Markets

Traders were looking ahead to the OPEC+ meeting on Dec. 4 as well as the launch of the Group of Seven Nations (G7)'s price cap on Russian crude and the EU's ban on imports of seaborne Russian oil that both begin on Dec. 5.

More increases in coronavirus-infection rates in China during the week to Nov. 25 reignited worries that the country's economic recovery will be long and slow, keeping a lid on demand.

After talk of China loosening its coronavirus-related restrictions late in the week to Nov. 11, weekend figures showed a spike in infections in the country, which dampened petroleum sentiment early in the week ending Nov. 18.

Early in the week, traders were focused on tight restrictions related to China's zero-COVID-19 policy, which are bearish for demand sentiment.

The 2MM-b/d crude-production cut by OPEC+ was scheduled to have begun on Nov. 1, giving focus to supply tightness.

Strength in the US dollar has been a frequent source of price pressure for crude and refined products (as well as other commodities) in recent months as the US has been recovering from the economic doldrums of 2020.

Before the OPEC+ meeting on Oct. 5, traders were already anticipating a reduction in output from the OPEC+ coalition, albeit a smaller cut than the one agreed to at mid-week.

US GoM production outages related to Hurricane Ian offered some support to futures prices for crudes and refined products, but the week's biggest day-on-day jumps came after bullish statistics from the US EIA at mid-week showed shrinking stocks and rising implied demand.

NYMEX RBOB joined the crude futures contracts in a bearish slide after the US Federal Reserve announced another sharp hike to interest rates, reigniting concerns that an economic recession will bite into oil demand.

DME Oman was the only petroleum futures contract covered here that saw a week-on-week price increase over the week ending Sept. 16, though ethanol futures moved higher as well.