Jun Brent futures flat price oscillated in and out of $90/bbl handles all afternoon, reaching a low of $89.40/bbl around 15:50 BST before correcting to $90.05/bbl at 17:10 BST but falling to $89.90/bbl handles come 17:20 BST (time of writing). OPEC, in its monthly report, stuck to last month’s forecast for world oil demand growth, stating that demand is expected to rise by 2.25mbbls/d in 2024 and 1.85mbbls/d in 2025. In addition, the producer group has said that despite some “downside risks,” the momentum seen in the beginning of the year could translate into further upside potential for global economic growth in 2024. Market participants will now be awaiting the IEA’s monthly report due tomorrow. In other news, oil exports from Russia’s Baltic ports are expected to rise by 5% month-on-month to 7.1 million metric tonnes in April. In addition, a power outage shut multiple fuel-producing units at Motiva Enterprise’s 626kbbls/day Port Arthur refinery in Texas. Finally, the front-month and six-month spreads are currently at $0.90/bbl and $4.90/bbl, respectively.
