Oil prices moved up on Tuesday morning driven by expectations of an extension of OPEC`s agreement. By 8.50 AM GMT Brent <LCOc1> was trading at $62.51/bbl, 0.47% up compared to the previous settle, at the same time WTI <CLc1> also increased by 0.84% to stand at $56.54/bbl.
Money managers diverged on their net long positions in ICE Brent and NYMEX WTI contracts last week. ICE Brent net speculative positions decreased by 5.5 million bbl last week, while NYMEX WTI net longs were up by 31.90 million bbl.
Thomson Reuters Oil Research have assessed crude oil exports from the Arab Gulf recovered from last week’s drop to 129.59 million bbl. The 12.6 million bbl recovery came mainly on the back of increased loadings from Saudi Arabia. With all eyes on the OPEC meeting next week, key members will be closely watched to monitor commitment in curbing supplies.
A Reuters poll finds that commercial crude inventories may have declined last week by 2.16 mmbbl. Gasoline inventories have possibly increased by 900,000 bbl last week, while fuel oil have likely declined by 1.83 million bbl.
The Oil Research Team
Supply Chain & Commodities Research