WTI Rises, Cushing Drops 1.8 Million Barrels
Oil prices rose after a US industry report on inventories delivered mixed signals. December Brent rose 0.8% to $65.96/barrel (11:36 a.m. SGT), nearing $66 after being nearly flat the previous day. November WTI rose 0.9% to $62.27/barrel. API data showed a 1.8 million barrel draw at the Cushing, Oklahoma, hub and falling product stocks (including gasoline), while national crude inventories are expected to rise, though still near seasonal lows.
On the global supply side, the market is weighing OPEC+'s plan to continue increasing production to gain market share, along with projected record US output this year thanks to rising offshore supply. In Eastern Europe, Ukrainian drone attacks on Russian energy infrastructure have cut domestic processing and boosted crude exports; unprocessed crude flows have approached a 16-month peak in the past four weeks.
Although the risk of future oversupply remains, ANZ analysts believe market participants are likely to discount the impact of increased production until there are signs of physical market easing through rising inventories. For now, the combination of stable low inventories and supply concerns is keeping oil prices on track to rise, pending the release of further official data. (asd)
Source: Newsmaker.id
