The expectation of lower Iranian exports have caused a flood of OPEC crude to head to East Asia, while Urals and CPC Blend sour barrels have been pulled away from Europe and towards Asia as well. Until sanctions kick in and Iranian barrels drop off, the Asian market appears more than well-supplied.
Yesterday’s appearances on NPR’s Texas Standard and CNBC Asia addressed the multi-year highs being made by Brent crude in the aftermath of the OPEC meeting. On CNBC Asia we discussed the geopolitical impact, whereas on NPR we honed in the impact on the US, and Texas.
I was in Chicago yesterday so took the opportunity to meet Ben Lichtenstein in person and do a segment on the TD Ameritrade Network. We discussed all manner of things, as is usual – from US oil exports to China, to OPEC, to Iran, to the US dollar to US fundamentals and exports.
OPEC’s July crude exports, although lower than June, are considerably higher than the pace seen over the last year and a half. It appears that OPEC is starting a new trend of higher exports (although Iran and Venezuela could upset that apple cart) – analyst Kanan Mehra breaks down the details in our latest video feature.