Daily oil and LNG price update ("huge cargo overhang")

Brent oil was hit hard last night down -2.5% to $51.37. Henry Hub fell as well to $3.14mmBtu:

There were multiple drivers of weakness as OPEC floods markets with oil despite its non-deal. Libya is running like the clappers, from Platts:

Libya’s Es Sider is set to resume exports in the coming weeks, with the first cargo potentially being lifted by Libya’s National Oil Corporation (NOC) during the first week of November, a source at NOC told S&P Global Platts on Thursday. Several trading sources active in the Libyan crude market also said they had heard similar news. This would be the first cargo lifted since force majeure was declared on loadings from Es Sider port in December 2014.

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About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.

Daily oil and LNG price update (“huge cargo overhang”)