Oil’s price action is bullish, as it shrugged off a series of seemingly bearish news inputs over the last 48 hours. That news swung the other way overnight, with domestic protests disrupting local production, and with the arrival of Russian paratroopers to restore order. Libya is also struggling to maintain production due to maintenance issues.
That saw oil prices soar overnight, with Brent crude climbing 2.40% to USD 82.00 a barrel, and WTI rocketing 3.20% higher to USD 79.65 a barrel. Additionally, the backwardation of the oil futures curve has started widening once again, implying that prompt demand is robust. In Asia, the rally has continued, driven by Kazakhstan nerves (1.6 million bpd), Brent crude climbing 0.60% to USD 82.50, and WTI rising 0.50% to USD 80.00 a barrel.