Since early September, oil touched its strongest level as signs that Covid-19 vaccinations in the U.S. could be underway within three weeks improving the demand outlook, while markets broadly rallied after AstraZeneca Plc became the latest company to report a vaccine that protects most people from coronavirus. WTI is $42.83; Brent is $45.47
With consumption in Asia remaining robust, more immediate spreads have reached their point strongest since July. The prospect of a vaccine and producer hedging has caused a significant flattening of the curve for the second half of next year, another sign of expected strength. WTI is $42.00; Brent is $44.52
Oil is still up 2.7% this week amid vaccine developments and a demand rebound in Asia, with China seeing the first draw of its implied crude inventory in three years and Russian crude trading almost $3 higher than the Dubai benchmark. However, a resurgent coronavirus in the U.S. and Europe is sapping fuel consumption there and weighing on the broader global recovery. WTI is $41.52; Brent is $44.20
Oil rallied above $42 a barrel on Monday after news of another Covid-19 vaccine breakthrough but lost some ground as the market grapples with an uneven demand recovery. A resurgent virus in Europe and the U.S. is sapping fuel consumption, compared with Asia where China’s rebound is accelerating and refiners are buying more crude. WTI is $42.17; Brent is $ 44.74
A delay to the planned OPEC+ output hike would help to offset the increase in supply coming from Libya, which has climbed above 1 million barrels a day. OPEC+ is trying to balance US & European COVID concerns against resurgent Asian demand and delay an output hike of almost 2 million barrels a day in January. WTI is $40.87; Brent is $43.36
Click here to view our Offerings.