3-10-21 RCC Energy Market Update

Large draws on finished products brought support to the market today, as the DOE report showed an 11.87M bbl draw on gasoline and a 5.5M bbl draw on distillates. Crude oil had another large build posted at 13.8M bbls. Additional support was brought to the market from reports of a more optimistic global economic outlook, where the global economy is set to rebound 5.6% this year and expand another 4% in 2022. Oil prices have rallied over the last few months as OPEC+ kept supply curbs in place. The foreign minister of Saudi Arabia said the kingdom and Russia are keen to keep fair oil prices and continue cooperation with the cartel’s objectives as the country’s leaders briefed the press during a meeting with representatives from Russia and Saudi Arabia – easing any concerns the two members might disagree on production metrics in the near future.