
Nov21 496.75 / 501.75
Dec21 494.25 / 499.25
Jan22 491.75 / 496.75
Feb22 489.25 / 494.25
Mar22 486.75 / 491.75
Q4-21 497.00 / 502.00
Q1-22 489.25 / 494.25
Q2-22 481.75 / 487.75
Q3-22 474.00 / 482.00
CAL22 477.50 / 485.50
*Sing VLSFO 0.5% INDIC*
Oct21 523.00 / 528.00
Nov21 518.25 / 523.25
Dec21 514.50 / 519.50
Jan22 511.75 / 516.75
Feb22 509.25 / 514.25
Mar22 506.75 / 511.75
Q4-21 518.75 / 523.75
Q1-22 509.25 / 514.25
Q2-22 501.25 / 507.25
Q3-22 493.00 / 501.00
CAL22 497.00 / 505.00
*Sing 10ppm GO INDIC*
Oct21 79.71 / 79.85
Nov21 79.26 / 79.46
Dec21 78.84 / 79.04
Jan22 78.56 / 78.76
Feb22 78.32 / 78.52
Mar22 78.12 / 78.32
Q4-21 79.20 / 79.50
Q1-22 78.28 / 78.58
Q2-22 77.81 / 78.11
Q3-22 77.43 / 77.73
CAL22 77.33 / 77.73
*ICE Gasoil 10ppm INDIC*
Oct21 604.88 / 608.88
Nov21 601.09 / 605.09
Dec21 597.88 / 601.88
Jan22 595.90 / 599.90
Feb22 593.80 / 597.80
Mar22 591.47 / 595.47
Q4-21 601.30 / 605.30
Q1-22 593.72 / 597.72
Q2-22 588.64 / 592.64
Q3-22 585.50 / 589.50
CAL22 589.71 / 593.71
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