CRUDE WRAP: WTI (N6) SETTLES USD 2.25 HIGHER AT 96.02/BBL; BRENT (Q6) SETTLES USD 1.81 HIGHER AT 97.81/BBL

The crude complex was firmer on Wednesday, and traded within choppy ranges as US/Iran updates headlines dominated flow. Overall, oil saw strength, and was ultimately buoyed, amid another flare-up and retaliatory strikes between the US and Iran. A bout of strength was seen as European traders entered for the day and as Kuwait's airport was struck by a missile, something IRGC spokesperson has recently claimed was caused by an error in American Patriot systems attempting to intercept an Iranian missile. After WTI and Brent grinded to session highs, benchmarks reversed as Trump said they are working on a deal with Iran, and have agreed they will not have a nuclear weapon. Thereafter, US/Iran headlines were plentiful, but nothing too new was reported as participants await the next escalation or de-escalation. In most recent trade, Iran Foreign Minister spoke to Lebanese press, and gave extensive remarks; in summary, Iran/US are studying the texts that were exchanged, and there is no established method for negotiations now, but messages are being exchanged with the Americans, albeit no progress has been made. Araghchi added that its armed forces are ready to strike Israel if it attacks Beirut.

Away from US/Iran, the weekly EIA data saw a deeper than expected draw in crude, in-fitting with the private inventory metrics. Distillates and Gasoline saw larger-than-anticipated builds. Overall, weekly crude production fell 8k W/W to 13.707mln.

WTI traded between USD 93.45-97.00/bbl and Brent USD 96.44-98.99/bbl. Ahead, aside from geopols, participants await US payrolls on Friday.