OIL: Oil End of Day Summary: WTI Ending Day Rangebound

WTI has struggled for clear direction today. Support comes from a weaker USD, while speculation about the chances of tariffs on Canadian and Mexican oil imports into the US from Feb. 1 is sparking uncertainty.

• WTI MAR 25 unchanged at 72.62$/bbl
• US commerce secretary appointee Lutnick said that 25% tariffs against Mexico and Canada which are due to be introduced on February 1 can still be avoided. The White House Press Secretary said on Jan. 28 that the deadline for applying the tariffs still stands.
• Valero is well-positioned to find alternative crude sources if the US imposes a 25% tariff on Canadian imports, but this could reduce throughputs by 10%, its COO Gary Simmons said, cited by Argus.
• US President Donald Trump’s energy policies could “ultimately tighten the oil market,” according to ANZ Group Holdings cited by Bloomberg.
• Argentine crude is no alternative to Canadian crude, which the US does not need because, like US shale, the oil extracted from the Vaca Muerta is light and sweet, according to Oilprice.com
• The appearance of Nigeria’s March loading programme appears to finally be foreshadowing a period of lower oil exports across the board, Kpler said.
• Middle Eastern crude oil prices surged to their highest levels in 15 months this week, driven by a buying frenzy from China and India to replace Russian grades, Kpler said.
• Russia's oil and gas condensate production reached 516 million metric tons (10.32 mn bpd) in 2024, Deputy Prime Minister Alexander Novak said - around 2.8% lower compared to 2023.
• Petrobras’ proven reserves increased by 500mbbl last year, from 10.9bbbl to 11.4bbbl, the company reported as quoted by Reuters.