Markets

OPEC+'s decision to allow some members to begin unwinding production cuts beginning in Oct. as well as mixed views on when the US Federal Reserve may begin cutting interest rates pressured futures prices.

Following OPEC+'s announcement signaling a shift in strategy towards increasing production from Q4 2024, oil futures prices dipped to their lowest in four months.

Saudi Arabia has decided to lower its official selling price (OSP) for its flagship Arab Light crude oil for deliveries to Asia by $0.50/b from Jun. setting the new premium at $2.40 over the Dubai/Oman benchmark.

In May, Venezuela's oil exports saw a significant increase of 30% from the previous month, as state oil company PDVSA's clients expedited cargo shipments before the reinstatement of US sanctions.

Russian crude exports fell to a six-month low of 3.52MM b/d in May.

The northeast Asian country, one of the world’s largest importers of oil and gas, has announced plans to explore significant offshore reserves off its east coast near Pohang.

Since the US lifted its crude export ban in Dec. 2015, exports surged, reaching over 4 MM b/d by 2023, expanding to more than 50 countries.

The OPEC+ alliance is anticipated to prolong its existing production cuts of 2.2 MM b/d into the latter half of 2024.

Traders were focused on lackluster demand in the US throughout much of the week.