The report from Wood Mackenzie showed stockpiles at the Cushing, Oklahoma, delivery point rose 1.05 million barrels in the week ending May 26.
Reflected in the near-term discount for spot prices (June) over July, of circa USD0.3/bbl. Indicative of weaker physical demand.
Also weighing on the crude price are signs of easing supply side issues:
- Canadian oil sand producers are working to bring back output that was cut by recent wildfires
- Russia's output cuts appear less than promised
- China's demand is still said to be curtailed
Note that OPEC+ next meet on June 4.
Earlier:
Even earlier:
- ICYMI: Oil - Wall Street Journal says "Tensions are rising between Saudi Arabia & Russia"
- Russian Deputy Prime Minister Novak tries to walk back earlier OPEC comments
- UBS on Novak's oil blooper Thursday
