CommoditiesMedium•4 November 2026•
1 min read
Physical Oil Market Shifts to Surplus as Refiners Reduce Crude Purchases
Key Facts
1Refiners have reduced their appetite for available barrels, leaving Nigerian cargoes unsold in the physical market.
Refiners have reduced their appetite for available crude barrels, leaving several Nigerian cargoes scheduled for November loading unsold in the physical market. According to 247wallst.com, the physical oil market has shifted from intense bidding to a surplus, as refiners reject offers despite futures markets continuing to price in geopolitical risks.
Physical price premiums have narrowed significantly, with the Dated Brent premium over futures shrinking to roughly $3.70 a barrel on November 3, 2026, down from $30 in early October. In the futures market, January Brent settled at $103.60 on November 3, 2026, while December WTI closed at $96.09, marking its weakest level since mid-October.