Nov’24 Brent futures flat price showed volatility this morning, rallying from $76.37/bbl at 07:00 BST to $77.18/bbl at 10:15 BST, before steeply declining to $76.80/bbl at 11:00 BST (time of writing). In the news today, Guyana raised their 2024 GDP growth estimate to 42.3%, following a surge in oil production offshore in the Stabroek block. In other news, further data has been published showing the weakening of China’s economy. Chinese manufacturing PMI has declined to 49.1 from 49.4, the National Bureau of Statistics said on Saturday, with factory activity in contraction for the fourth month in a row. In light of this, economists at banks including UBS and J.P. Morgan expect China will not reach its growth target of 5% for 2024. Finally, the oil depot fire in Russia’s Rostov region has been extinguished, two weeks after Ukraine’s latest drone attack on Russian energy infrastructure. At the time of writing, the front month (Nov/Dec’24) and six-month (Nov/May’25) Brent futures spreads are at $0.75/bbl and $2.38/bbl, respectively.
