Drawdown of oil inventories likely in next few weeks

Drawdown of oil inventories likely in next few weeks

The fall of crude prices after hitting over $80 per barrel to below $70 is seen not perceived as based on fundamentals but the downturn is driven by sentiment. The market remains uncertain mainly due to the unquantified risks from the omicron variant, and inflationary pressures. The situation is likely to clear as we approach the end of the year. One thing, however, is clear — the 2020 experience is certainly out of the way. Yet there are bullish signals drive on the sell-side, as Saudi Aramco is reportedly poised to raise its official selling price of crude to Asia, suggesting an increase in demand for physical barrels. var width=document.documentElement.clientWidth;if(width>=320&&width<728){}; googletag.cmd.push(function(){try{var d=document.documentElement.clientWidth;var a;var c="/21857811890/en.zcom/";var b;if(d>=320&&d<728){a=[300,250];b=["mobile_mr_story"]}else{a=[300,250];b=["MR_Story"]}var h="MR_Story";var g=googletag.defineSlot("/21857811890/en.zcom/",a,"div-gpt-ad-MR_Story").setTargeting("type",b).addService(googletag.pubads());gptAdSlots.push(g);if(h!="MR_Story"){googletag.pubads().collapseEmptyDivs(true,true)}googletag.pubads().enableSingleRequest();googletag.enableServices();if((h=="PSB_Left")||(h=="mobile_psb_left")||(h=="PSB_Top")||(h=="mobile_psb_top")||(h=="PSB_Bottom")||(h=="mobile_psb_bottom")||(h=="PSB_Middle")||(h=="mobile_psb_middle")||(h=="leaderboard_home")||(h=="leaderboard_bottom_home")||(h=="mobile_leaderboard_home")||(h=="mobile_leaderboard_bottom_home")){setInterval(function(){googletag.pubads().refresh([g])},240000)}}catch(f){console.log("Error loading Ad banner "+h)}}); try{googletag.cmd.push(function(){googletag.display("div-gpt-ad-MR_Story")})}catch(e){console.log("Error displaying Ad banner "+bannerName)}; The OPEC+ decision on Dec.2 to continue with its strategy to increase production for January 2022 by 400,000 barrels per day came to prove that its role is to secure supplies to the market and maintain stability. Despite facing weak margins, an increase in refinery runs in China would, in particular, support the sour crude market in the medium term, adding a particular incentive for OPEC+ to stick to its production target of raising