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By the Oil Desk at Freight Investor Services Ltd.

Brent closed last night at $55.69 up 1.36 and WTI closed up 1.33 to $52.83. What's happened? It seems non-OPEC countries have also agreed to cut supply. This, along with the OPEC cut, will mean 1.8mn bpd will be coming off the market starting from January. Now, we know you all think we're the Ghosts of Christmas Future and am a proper doom monger but I see as much chance of this agreement going ahead as Arsenal have of going through to the next round of the Champions League - and one of our team is an Arsenal fan. I mean, yes, it all reads and sounds lovely, it really does; a significant cut is what we have planned, but will it actually happen? I hope it does, otherwise the integrity of any future OPEC agreement will be brought into serious question. The big question will be: if prices continue to rise, what is there to stop the temptation of actually opening the taps further to take advantage of higher flat price? This is business after all and so much has been written about "low oil prices" that when prices are significantly higher than they have been, will the OPEC agreement have any punishable caveats in it to stop certain producer countries making that move?

Economic data/events

* 7am: Germany CPI m/m for Nov. F, est. 0.1% (prior 0.1%); Germany CPI y/y for Nov. F, est. 0.8% (prior 0.8%)

* 9am: IEA monthly oil market report including est. of OPEC's November production

* 9:30am: U.K. Nov. PPI output NSA m/m, est. 0.2% (prior 0.6%); U.K. Nov. PPI output NSA y/y, est. 2.5% (prior 2.1%)

* 10am: Germany Dec. ZEW survey current situation, est. 59 (prior 58.8); Germany Dec. ZEW survey expectations, est. 14 (prior 13.8)

* 1:30pm: U.S. Nov. import price index m/m, est. -0.4% (prior 0.5%)

* 2:30pm: OPEC SecGen Mohammad Barkindo discusses OPEC outlook at Center for Strategic and International Studies, Washington

* 9:30pm API issues weekly U.S. oil inventory report

* Today:

* Bloomberg-compiled refinery snapshot, looking at key outages at refineries in the U.S. and Canada, and providing offline capacity projections for crude units and FCCs

Singapore 380 cSt

Jan17 - 315.25 / 317.25

Feb17 - 313.25 / 315.25

Mar17 - 312.25 / 314.25

Apr17 - 311.75 / 313.75

May17 - 311.00 / 313.00

Jun17 - 310.50 / 312.50

Q1-17 - 313.75 / 315.75

Q2-17 - 310.25 / 312.25

Q3-17 - 308.50 / 311.00

Q4-17 - 306.00 / 308.50

CAL17 - 310.00 / 313.50

CAL18 - 302.75 / 307.75

CAL19 - 287.00 / 294.00

CAL20 - 258.50 / 266.50

Singapore 180 cSt

Jan17 - 322.00 / 324.00

Feb17 - 320.25 / 322.25

Mar17 - 319.25 / 321.25

Apr17 - 318.75 / 320.75

May17 - 318.00 / 320.00

Jun17 - 317.50 / 319.50

Q1-17 - 320.50 / 322.50

Q2-17 - 317.50 / 319.50

Q3-17 - 315.25 / 317.75

Q4-17 - 313.00 / 315.50

CAL17 - 316.75 / 320.25

CAL18 - 310.25 / 315.25

CAL19 - 295.50 / 302.50

CAL20 - 267.25 / 275.25

Rotterdam 3.5%

Jan17 293.75 / 295.75

Feb17 294.25 / 296.25

Mar17 294.75 / 296.75

Apr17 294.75 / 296.75

May17 294.75 / 296.75

Jun17 294.75 / 296.75

Q1-17 294.25 / 296.25

Q2-17 294.25 / 296.25

Q3-17 293.50 / 296.00

Q4-17 291.50 / 294.00

CAL17 293.00 / 296.50

CAL18 289.00 / 294.00

CAL19 272.00 / 279.00

CAL20 235.75 / 243.75

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