$CLK6

NY Crude Up 1% at US$92.20 and Brent Crude Up 1.25% at Near US$96

Brent Crude Up 1% at Near US$95.80

Update: WTI Oil Closes Sharply Lower on the Prospect of Further U.S.-Iran Talks

West Texas intermediate (WTI) crude oil closed sharply lower on Tuesday after U.S. President Trump said further talks with Iran in Pakistan "could be happening over next two days", while the International Energy Agency said it expects oil demand to fall this year on a lack of supply as the Strait of Hormuz remains essentially closed.WTI crude oil for May delivery was closed down US$7.80 to settle at US$91.28 per barrel, while June Brent oil was last seen down US$4.58 to US$94.78.Trump's widely reported comments raise hopes the two sides can reach an agreement to reopen the Strait to tanker traffic. Persian Gulf nations shipped a fifth of daily oil supply through the Strait prior to the start of the war. While some of the region's producers have increased pipeline shipments outside of the conflict, the bulk of the supply remains off the market."The SoH (Strait of Hormuz) is now essentially fully closed. Iran won't allow non-Iranian oil out while the US blockade will prevent Iranian oil to transit out through the SoH. The only oil coming from the Middle East is now coming from Saudi Arabia through the East-West pipeline to Yanbu in the Read Sea," Bjarne Schieldrop, chief commodities strategist at SEB Research wrote.The supply shock is forcing spot oil prices well above futures as countries compete for scant supply. The Wall Street Journal reported Dated Brent oil, for delivery within 30 days, traded at US$132.74 on Monday as desperate buyers meet a lack of suppliers.In its monthly Oil Market Report, the International Energy Agency said the lack of supply is being met with a drop in demand. The agency said it expects oil demand to fall by 80,000 barrels per day this year, the first drop since the pandemic, and down by 730,000 bpd from its prior forecast."Initially, the deepest cuts in oil use have come in the Middle East and Asia Pacific, mainly for naphtha, LPG and jet fuel. However, demand destruction will spread as scarcity and higher prices persist," it said.The agency said supply dropped by 10.1-million bpd to 97 million in March due to the closure of the Strait and Iranian attacks on oil infrastructure in the Persian Gulf region. Global oil inventories dropped by 85-million barrels last month, with stocks outside the Middle East down by 205-million barrels."Resuming flows through the Strait of Hormuz remains the single most important variable in easing the pressure on energy supplies, prices and the global economy ... Shipments through the Strait remained severely restricted, with loadings of crude, natural gas liquids and refined products averaging around 3.8 mb/d, compared with more than 20 mb/d in February ahead of the crisis," the report noted.

May WTI Crude Oil Contract Closes Down US$7.80; Settles at US$91.28 per Barrel

Oil Trading Lower Even As Persian Gulf Supply Remains Blocked While IEA Slashed Its Demand Forecast

Oil prices moved lower early Tuesday as the International Energy Agency said it expects oil demand to fall this year on a lack of supply as the Strait of Hormuz remains essentially closed with the United States blockading Iranian ports while Iran continues to prevent most tanker transit though the waterway.West Texas Intermediate crude oil for May delivery was last seen down US$1.74 to US$97.34 per barrel, while June Brent oil was down US$0.38 to US$98.98.Persian Gulf nations shipped a fifth of daily oil supply through the Strait prior to the start of the war. While some of the region's producers have increased pipeline shipments outside of the conflict, the bulk of the supply remains off the market. The United States and Iran resumed hostilities following unsuccessful weekend talks to end the conflict. Though there are no reports the two countries are carrying out strikes, the U.S. Navy is preventing traffic to and from Iranian ports and few ships are passing through the Strait for fear of Iranian attacks."The SoH (Strait of Hormuz) is now essentially fully closed. Iran won't allow non-Iranian oil out while the US blockade will prevent Iranian oil to transit out through the SoH. The only oil coming from the Middle East is now coming from Saudi Arabia through the East-West pipeline to Yanbu in the Read Sea," Bjarne Schieldrop, chief commodities strategist at SEB Research wrote.The supply shock is forcing spot oil prices well above futures as countries compete for scant supply. The Wall Street Journal reported Dated Brent oil, for delivery within 30 days, traded at US$132.74 on Monday as desperate buyers meet a lack of suppliers.In its monthly Oil Market Report, the International Energy Agency said the lack of supply is being met with a drop in demand. The agency said it expects oil demand to fall by 80,000 barrels per day this year, the first drop since the pandemic, and down by 730,000 bpd from its prior forecast."Initially, the deepest cuts in oil use have come in the Middle East and Asia Pacific, mainly for naphtha, LPG and jet fuel. However, demand destruction will spread as scarcity and higher prices persist," it said.The agency said supply dropped by 10.1-million bpd to 97 million in March due to the closure of the Strait and Iranian attacks on oil infrastructure in the Persian Gulf region. Global oil inventories dropped by 85-million barrels last month, with stocks outside the Middle East down by 205-million barrels."Resuming flows through the Strait of Hormuz remains the single most important variable in easing the pressure on energy supplies, prices and the global economy ... Shipments through the Strait remained severely restricted, with loadings of crude, natural gas liquids and refined products averaging around 3.8 mb/d, compared with more than 20 mb/d in February ahead of the crisis," the report noted.

