Middle Eastern crude benchmarks Oman and Dubai extended gains on Thursday amid thin trade.

The market typically starts the trade after Saudi Arabia and other major oil exporters release their official selling prices for the new month.

Traders are also waiting for evidence on Russia’s oil production cut in March, which could support the premiums of Middle Eastern crude as major Russian oil takers, such as China and India, would seek supplies from other producers.

China’s seaborne imports of Russian oil are set to hit a record this month after refiners took advantage of cheap prices as domestic fuel demand rebounded, but Russia’s plan to cut exports will likely cap buying in coming months.

SINGAPORE CASH DEALS

Cash Dubai’s premium to swaps rose 15 cents to $2.58 a barrel.

NEWS

Crude oil processed by Indian refiners reached record levels in January, provisional government data showed on Wednesday, as the country boosted shipments of lucrative Russian barrels that Western countries shunned.

Refiners’ profit from making gasoline has tripled in Asia this year from October lows amid tight supplies from China and hopes of record Indonesian demand, a trend that is likely to continue into summer driving season, traders and analysts said.

U.S. crude oil inventories rose for the 10th week in a row, surging to their most since May 2021, but record U.S. exports of crude oil kept the build smaller than in recent weeks, data from the U.S. Energy Information Administration showed on Wednesday.
Source: Reuters