United States Treasury Deputy Secretary Wally Adeyemo claimed on Thursday that the oil revenues for the Russian government in the first five months of 2023 are almost 50% lower compared to the same timespan in 2022. Revenues have cratered despite Moscow exporting more oil than it did in February 2022 and the escalation of the conflict in eastern Europe as Russian oil is sold at a 25% discount compared to other global oil, Adeyemo said in remarks prepared for delivery before the Center for a New American Security (CNAS). Russian government’s changes to its oil tax policy “will constrain Russia’s oil companies going forward, leaving them with fewer funds to invest in exploration and production and over time diminishing the productive capacity of Russia’s oil sector,” Adeyemo asserted. Although the US does not detect “widespread signs” of sanctions evasion, it will remain “laser-focused” on that issue, according to the Treasury official.
Oil extends gains, surges 3%
Crude futures extended gains on Thursday, rallying more than 3%, as investors digested the Federal Reserve’s decision to keep interest rates unchanged. Meanwhile, prices were also supported by Chinese data that showed the country’s oil refinery throughput in May rose 15.4% on an annual basis. Brent for settlements in August jumped 3.44% to sell for $75.73 per barrel at 2:05 pm ET and West Texas Intermediate (WTI) for July delivery climbed 3.46% to go for $70.72 per barrel at the same time. NN: We have had a break out. Not a velocity move to the upside yet. The Spin Mysters of Wall Street using their AI disinformation tools are have a hard time keeping oil in the wells and prices down…..