Oil: Supply risks offset by Russia diesel deal – ING

ING analysts Warren Patterson and Ewa Manthey note that Oil prices are weaker despite heightened Middle East tensions, as strong Persian Gulf flows and a US-Russia diesel deal weigh on the market. They highlight that additional Russian diesel exports and a possible Russia-Ukraine energy ceasefire are pressuring middle distillate cracks, while inefficient Middle East trade flows and high freight rates keep refined product prices elevated.