Who started the fires?
In the span of a few hours, the heaviest ship in Iran’s navy caught on fire alongside a refinery in Tehran. The ship sank but the flames at the refinery were contained to 18 storage tanks, according to local reports, who also said it was due to a leak in pipelines.
Two fires would be an odd coincidence but it’s especially odd given ongoing nuclear negotiations and a recent explosion at a nuclear facility.
Both are down about 40-cents from then but have risen after the US APD employment report showed an acceleration in hiring. That’s something that could be a precursor to unexpectedly strong demand.
On the chart, WTI has broken out but I think it’s brent that matters. It’s flirting with the 2020 high and is $4 from the 2019 high.