U.S. oil futures settled above $69 a barrel for the first time in over two weeks after falling as much as 1.6% earlier. Gulf of Mexico producers had shut in about 1.7 million barrels a day of crude output ahead of the storm but most of these assets are expected to resume service steadily. In contrast, refineries in Louisiana may be slower to bring back operations.
The demand side is rising as well as big buyers such as China are recovering from COVID. Lockdowns are being eased as the spread of the coronavirus appears to be contained. Regarding the government's displeasure with independent refiners, Reuters reports that traders are hoping investigations launched into the operations of teapots will soon be completed as will the crackdown on import quota resales by state-owned energy companies.
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