By Srinivas Chowdary Sunkara // petrobazaar // 24th March, 2022.
Brent oil prices for May delivery rose $6.12 or 5.3 pct to $121.6 a barrel on London based ICE futures Europe exchange while WTI oil May futures prices traded $3.17 or 2.84 pct higher to $114.93 a barrel last night. In Shanghai, Crude oil main contract futures prices slipped 14 Yuan to 699 Yuan/bbl where as in India, MCX crude oil front month futures prices ballooned up to Rs.8730 a barrel yesterday. Brent premium over WTI widened to $6.67 a barrel during the session.
The world crude oil price index curves demonstrated upside momentum yesterday after supply disruptions to Russia and Kazakh crude exports via the Caspian Pipeline Consortium pipeline. Caspian Pileline Consortium (CPC) carries around 1.2Mbpd of Kazakh's main crude grade, Caters 1.2% of global demand. Kazakhstan's exports from CPC terminal through Russia's Black Sea Coast stopped completely on Wednesday due to bad weather of major storm. U.S president set to announce more sanctions on Russia during his Thursday's meeting with EU leaders. EU leaders are split over the sanctions considering the rising oil prices, Inflation rate , Interest rates etc that may push the economy into recession. Turning to weekly numbers, EIA reported that U.S stocks are drawn by 2.5Mbpd while gasoline and distillates stocks were dropped by 2.9Mbpd and 2.1Mbpd respectively. As per report, U.S production numbers remained unchanged while imports were slipped with an increase in exports. Crude throughput into refineries also went up that showed the rise in product demand. Today, Asian markets opened with bearish mood, Clawing back some of yesterday's gains. Rig numbers are awaited and outcome from EU meet may also spur some volatility in the market.
Good day to all.
Disclaimer: Views and opinions expressed here are personal. This commentary is for information purposes only and not an offer or a solicitation to sell or buy any physical commodities or financial instruments. The views and analysis are based on reliable public information available at the time of writing. This report and its content cannot be copied, redistributed or reproduced in part or whole without the prior written permission of petrobazaar.com
