Crude oil climbs above $91 as China fuel supply tightens

  • Crude oil climbed above $91 as tighter Chinese fuel supplies heightened market concerns.
  • PetroChina reportedly withdrew several October gasoline and jet-fuel cargoes.
  • Saudi Arabia resumed Yanbu tanker loadings after its East-West pipeline restarted.

Crude oil rose back above $91 a barrel on Thursday after reports that tighter Chinese fuel supplies were adding pressure to an already disrupted global market. PetroChina reportedly withdrew several gasoline and jet-fuel cargoes scheduled for October as Beijing sought to protect domestic inventories. Energy markets are also absorbing disruptions linked to the conflict involving the US and Iran and the war in Ukraine. Concerns about outright crude shortages have eased somewhat after Saudi Arabia resumed tanker loadings at Yanbu following the restart of its East-West pipeline. Middle Eastern crude shipments were nearing pre-war levels, but refined fuel availability, especially gasoline, remained tighter. Investors continued to watch diplomatic developments as uncertainty persisted around US-Iran negotiations after indirect discussions involving mediators took place during the UN General Assembly.

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