- Oil trades lower despite optimism about progress in U.S. debt ceiling talks
- June ’23 WTI lost 39c this morning to trade around $72.44/Bbl
- Crude is down almost 10% this year as global economic headwinds remain a significant concern
- President Biden and key congressional leaders are negotiating to raise the debt ceiling before the June 1 deadline (Reuters)
- Last week’s 5 MMBbl build in inventories and the near two-month high of the U.S. dollar are weighing on prices
- Alberta wildfires escalate, threatening oil production (BBG)
- Persistent wildfires in Alberta endanger nearly 2.7 MMBbl/d of oil-sands production, with approximately 0.3 MMBbl/d currently halted, according to Rystad Energy
- The number of active wildfires in Alberta rose to 91 on Wednesday, up from 86 just a day earlier
- Despite improved weather, conditions are expected to worsen; 12,000 residents remain evacuated
- India mulls refilling Strategic Reserve; Russian imports under consideration (BBG)
- India may join the U.S. in the process of restocking depleted oil reserves, contemplating a massive refill of their strategic oil reserve
- Potential import of 9.2 MMBbl by India is under discussion, with Russia as a possible supplier