- OPEC+ agreed to 648 MBbl/d output increases in August, advancing their production targets for the year, despite some members struggling to achieve quotas
- The increase in production levels for August is in line with what OPEC+ decided for July
- AEGIS notes that OPEC+ is still likely to supply far less oil to the market than agreed, failing to provide the much-needed respite
- Russia continues to export barrels of crude to India despite recent economic and energy sanctions on Moscow (BBG)
- Moscow is on track to deliver 1.0- 1.2 MMBbl/d to India this month as some refiners in India are purchasing discounted Urals after the Russian invasion
- The share of Iraq and Saudi Arabia in the world's largest oil-consuming area has been decreasing as a result of Russia's advance on the Indian and Chinese markets
- The cumulative deliveries from the two countries to India have decreased by around 500 MBbl/d since April while Russian flows increased, according to tracking data
- The U.S. gasoline market is showing signs of further softening just three weeks into the peak driving season (BBG)
- The four-week moving average of gasoline product supplied, the strongest indicator of demand, dropped below 9 MMBbl/d, or approximately 600 MBbl/d below usual seasonal levels, according to EIA
- Demand is likely under pressure as retail gas prices hit record highs of $5.016/gal on June 13 and have since only slightly decreased