Vietnam mulls easing oil stocks rules amid market backwardation, fragile demand

摘要

1. Hanoi may set minimum inventory at 20 days of demand, 2. Market backwardation bodes ill for storage plays, 3. Trading firms fret over excess stocks, demand decline. Singapore-Vietnam is considering lowering mandatory oil inventory levels at major oil companies to 20 days worth of domestic demand from 30 days, a move that could help local fuel distributors and exporters maximize profits from the backwardation in the Asian market structure and flexibly manage their stockpiles amid fragile consumer demand recovery.