- Crude prices were volatile this week as the delta variant continues to cloud the demand recovery
- Analysts are mixed on how this new Covid-19 wave will impact oil consumption (Bloomberg)
- The IEA reduced its demand estimates for the rest of the year at the same time Goldman Sachs sees a more temporary impact on consumption
- OPEC+ is unlikely to heed the recent call by the US to boost oil output (Goldman, Rueters)
- Higher gasoline prices in the US sparked Joe Biden’s administration on Wednesday to urge OPEC to increase output
- “We don’t see the recent White House statement as threatening the current market deficit nor the pace of the rebalancing in 2H21, “Goldman Sachs said in a note Thursday
- The IB bank did note that an additional hike in OPEC+ production by the end of the year is required to counter recent supply disappointments globally and expects OPEC+ spare capacity to be normalized by spring of 2022 (Reuters)