Chevron Warns Hormuz Closure Risks Global Oil Shortages
Chevron Corp. warned that global oil supplies are at risk of running short if the Strait of Hormuz remains closed, with Chief Executive Officer Mike Wirth saying supply must be reestablished or demand will have to come down across sectors of the economy. ConocoPhillips has separately warned that critical shortages for some import-dependent nations are imminent.
Signs of a deeper squeeze are building across production, inventories and prices. Goldman Sachs estimates oil output from Persian Gulf nations was 14.5 million barrels a day below pre-war levels in April, a 57% decline, while preliminary estimates ahead of next week’s EIA oil storage report point to a sharp drop in visible crude inventories. Brent’s July contract has become the front month, temporarily lowering headline prices, but analyst commentary said the trend remains upward in a strongly backwardated market as supplies tighten; Minneapolis Fed President Neel Kashkari warned an oil shock tied to Hormuz could force rate hikes.
From the sources (10 posts)
@globalmktobserv🔴Gulf crude production has COLLAPSED since the start of the Iran war: Oil output from Persian Gulf nations is running 14.5 million barrels per day BELOW pre-war levels in April, a -57% decline, according to Goldman Sachs.👇
@hfi_research(Public) Memo - I Can't Believe We Are Doing This The most VISIBLE oil inventories are about to plummet. Below is our preliminary crude storage estimate for next week's EIA oil storage report.
@dlacalle_iaUS seeks 'maritime freedom' coalition to restart Strait of Hormuz shipping.
@staunovoRT @HFI_Research: (Public) Memo - I Can't Believe We Are Doing This The most VISIBLE oil inventories are about to plummet. Below is our p…
@philippilkRT @zerohedge: Out of the 8.4 billion barrels in global inventories, JPMorgan estimates only 0.8 billion barrels are realistically availabl…
@jkempenergyBRENT’s futures contract for July has replaced June as the front-month, temporarily reducing headline oil prices, but the trend remains upward as the prolonged closure of the Strait of Hormuz causes oil supplies to tighten. In a strongly ba
@staunovoRT @AzizSapphire: Global Oil inventories 🛢 As estimated bt J.P.Morgan
@staunovoRT @AzizSapphire: 10 years of Global Oil inventories 🛢 As estimated bt J.P.Morgan
@oilheadlinenewsKASHKARI WARNS: OIL SHOCK COULD FORCE RATE HIKES Minneapolis Fed President Neel Kashkari dissented at the latest FOMC meeting, arguing the Fed should flag potential rate hikes due to risks tied to the Strait of Hormuz.
@staunovoChevron Corp. is worried that global oil supplies are running dry as the US-Israel war with Iran enters its third month. “That’s certainly the scenario we’re concerned about,” Chief Executive Officer Mike Wirth said Friday in an interview