- Crude oil prices rose due to mounting threats to global shipping lanes, specifically disruptions in the Strait of Hormuz and the Red Sea.
- Ukrainian drone attacks have hit at least 24 of Russia's 34 largest refineries this year, causing Russian crude-processing rates to fall to a 24-year low in July.
- High Russian crude exports and abundant Chinese inventories continue to add to global supplies, acting as a bearish limit on oil prices.
Quotes
“Russian crude-processing rates will average 3.51 million bpd in July, the lowest in 24 years, amid damage to Russian energy infrastructure caused by drone and missile attacks from Ukraine.”