Nymex Overview: Oil Drops $5 After Report of Tankers Crossing Strait of Hormuz -- OPIS

Dow Jones00:30
 

Crude oil contracts were falling more than $5 around midday Wednesday after shipping data showed three supertankers have passed through the Strait of Hormuz.

At noon ET, July NYMEX West Texas Intermediate crude futures were $5.15 lower to around $99/bbl, and August WTI was down $4.65 to $94.50/bbl.

London-based July ICE Brent was off by $5.85 to $105.40/bbl and August Brent was $5.40 lower to $101.30/bbl.

Refined product contracts tracked crude's decline. The more-active July RBOB futures were 14.85cts lower to $3.4255/gal and June RBOB was down 16.25cts to $3.534/gal.

July ULSD was 18.9cts lower to $3.8675/gal and June ULSD was off by 19.85cts to $3.964/gal.

Two Chinese oil tankers chartered by Chinese state-owned energy conglomerates Sinochem and Unipec, respectively, appeared to have crossed the waterway overnight, the Wall Street Journal reported, citing financial data provider LSEG.

Close behind them was a South Korean-flagged very large crude carrier owned by shipping giant HMM, the Journal said.

The possible return of safe passage of oil tankers through the strait, which had accounted for a fifth of the world's oil production prior to the Middle East conflict, would be a game changer and a key first step to restarting the global oil supply chain.

The energy market was also digesting the latest weekly data from the Energy Information Administration, which showed drawdowns in U.S. commercial crude and gasoline stocks. Distillate inventories, however, rebounded slightly but remained near a 21-year low.

In the spot market, Chicago physical ULSD prices tumbled about 40cts around midday, weighed down by strong selling interest following recent tightness in the Midwest. Still, Chicago cash ULSD prices remained the highest across the U.S.

 

This content was created by Oil Price Information Service, which is operated by Dow Jones & Co. OPIS is run independently from Dow Jones Newswires and The Wall Street Journal.

 

--Reporting by Frank Tang, ftang@opisnet.com; Editing by Michael Kelly, mkelly@opisnet.com

 

(END) Dow Jones Newswires

May 20, 2026 12:30 ET (16:30 GMT)

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