WTI Crude Slips as Global Supply Surplus Outweighs Middle East Risks

The Surplus Narrative

The EIA's latest report confirms that US production is tracking toward 14 million bpd by year-end. This flood of supply is expected to keep prices range-bound between $55 and $65 unless a major geopolitical disruption physically halts flows.

Asian Demand Softness

Crude imports into China for January are tracking 3% lower year-on-year, signaling that the world's largest importer is well-stocked and slowing down ahead of the holiday period.