- Russia claims it is close to fulfilling its oil reduction pledge made in April
- Gold returns as debt ceiling concerns simmer
- Bitcoin hovers at the bottom of recent trading range
Oil
Crude prices were on a roller coaster ride, as traders viewed a deteriorating outlook for demand being countered with some positive supply news both from the Biden administration in addition to Russia. Oil prices fell after China’s disappointing trade confirmed concerns that their recovery from the Covid lockdowns has been slow. WTI crude pared its losses following reports that the Biden Administration is looking to fill the SPR once maintenance is completed later this year.
The White House knew it needed to fill the SPR as soon as possible, given that reserves are at their lowest level in four decades. The Biden administration seems to be counting on a second-half recession, which should in theory mean that oil prices will stay high. Biden’s administration initially planned on filling the reserve when oil prices were in the region of $70.
After reports that Russia nearly met their pledge to cut production in April, oil prices turned positive. Saudi Arabia is known to do everything possible to maintain oil prices, but traders still have doubts.
