Will Cunliffe
Research Analyst, The Officials
Back to square one
Prices are returning to prewar levels, and the Dubai physical premium is the lowest we have ever assessed! Chinese refinery run rates have p
Prices are returning to prewar levels, and the Dubai physical premium is the lowest we have ever assessed! Chinese refinery run rates have plunged to extreme lows as coal consumption across Asia is growing.
Brent has fallen to below pre-war! Can you believe it? The cycle has been completed, and the oil industry will find a balance between the need to restock badly depleted crude oil inventories and bottled up oil spilling out of the Gulf. The Americans and the Iranians are working deals out. Please, just don’t focus on the rhetoric. The deals are far more substantial. Oil is coming out and the Iranians are getting paid. Prompt Brent futures declined to under $76 in the European morning, reaching the Asian close at $75.53/bbl. They had surged to over 80 bucks at the open of March trading, but the crude market is seriously deflating. Dubai desperately needs to catch a bid, as the physical premium plummeted to -$1.53! That’s the lowest we’ve ever assessed since starting in June 2024!
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