Brent Crude at $102 After China Halts Fuel Exports and a…
By Tobi Opeyemi Amure
AI summary of the source article
Brent crude December futures held near $102 a barrel following a gain of over $4, driven by a suspension of Chinese refined fuel exports and escalating Middle East tensions. Chinese refiners halted diesel, petrol, and jet fuel shipments due to low domestic inventories, coinciding with Russia's ongoing diesel export ban. Meanwhile, the US is deploying a third aircraft carrier and up to 10,000 troops to the Middle East amid tanker strikes in the Strait of Hormuz. Gains were checked by recovering Gulf crude supply, with Saudi Arabia resuming tanker loadings at Yanbu and the EU considering releasing emergency diesel reserves.
Why it matters
A simultaneous reduction in refined product exports from China and Russia tightens global fuel markets, keeping oil risk premiums elevated despite recovering crude flows from the Gulf.
Key facts
- Brent crude December futures settled at $102.31 on 1 October, gaining $4.28 or about 4.4 percent.
- Chinese refiners suspended exports of diesel, petrol, and jet fuel to destinations beyond Hong Kong and Macau.
- Saudi Arabia resumed tanker loadings from Yanbu and restarted the East-West Pipeline, with Goldman Sachs estimating Gulf exports at 23.3 million barrels per day.