The oil price structure has started to slowly shift as prompt futures premiums are softening compared to later-dated contracts, signaling that the market believes supply would be plentiful as soon as peak summer travel season ends. The rise in supply from OPEC+ producers, as well as from Latin America and Europe, has eased the backwardation in the oil market in recent weeks, analysts and traders told Reuters on Thursday. The backwardation structure in oil prices typically occurs when supply is tight, and in it, prices for front-month…
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