Rallying by default

At 61 $/b, Brent prompt futures are now at their 7th consecutive positive session, boosted by a weakening dollar and Libyan output unable to ramp-up due to political instabilities. Furthermore, North Sea oil output will fall by 0.13 mb/d in March, based on the provisional lifting schedule, at 1.7 mb/d. After Russia reduced exports to Europe by close to 20% in February, Rosneft decided to increase loadings in Baltic ports. Chinese refiners are returning to the West-African market with potentially a large share of cargoes going into China for March’s trade cycle.