Energy Report: Coming Out Of Its Shell

Crude oil prices are rising on surging Chinese oil demand, increasing geopolitical risk factors boasts from Iran that they have built a "missile city” and Reuters reports of missiles and rockets hitting fuel tankers in northern Syria near the Turkish border, causing casualties. They are also reporting that OPEC production cuts have led to India relying more on the U.S. on oil imports. Reuters reported that the U.S. overtook Saudi Arabia as India's second-biggest oil supplier in February.

Refuel, Petrol Stations, Gas Pump, Petrol, Gas, Auto

Image Source: Pixabay

China's oil demand continues to support the global oil market. China's oil demand increased 17% in January-February from a year earlier, to 13.326 million barrels a day, according to data compiled by Bloomberg. That snapshot considers domestic oil-processing volume and the net import of refined petroleum. Bloomberg also reports that more Chinese are taking to the skies, too, in a boost for jet fuel. Air-passenger volume rose to 23.9 million trips in February, according to the local civil aviation administration. That is approaching three times year-earlier levels.

Both China's demand and Indian demand for oil are exceeding pre-COVID levels and now in the U.S., gasoline demand is also recovering to almost normal levels. Gas Buddy data shows that U.S. gasoline demand last week was just 0.98% below the same week last year (considered pre-pandemic). It rose 2.9%. Patrick DeHaan tweeted WOW!

Iran is making demands on the Biden administration while upping the ante. Iran State Media says that the Iranian revolutionary guard is going to unveil a "missile city”, raising the risk factor in the Middle East. Yet at the same time Iran says according to Reuters that, “The United States should act quickly to revive Iran’s nuclear deal because once Iran’s presidential election period kicks off it is unlikely much will happen until later this year, Iranian Foreign Minister Javad Zarif said on Monday. Speaking at the European Policy Centre think tank, Zarif repeated Tehran’s longstanding demand that Washington returns first to compliance by lifting sanctions. Yet the Biden administration said that they would consult with Congress before moving to lift sanctions on Iran.

1 2
View single page >> |

Disclaimer: Make sure you get signed up for exclusive info and my Daily Trade Levels by calling Phil Flynn at 888-264-5565 or email me at  more

How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.