The Jul’25 Brent futures opened just below $63/bbl overnight Friday before gradually rising to $63.25/bbl by 07:30 BST (time of writing). Markets have been fairly bullish this week from optimism for easing trade tensions between China and the US, as prices also rebounded from YTD lows. In the news, amid intensified sanctions pressure, The U.S. Treasury sanctioned China’s Hebei Xinhai Chemical Group, a teapot refinery in Hebei Province, along with port operators, shipping firms, and vessel captains tied to Iran’s shadow fleet. Marathon Petroleum reported flaring at its 365kb/d Carson, California refinery due to a process upset, releasing over 500 pounds of sulfur dioxide, per a regulatory filing. ConocoPhillips cut its 2025 spending forecast by 3.5% to $12.45 billion amid crude prices falling below $60, though it maintained its production outlook. Pemex plans to reopen thousands of closed wells to counter falling oil output, but faces technical and financial hurdles amid budget constraints and aging fields. Finally, the front (Jul/Aug) and 6-month (Jul/Jan) Brent futures spreads are at $0.40 and $0.94/bbl respectively.
