The Brent futures flat price for the Apr contract has seen a minor sell off this morning. Initial stability kept prices in the $83/bbl handles, before selling interest saw price action retrace downwards to $82.58/bbl at 09:55 GMT. Price action has since seen an uptick back to $82.76/bbl at 10:10 GMT.
Prices saw support over the weekend on the back of rising tensions in the Middle East, with a Houthi missile strike hitting a Trafigura-operated tanker on Jan 26. Furthermore, the White House has reported that three US soldiers were killed in a drone attack by Iran-backed Hamas militants, the first American deaths under enemy attack since Israel and Hamas went to war.
A Hong Kong court has ordered the liquidation of China’s real estate giant, Evergrande, the world’s most indebted developer. The markets will be looking ahead to the Fed and Bank of England meetings this coming week, scheduled for Jan 31 at 19:00 GMT and Feb 02 at 12:00 GMT.
The Apr/May and Apr/Oct Brent futures spreads are at $0.43/bbl and $2.66/bbl, respectively.
Asian Refinery Margins: Q2-24: $9.17/bbl, Cal24: $9.05/bbl
Europe Refinery Margins: Q2-24: $7.92/bbl, Cal24: $7.02/bbl
