Crude Prices Slip on the Outlook for Larger Global Oil Supplies

Core Insights - Crude oil prices are experiencing downward pressure due to the resumption of oil exports from Iraq, while gasoline prices show a slight increase, indicating mixed market conditions [2][3] Group 1: Crude Oil Market Dynamics - Iraq has reached an agreement with the Kurdistan regional government to resume oil exports via a pipeline to Turkey, which had been halted for two years, potentially adding at least 230,000 barrels per day (bpd) to global oil supplies [3] - Reduced crude demand from India, the world's third-largest crude oil importer, is negatively impacting oil prices, with August crude imports falling by 2.9% year-on-year to 19.6 million metric tons (MMT) [4] - An increase in crude oil stored on stationary tankers rose by 14% week-on-week to 74.18 million barrels, indicating bearish sentiment in the market [4] Group 2: Geopolitical Factors - Ukraine's intensified attacks on Russian refineries and oil infrastructure are bullish for crude prices, as they restrict Russian crude exports and tighten global oil supplies [5] - Recent attacks have halted around 300,000 bpd of refining capacity in Russia, with total refined-product flows dropping to 1.94 million bpd in the first half of September, the lowest in over 3.25 years [5]