rocket domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home/befikry/energyscan.befikry.com/wp-includes/functions.php on line 6121
Oil made a strong rebound on Wednesday: ICE Brent front month climbed by +4.9% to $107.51/b while NYMEX WTI front month gained +6.0% to settle at $105.71/b.
Oil market was driven by the tensions related to the war in Ukraine. First as a major pipeline flowing gas from Russia to Europe through Ukraine stopped operating and later on the day as Russia announced sanctions to stop export of product and raw materials to thirty-five Westerns companies.
Prices were also pushed higher as the number of Covid-19 cases in Beijing is starting to go down, and with the report of a lower factory-gate inflation in China that could open the door to a monetary stimulus.
The EIA published its Weekly Petroleum Status Report: crude oil inventory grew by 8mb last week. In fact, it is the release of 7.0mb from the strategic petroleum reserve that explains most of the stock build. However, under low refining capacities and boycotts of Russian supply, products inventory continued to shrink: -3.6mb for gasoline and -0.9mb for fuel oil, fuel oil inventory reach its lowest level since May 2005.
Today, recession fears are going back (see daily Eco comment) and oil market is down: ICE Brent trades -1.4% lower and NYMEX WTI -1.6% lower.
Get more analysis and data with our Premium subscription
Ask for a free trial here