All week the news has dribbled out of the Biden admin seeking partner-releases of oil to counter OPEC+ refusal to pump more crude.
The US has approached China, Japan, India, South Korea to consider oil reserve release.
ANZ note that inventories in the region remain low:
- According to Kayrros, China’s combined stockpiles are 919m barrels, the lowest since 2018. India’s are equivalent to less than one week of consumption, while Japan’s are down from last year.
All the words we’ve heard have had some impact but if an oil release does come about from these various nations the market may very well call their bluff.