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9 million barrels of Middle Eastern oil headed to US
About 9 million barrels of Middle Eastern crude are set to arrive at US ports in August, data from Kpler show. The influx includes the first Kuwaiti oil shipments to the US…
The Story in Brief
About 9 million barrels of Middle Eastern crude are set to arrive at US ports in August, data from Kpler show. The influx includes the first Kuwaiti oil shipments to the US in six years. US inventories, near an eight-year low, rose sharply last week. The oil was released during a brief US-Iran ceasefire. Meanwhile, the US has threatened to maintain a naval blockade of Iran indefinitely. Brent crude edged up to $87.16 a barrel on Friday. However, Opec and the IEA have cut demand forecasts, and US inventories recorded their largest weekly build in over three years.
The Indian Opinion
The competing narratives of endless supply disruption versus demand weakness are both overdone. The influx of 9 million barrels shows that markets still find workarounds, via Yanbu, Sidi Kerir, and shuttle trades. Yet the US blockade threat and Hormuz tensions are real. The concrete test will be the next few weeks' US inventory data and Strait of Hormuz shipping volumes. If the build continues and prices soften, the disruption narrative weakens. If not, the supply fear will hold sway. Which side proves more wrong?
Sources (2): livemint.com, timesofindia.indiatimes.com
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
