Sign up
Log in Sign up
This is a legacy page. Please click here to view the latest version.
Wed 17 Oct 2018 10:48

Oil market closed higher following API draw


By A/S Global Risk Management.

Michael Poulson, Senior Oil Risk Manager at Global Risk Management.
Image: A/S Global Risk Management
Yesterday's trade closed slightly higher following a draw reported by the API.

The oil market has cooled down from $85 and is now back to the $80 level. Yesterday, the price once again tested the $80 threshold but got rejected back into $80 territory.

No major news occurred yesterday, and the market seems to be assessing whether Saudi Arabia will be able to offset the missing barrels from Iran. Saudi Arabia has been out during this week expressing interest in offsetting the missing Iranian barrels, especially with regards to India.

Disputes between the US and Saudi Arabia are arising as a columnist disappeared from the Saudi embassy in Turkey. Following the incident, the US have threatened Saudi Arabia in case the columnist was killed. Saudi Arabia responded by what the media sees as an implicit threat - using their oil exports as a weapon if the US were to take any actions against the kingdom. If true, this is the first time since the 1970s oil embargo they have used their oil as a geopolitical weapon.

However, what allegedly drove the market to a slightly higher close and an even higher current level was that the API reported a draw on the US crude stocks of 2.1 mbbl. The API also reported a large draw on gasoline of 3.4 mbbl and a small draw of 0.24 mbbl on distillates.

Later today the EIA releases its weekly inventory stats.

Graphic announcing the release of the DNV Net-Zero Guidance Paper. DNV and WMMF release guide to help shipowners navigate path to net-zero  

Guide offers practical roadmap for decarbonisation amid evolving regulations and commercial pressures.
Aerial view of MSC container ship and Marine Ista vessel. Vitol launches Pakistan bunker operations with first large-scale IMO-compliant fuel production  

Supplier expands bunkering network to three Pakistani ports, sourced from locally produced VLSFO.
Port Director Ingvar M. Mathisen in front of Pelikan II vessel. Port of Oslo introduces fee structure rewarding zero-emission vessels  

Norwegian port offers quay fee exemptions and discounts for ships using shore power and green technology.
Coral Energy vessel. Gasum publishes daily price for FuelEU Maritime compliance units  

Nordic energy company aims to enhance transparency in the evolving regulation compliance market.
Lady Clara vessel alongside Till Benelux vessel. Bunker Suite completes E-BDN trial aboard Lady Clara in Rotterdam  

Digital platform provider conducts electronic bunker delivery note trial with partners.
Chane Terminal Nieuwe Maas in Rotterdam. Peninsula expands biofuel capabilities in Rotterdam  

Marine fuel supplier adds 30,000 cbm capacity, with plans to expand to 110,000 cbm in early 2026.
Northern Europe map with the Finnish flag placed over Finland. ScanOcean launches physical bunker supply operations in Finland  

Swedish supplier expands into Finland with MGO and renewable fuels offerings.
Singapore Port viewed from The Pinnacle@Duxton. Singapore marine fuel sales dip 1.2% in October  

First YoY decline since February as sales of best-selling product fall despite bunker calls rising to second-highest level in port's history.
Daria Sukhanova, PMG Energies. PMG Energies appoints Daria Sukhanova as bunker trader  

Marine fuel business adds trader with over five years of experience to its team.
CMA CGM Salamanque vessel alongside Edison's Ravenna Knutsen vessel. CMA CGM and Edison complete Italy's first STS LNG bunkering for a boxship  

Ship-to-ship operation marks the first time LNG has been delivered to a container vessel in the Adriatic.

↑  Back to Top


 Recommended