The decline in U.S. crude oil inventories last week was tempered by another release of barrels from the country’s strategic petroleum reserve (SPR).
Enbridge will apportion December deliveries on its heavy crude system by 11% and ration space on the light oil system by 13%. The rationing is the highest it has been since last winter.
Despite recent moves by Beijing to dial back some COVID restrictions, analysts see China’s reopening process as taking one step forward, and two steps back—fuel demand in the world's No. 2 oil consumer is seen unlikely to recover until after March 2023.
Panamanian-flagged vessel Pratika had entered the terminal to load a shipment of crude but left after the attack, workers said.
The Wall Street Journal earlier on Nov. 21 reported an output increase of 500,000 bbl/d was under discussion for the next OPEC+ meeting.
"Investors had been steadily accumulating bullish long positions in petroleum, especially crude, expecting OPEC+ output cuts and the price cap to reduce supplies more than the economic slowdown reduces demand," columnist Joh Kemp shared.
While there is sufficient supply to prevent oil prices from breaking out to higher levels, Stratas Advisors forecasts that oil demand will slightly outpace oil supply during the fourth quarter.
Despite cutting its fourth-quarter 2022 forecast, Goldman Sachs kept its 2023 Brent forecast the same.
Attacks on tankers in Gulf waters in recent years have come at times of heightened regional tensions.
Swedish and Danish authorities are investigating four holes in the Nord Stream 1 and 2 pipelines that link Russia and Germany via the Baltic Sea and have become a flashpoint in the Ukraine crisis as gas supplies in Europe run short.