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Today we only have time for a “flash” blog due to other commitments
So yesterday’s OPEC meeting delivered…….no change. So no surprise there then.
Crude prices edged up slightly overnight, notwithstanding some disappointment that OPEC might have actually done something (note to optimists – OPEC is not a functioning cartel) – driven by EIA “numbers” (see below).
Brent closed above US$50 for the first time since October last year – at US$50.04, whilst WTI closed at US$49.17.
The EIA’s weekly report indicated that crude stocks had fallen by 1.4 mmbbls and product had also gone down (gasoline by 1.5 mmbbls and distillate by 1.7 mmbbls). Clearly the Canadian production cuts induced by recent wild-fires will continue to work their way through the US system for some weeks to come.
Henry Hub continued its strong recent form, closing up 1% to US$2.40.
Quote of the day
“We’ve seen that the worst is over.” – Qatar’s oil minister and OPEC President Mohammed bin Saleh al-Sada