- WTI is down 49c to $45.77/Bbl, and Brent is down 48c to $48.77/Bbl
- Crude is trading lower this morning, retreating from its nine-month high
- Iran expects loosening sanctions from the incoming administration and has begun preparing to raise oil output
- Saudi Arabia increases its official selling price by 80c for crude headed toward its Asian customers
- Iran has begun preparing to raise oil output as Biden presidency approaches (Bloomberg)
- After the 2015 nuclear deal, Iran returned 2 MMBbl/d in production quickly. Biden has said that he plans to re-enter the accord
- JP Morgan Chase estimates Iran could reach 1.2 MMBbl/d in output next year if the incoming administration re-joins the agreement
- Saudi Arabia hikes oil Arab Light official selling price (OSP) for its Asian customers as a sign of strong demand (Bloomberg)
- The 80c increase was the largest in over five months. It signals that Saudi Arabia remains confident about the markets' ability to absorb additional crude despite lockdowns in the U.S. and Europe. Analysts expected the price to increase by 65c, according to a Bloomberg survey
- Saudi Arabia is the first Gulf nation to release its OSP's and usually sets the trend for the other countries in the group