Brent Crude Oil : steadied above $91 per barrel on Tuesday as traders weighed the prospect of tighter oil supplies against fears of a demand-sapping global recession.
Markets are gearing up for huge OPEC+ output cuts from November, while traders and refiners are booking storage tanks in anticipation of a supply crunch as the European Union embargo on Russian oil takes effect in December, Bloomberg reported.
Crude Oil adding to supplies concerns, Exxon Mobil exited Russia completely and accused the country of expropriating its operations.
In China, expectations that authorities would maintain loose monetary policy and deliver more pro-growth measures buoyed the demand outlook in the world’s top crude importer.
Meanwhile, oil prices continue to face downward pressures from aggressive monetary tightening aimed at curbing inflation that markets fear would tip the global economy into recession.
While the average amount of gas flowing to US LNG export plants fell to 11.0 bcfd so far in October from 11.5 bcfd in September, and below a monthly record of 12.9 bcfd in March. Meanwhile, average gas output in the US Lower 48 states rose to 99.6 bcfd so far in October from a record 99.4 bcfd in September. The EIA report showed that US utilities added 125 bcf of gas to storage last week, the 4th consecutive week of increases above 100 bcf.