U.S. holiday, OPEC output

Today is a U.S. holiday, Independence Day. Therefore the weekly oil stocks reports are a day delayed, i.e. the report from the American Petroleum Instute (API) is published on Wednesday while the EIA report is published on Thursday afternoon. Furtermore, we could see some subdued trading and hence increased volatility.

The weekly oil rig count from Baker Hughes on Friday showed an increase of 1 oil rig to 595 in the U.S. Earlier last week, an EIA report showed that the U.S. oil production increased to 12.1 mio. barrels, which is the highest for more than 2 years. In its monthly oil market report, the EIA foresees an increase in production to around 13 mio. barrels per day next year.

According to a Reuters survey, published on Friday, the group of oil producers called OPEC produced 28.52 mio. barrels per day last month, which is around 100,000 barrels less than in May. The largest production drops come from Libya and Nigeria where unrest and protests cause shurtdowns. Lately, several sources have raised doubts on the ability of OPEC to increase output together with other oil producers, together called OPEC+. OPEC+ agreed to raise output this and next month.

There are no major economic key data today, but over the week, a row of production data from various countries are published along with the latest jobs data from the U.S. Wednesday, the U.S. central bank publishes meeting notest from its latest meeting in June.

?This market briefing is based solely on publiccally available sources and we cannot guarantee or take responsibility for data accuracy. Neither shall the content form basis of recommendations to purchase or sell financial hedging products, but is solely for information purposes.