The May Brent futures has seen a volatile afternoon with prices reaching lows of $82.10/bbl at 14:10 GMT although strengthened to $83.07/bbl at 16:25 GMT. At 17:00 (time of writing), the contract was seen trading at $82.94/bbl.
Chinese crude oil imports jumped by 5.1% in January and February, compared to the same months last year. This is in line with the Lunar New Year celebrations that surpassed expectations of consumption in the country. During the CNY, China’s demand for gasoline and jet fuel surged.
Sheikh Nawaf Al-Sabah, chief executive of Kuwait’s state oil firm Kuwait Petroleum Corporation (KPC), said global demand for oil looks robust this year. He highlighted that rising production in US shale has helped meet part of the recent growth in world oil consumption. India’s fuel consumption increased by 5.7% in February compared to the same month in 2023.
Before the end of the decade, India is expected to become the biggest driver of global oil demand. Iran will unload $50m worth of crude from a tanker seized last year. The Suezmax crude tanker had been chartered by Chevron and was seized in 2023 by Iran’s army following an alleged collision with an Iranian boat.
The front and 6-month Brent futures spreads are at $0.72/bbl and $3.86/bbl respectively.