Brent Crude Down Near 0.7% at About US$98.70 and NY Crude Down 2.25% at US$96.85

Update: WTI Oil Settles Below US$100 As U.S. And Iran Fail To Reach A Deal; U.S. Promises To Blockade Iran

West Texas Intermediate (WTI) crude oil tested the US$100 per barrel mark on Monday before falling back after the United States said it will blockade Iran's ports after weekend peace talks in Pakistan ended without an agreement to end hostilities.WTI crude oil for May delivery closed up US$2.51 to settle at US$99.08 per barrel, after earlier touching US$105.63, while June Brent oil was last seen up US$3.92 to US$99.12.Direct and indirect talks between Iran and the United States failed to reach an agreement, with Iran refusing to agree to U.S. demands that it end its uranium-enrichment program. In response to the unsuccessful negotiations, the United States said it will blockade Iran's ports and block any ships paying Iran for passage through the Strait of Hormuz. Iran responded by threatening attacks on ports in the Persian Gulf and Sea of Oman, according to the Wall Street Journal.Failure to reach a deal leaves the Strait of Hormuz closed to tanker traffic, continuing to block 20% of daily oil demand supplied by Persian Gulf nations. The largest-ever supply shock likely to be magnified by the oncoming high-demand summer season."Once again, high stakes negotiations between the US and Iran deadlocked over Washington's zero uranium enrichment demand, setting the stage for further escalation in the 6-week war and prolonged supply disruptions in advance of summer driving season," Helima Croft, Head of Global Commodity Strategy and MENA Research at RBC Capital Markets, wrote."In the absence of a negotiated deal, the White House is essentially left with the option of a strategic retreat that would leave Iran with de facto control over the Strait or a military escalation aimed ateliminating the Tehran tollbooth."

May WTI Crude Oil Contract Closes Up US$2.51; Settles at US$99.08 per Barrel

Oil Pushes Back Above US$100 As U.S. And Iran Fail To Reach Peace Deal; U.S. Promises To Blockade Iran

Oil pushed back above the US$100 per barrel mark early Monday after the United States said it will blockade Iran's ports after weekend peace talks in Pakistan ended without an agreement to end hostilities.West Texas Intermediate crude oil for May delivery was last seen up US$7.18 to US$103.75 per barrel, while June Brent oil rose US$7.00 to US$102.20.Direct and indirect talks between Iran and the United States failed to reach an agreement, with Iran refusing to agree to U.S. demands that it end its uranium-enrichment program. In response to the unsuccessful negotiations, the United States said it will blockade Iran's ports and block any ships paying Iran for passage through the Strait of Hormuz. Iran responded by threatening attacks on ports in the Persian Gulf and Sea of Oman, according to the Wall Street Journal.Failure to reach a peace deal leaves the Strait of Hormuz closed to tanker traffic, continuing to block 20% of daily oil demand supplied by Persian Gulf nations. The largest-ever supply shock likely to be magnified by the oncoming high-demand summer season."Once again, high stakes negotiations between the US and Iran deadlocked over Washington's zero uranium enrichment demand, setting the stage for further escalation in the 6-week war and prolonged supply disruptions in advance of summer driving season," Helima Croft, Head of Global Commodity Strategy and MENA Research at RBC Capital Markets, wrote."In the absence of a negotiated deal, the White House is essentially left with the option of a strategic retreat that would leave Iran with de facto control over the Strait or a military escalation aimed ateliminating the Tehran tollbooth."

