Saudi Arabia Remains China’s Top Oil Supplier

An engineer is seen at an oil complex on the coast of the Arabian Gulf, 200 km north of Dammam, Saudi Arabia. (Aramco)
An engineer is seen at an oil complex on the coast of the Arabian Gulf, 200 km north of Dammam, Saudi Arabia. (Aramco)
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Saudi Arabia Remains China’s Top Oil Supplier

An engineer is seen at an oil complex on the coast of the Arabian Gulf, 200 km north of Dammam, Saudi Arabia. (Aramco)
An engineer is seen at an oil complex on the coast of the Arabian Gulf, 200 km north of Dammam, Saudi Arabia. (Aramco)

Saudi Arabia remained China's top supplier with volumes of 73.76 million tons, similar to the same period last year.

Saudi shipments rose 12 percent from a year earlier to 7.93 million tons, or 1.87 million bpd, versus September's 1.83 million bpd.

China’s oil imports from Russia jumped 16 percent in October from the same month last year to just behind top supplier Saudi Arabia, as state-run firms stocked up before a European embargo over Russia’s invasion of Ukraine kicked in.

Supplies from Russia, including oil pumped through the East Siberia Pacific Ocean pipeline and seaborne shipments from Russia’s European and Far Eastern ports, totaled 7.72 million tons, data from the Chinese General Administration of Customs showed on Sunday.

That amount, equivalent to 1.82 million barrels per day, was steady from September but off May’s record of nearly 2 million bpd.

State-run traders including Unipec, Zhenhua Oil, and Chinaoil ramped up imports of Russian Urals, loaded mostly from European ports, before winding down purchases in recent weeks in the face of imminent EU sanctions and uncertainty surrounding a Group of Seven plan to cap Russian oil prices.

January-October Russian supplies rose 9.5 percent on year to 71.97 million tons, helped by refiners’ consistent appetite for the discounted oil.

Arrivals of crude oil from the United States jumped more than fivefold in October from a year earlier, as refiners took advantage of lower prices amid a surge in US exports from rising output and stockpile releases.

Malaysia, which for the past two years has been a transfer point for shipments originating from Iran and Venezuela, almost doubled in the year to 3.52 million tons.

No imports were recorded from Venezuela or Iran.

On Friday, oil prices dropped by two percent due to concerns about weakened demand in China and further hikes in US interest rates.

Brent crude settled at $87.62 a barrel, falling $2.16 or 2.4 percent, while US West Texas Intermediate crude settled at $80.08 a barrel, losing $1.56 or 1.9 percent.

Brent was down 9 percent and WTI was 10 percent lower.

A stronger US dollar, which makes oil more expensive to non-American buyers, pushed down crude prices.

The market structure of both oil benchmarks shifted in ways that reflect dwindling supply concerns.

Crude came close to record highs earlier this year as Russia's invasion of Ukraine added to those worries.

In addition, the front-month futures contract soared to a gigantic premium over later-dated contracts, a signal that people were worried about the immediate availability of oil and were willing to pay handsomely to secure supply.

Those supply concerns are waning.

The current WTI contract is now trading at a discount to the second month for the first time since 2021, Refinitiv Eikon data showed.

This condition will also benefit those looking to put more oil in inventories for later, especially with stocks still at low levels.

Brent was still in the opposite structure, backwardation, though the premium of nearby Brent over barrels loading in six months fell as low as $3 a barrel, the lowest since April.



Trump Taps Scott Bessent for Treasury

(FILES) Scott Bessent, head of Key Square Group and former chief investment officer of Soros Fund Management, attends the second day of the annual Allen & Company Sun Valley Conference, July 12, 2017 in Sun Valley, Idaho.(Photo by Drew ANGERER / GETTY IMAGES NORTH AMERICA / AFP)
(FILES) Scott Bessent, head of Key Square Group and former chief investment officer of Soros Fund Management, attends the second day of the annual Allen & Company Sun Valley Conference, July 12, 2017 in Sun Valley, Idaho.(Photo by Drew ANGERER / GETTY IMAGES NORTH AMERICA / AFP)
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Trump Taps Scott Bessent for Treasury

(FILES) Scott Bessent, head of Key Square Group and former chief investment officer of Soros Fund Management, attends the second day of the annual Allen & Company Sun Valley Conference, July 12, 2017 in Sun Valley, Idaho.(Photo by Drew ANGERER / GETTY IMAGES NORTH AMERICA / AFP)
(FILES) Scott Bessent, head of Key Square Group and former chief investment officer of Soros Fund Management, attends the second day of the annual Allen & Company Sun Valley Conference, July 12, 2017 in Sun Valley, Idaho.(Photo by Drew ANGERER / GETTY IMAGES NORTH AMERICA / AFP)

President-elect Donald Trump on Friday said he will nominate prominent investor Scott Bessent as US Treasury secretary, a key cabinet position with vast influence over economic, regulatory and international affairs.

"I am most pleased to nominate Scott Bessent to serve as the 79th Secretary of the Treasury of the United States," Trump said in a statement released on Truth Social. "Scott is widely respected as one of the world's foremost international investors and geopolitical and economic strategists."

Wall Street has been closely watching who Trump will pick, especially given his plans to remake global trade through tariffs and extend and potentially expand the raft of tax cuts enacted during his first term, Reuters reported
The choice came after days of deliberations by Trump as he sorted through a shifting list of candidates. Bessent spent day after day at Trump's Mar-a-Lago home in Florida providing economic advice, sources said, a proximity to the president-elect that may have helped him prevail.
Other names that had been floated included Apollo Global Management Chief Executive Marc Rowan and former Federal Reserve Governor Kevin Warsh. Investor John Paulson had also been a leading candidate, but dropped out, while Wall Street veteran Howard Lutnick, another contender, was appointed as head of the Commerce Department.
Bessent, who did not immediately respond to a request for comment, has advocated for tax reform and deregulation, particularly to spur more bank lending and energy production, as noted in a recent opinion piece he wrote for The Wall Street Journal.
The market's surge after Trump's election victory, he wrote, signaled investor expectations of "higher growth, lower volatility and inflation, and a revitalized economy for all Americans."
"Bessent has been on the side of less aggressive tariffs," said Oxford Economics' Ryan Sweet, adding that picking him makes the steep tariffs Trump proposed on the campaign trail less likely.
Bessent follows other financial luminaries who have taken the job, including former Goldman Sachs executives Robert Rubin, Hank Paulson and Steven Mnuchin, Trump's first Treasury chief. Janet Yellen, the current secretary and first woman in the job, previously chaired the Federal Reserve and White House Council of Economic Advisers.
Republican US Senator Lindsey Graham from South Carolina, Bessent's home state, said in a statement: "President Trump's economic agenda is in good hands with Scott Bessent. I look forward to working closely with Scott and President Trump to lower inflation and create the golden age of prosperity for the American people."