[MARKET UPDATE]: Brent rises above USD 98/bbl amid commentary from Energy Secretary Wright, weighing on equity and T-note futures

The moves appear to be in response to commentary from Energy Secretary Wright that the Navy escort will happen relatively soon, but it cannot happen right now. However, he did suggest it is quite likely by the end of the month. This implies at least a couple more weeks before the situation starts to normalise. Also, the SPR release of 172mln bbls will need to be repaid, albeit with interest to return 200mln bbls back to the SPR within a year. This will see more oil on the market in the short term, but the net impact is a tighter market by c. 28mln bbls in the long run.