Monthly Pricing - 01/10/2020

Brent crude rose to $46/bbl in September amid production issues caused by adverse weather, before rising Covid-19 cases pushed prices below $40/bbl by month-end.

After reaching a nine-month high of 1.347 on September 1st, GBP dropped to a low of 1.271 amid further UK lockdown measures causing fears for economic recovery.

After two major storms in August, Hurricane Sally forced 1.1mbpd of US Gulf Coast refining capacity offline in September, followed by flooding in Texas due to Storm Beta.

Price Drivers

Supply Libyan production restarts after LNA blockade lifted. Threat of strikes risk 470kbpd of Norwegian output.
Demand OPEC warns stockpiled product is not being depleted quickly. Global coronavirus death toll passes 1m, damaging demand.
Geo-Political Iran delivers crude to Venezuela despite sanctions. President Trump extends ban on Gulf Coast drilling.