Institutions: Concerns about the demand outlook, weaker oil prices

The price of the main contract for crude oil fluctuated downward overnight
.
This was mainly due to
the strengthening of the US dollar index and market concerns about the demand outlook.
On the supply side, OPEC+ decided to cut production by 100,000 b/d
in October.
U.
S.
crude oil production recorded 12.
1 million b/d in the week ended Sept.
9, unchanged
from last week.

Crude oil production maintained a low growth rate
.
On the demand side, under high inflationary pressure, the market's expectations for a sharp interest rate hike by the Fed remain, recession worries continue, and crude oil demand is under pressure
.
The average operating load of major domestic refineries in the week ended August 31 was 71.
18%, up 1.
72%
from mid-August.
In September, North China Petrochemical and Hohhot Petrochemical will gradually end the maintenance, Yanshan Petrochemical 2# atmospheric pressure reducing device will still be in the maintenance period, no new refinery maintenance, it is expected that the average operating load of domestic main refineries in September or continue to rise
.
The average operating load of the Shandong Dilian Normal Pressure Relief Device in the week ended September 7 was 58.
69%, down 0.
83%
from the previous week.
In September, Yongxin and Haike Chemical may enter the integration period
.
Some pre-maintenance refineries have plans to start operations, while others may maintain low-load operations
.

It is expected that Shandong Georefinery will continue to reduce the pressure and start load or continue to decline
.
Overall, the current changes in the demand for crude oil market are the main factors affecting the market mentality, but due to the continued tight supply, it is operationally recommended to pay close attention to the situation in Russia and Ukraine and the Fed's interest rate hike while focusing on swing trading
.