- Oil heads for a weekly gain as low inventories and tight supplies remain in focus
- October ’23 WTI gained 61c this morning to trade around $87.48/Bbl
- Crude prices hit the highest this year as Saudi Arabia, and Russia extended output cuts to year-end, surpassing market expectations of an October-end
- WTI and Brent reached highs of $88.08/Bbl and $91.15/Bbl respectively
- Despite EIA reporting a 6.3 MMBbl storage draw, prices finished lower yesterday amid a strengthening dollar
- Dallas Fed's Logan hints at another rate skip but not a halt, while NY Chief Williams suggests a potential hike based on incoming economic data
- Concerns persist about China's macroeconomic landscape and its impact on crude demand despite this week’s gains
- Meanwhile, NYMEX diesel futures are nearing a 6% weekly rise to trade around $3.30/Gal, the highest since January
- Russia set to curb seaborne diesel exports by 25% in September (Bloomberg)
- Russia to slash seaborne diesel exports by 25% from Black and Baltic Sea ports amid refinery maintenance and domestic fuel shortage
- Diesel loadings are projected at 0.47 MMBbl/d this month, down from 0.60 MMBbl/d in August, marking the nation's lowest diesel exports since May’s spring maintenance season
- Furthermore, the Russian Energy Ministry's push to control fuel prices led to the nation's refiners redirecting diesel domestically, leading to an 11-month low in fuel exports