October Surprise: China Suspends Fuel Exports; Russia EXTENDS Export Ban

China has instructed its refiners to suspend oil product exports for October as Beijing looks to ​preserve domestic stocks, a move that will further crimp globally war-constrained fuel markets.

Beijing restricted fuel exports in back in March after the outbreak of the Iran war ‌disrupted Middle Eastern crude supplies.

China, the world's top importer, relaxed the curbs in July and is managing diesel, gasoline and jet fuel shipments on a monthly basis.

Russia is also announcing it extended the ban on exports of diesel, marine fuel, and gasoil for all fuel producers to October 31, which effectively extends the period in which the tightening global market will have to cope without Russian diesel shipments for another month.

Today's revelations that fuel exports from China will stop and the export ban by Russia will continue is shocking oil markets worldwide. These developments will cause actual outages of fuel in many places around the world.  Not merely "shortages" but rather full outages of fuel.

Economic activity will be quickly affected.  Business cannot run without energy and fuel provides energy.  No fuel means no energy and no energy means no business.