After a volatile week, prices ended down since last Monday and the market is coming off more this morning as more covid-19 cases mean more restrictions being imposed in many countries including the UK, Spain and Italy. The US is seeing more cases in the Mid-West but also New York and New Jersey – all meaning a probable drop in demand for oil. At this time Libya continues to increase its production currently 560k bpd and possible increasing to abound 1million bpd, the rig count in the US continues to increase as well. Demand in Asia continues to look OK. OPEC+ has decided to push back a reduction in production cuts to the end of the year to try and offset the probable drop in demand.
Singapore is tight until about 3-4th November, Fujairah has really tightened up today and looking earliest 8th November now. Supplies in China a little tighter as enquiries move from Singapore. Korea avails still OK at this moment. NWE still a little tight – with delivery 5-6 days out. Med about 4-5 days out with avails tightening as well. Tropical Storm Zeta is expected to bring strong winds and rains into the Gulf Coast on Tuesday/ Wednesday with the possibility of strengthening to a hurricane by the time it reaches New Orleans. Suppliers are expecting some slight delays but otherwise are good with avails. Panama avails are good however some suppliers have advised their resupply is delayed due to the storms in the USG – expect possible premiums.