Brent Crude Up 7.7% at Near US$102.50 and NY Crude Up 8.2% at Near US$102.50

Update: WTI Oil Closes Lower Amid a Shaky Ceasefire Between the U.S. and Iran

West Texas Intermediate (WTI) crude oil closed lower on Friday amid doubts over the state of the ceasefire between Iran and the United States as Israel continues its attacks on Lebanon and the Strait of Hormuz remains closed.WTI crude oil for May delivery closed down US$1.30 to settle at US$96.57 per barrel, while June Brent oil was last seen down US$0.60 to US$95.32.A fragile two-week ceasefire for the United States' war on Iran reached this week looked more uncertain on Friday as Iran is said to be refusing to attend peace talks scheduled to be held this weekend in Pakistan as long as Israel continues its attacks on Lebanon. Reports on Thursday said Israeli Prime Minister plans to open talks with Lebanon but its attacks on Hezbollah militants in the country continue."Western outlets have reported that the Iranian delegation has already arrived in-country while some Iranian outlets dispute this claim, continuing to suggest that the talks are conditional on a ceasefire with Lebanon where Israel / Hezbollah continue to trade strikes," Tudor, Pickering, Holt analyst Matt Portillo wrote.Iran continues to block the passage of tankers stranded in the Persian Gulf through the Strait of Hormuz, the choke point for exports from the region that supplies 20% of daily oil demand. The closure of the Strait has pushed oil futures up 41% since the start of the conflict, but spot prices have risen even more, reaching a record high this week as buyers hunt for supply."The physical market remains relatively supported as traders resist significant revisions in differentials in the near term, largely opting for a "show me" mentality despite speculation over the future of Strait of Hormuz transits swirling in oil markets. While Dated (spot) Brent trimmed from Tuesday's all-time record of $144.42/bbl (assessed at $124.68/bbl on April 8) and Middle Eastern cash differentials waned, Atlantic Basin crudes have continued to see strength as limited prompt availability of cargoes remains," Christopher Louney, a commodities strategist at RBC Capital Markets, wrote.

May WTI Crude Oil Contract Closes Down US$1.30; Settles at US$96.57 per Barrel

Oil Edges Lower Amid a Shaky Ceasefire Between the U.S. and Iran as Israel Continues to Attack Lebanon

Oil prices edged lower early on Friday amid doubts over the state of the ceasefire between Iran and the United States as Israel continues its attacks on Lebanon and the Strait of Hormuz remains closed.West Texas Intermediate crude oil for May delivery was last seen down US$0.29 to US$97.58 per barrel, while June Brent oil was down US$0.27 to US$95.65.A fragile two-week ceasefire for the United States' war on Iran reached this week looked more uncertain on Friday as Iran is said to be refusing to attend peace talks scheduled to be held this weekend in Pakistan as long as Israel continues its attacks on Lebanon. Reports on Thursday said Israeli Prime Minister plans to open talks with Lebanon but its attacks on Hezbollah militants in the country continue."Western outlets have reported that the Iranian delegation has already arrived in-country while some Iranian outlets dispute this claim, continuing to suggest that the talks are conditional on a ceasefire with Lebanon where Israel / Hezbollah continue to trade strikes," Tudor, Pickering, Holt analyst Matt Portillo wrote.Iran continues to block the passage of tankers stranded in the Persian Gulf through the Strait of Hormuz, the choke point for exports from the region that supplies 20% of daily oil demand. The closure of the Strait has pushed oil futures up 41% since the start of the conflict, but spot prices have risen even more, reaching a record high this week as buyers hunt for supply."The physical market remains relatively supported as traders resist significant revisions in differentials in the near term, largely opting for a "show me" mentality despite speculation over the future of Strait of Hormuz transits swirling in oil markets. While Dated (spot) Brent trimmed from Tuesday's all-time record of $144.42/bbl (assessed at $124.68/bbl on April 8) and Middle Eastern cash differentials waned, Atlantic Basin crudes have continued to see strength as limited prompt availability of cargoes remains," Christopher Louney, a commodities strategist at RBC Capital Markets, wrote.

Brent Crude Up 0.5% at US$96.40 and NY Crude Up 0.7% at Near US$98.60

NY Crude Up 0.9% at Near US$98.75