Sep. 11 at 6:00 PM
RBC: President Trump faces a paucity of policy options to keep prices contained ahead of the midterms in 55 days’ time, w/ Brent prices once again breaching
$100/ barrel, and avg retail gasoline & diesel prices sitting around
$4.20/gal &
$6.00/gal, respectively…
Diplomatic negotiations remain deadlocked, w/ Iran insisting on the full implementation of the June MoU, while the White House counters that the naval blockade & sanctions will produce a change in Iranian behavior & that its warships are keeping the waterway essentially open.
All the while, we est that around 9Mbpd of Middle Eastern supply remains offline & the risk of escalation continues to rise
In the past 24 hours, the US sank 5 Iranian tankers in waters around key export facilities at Kharg Island & Jask, and Iran declared Wednesday that it fired on 2 US Navy ships & 8 tankers, as well as fired ballistic missiles on US bases in Jordan…
The products problem remains especially pronounced given the shortage of spare refining capacity & the disruption of Russian & Middle Eastern exports.
While the refining industry continues to seek a scaling back of renewable fuel standards to lower costs, the White House reportedly remains wary of angering the agricultural lobby
$USO.X
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