- Oil prices slumped on signs the U.S. is considering another release from its reserves
- The U.S. is mulling the release of roughly 1 MMBbl/d for several months
- The total reserve release could be as much as 180 MMBbl
- A large SPR release “would reduce the amount of necessary priced-induced demand destruction, the sole oil rebalancing mechanism currently available in a world devoid of inventory buffers and supply elasticity,” Goldman Sachs analysts said in a note to clients (Bloomberg)
- Russia is offering India deep discounts on the direct sale of oil as international pressure decreases the demand for its barrels (BBG)
- Moscow is offering its flagship Urals grade to India at discounts of as much as $35/Bbl
- AEGIS notes that the ability of Russia to find alternative outlets for its crude has helped offset the magnitude of the overall global supply shock