Reuters

Hit to oil output from Ida overshadows demand impact, says Goldman

U.S. refiners are coming back faster than oil production, a reverse of past storm recoveries with just three of the nine refineries completely idled, accounting for about 7% of Gulf Coast refining, compared to shut-ins of two-thirds of oil output on Friday. The impact on refining has been broadly in line with prior hurricanes, the bank said, with about 1.5 million barrels per day still offline and the recovery likely to “follow the usual exponential pattern of the disruptions halving every 10 days.” Concerns over the output shut-in due to Ida, helped drive oil prices above $70 a barrel, with Brent crude trading at $73.39, and U.S. West Texas Intermediate (WTI) crude at $70.19 by 0829 GMT.

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