Energy Prospectus

This is fueling the rally in oil prices

Moderna: Vaccine Is 94.5% Effective in Preventing COVID-19

Moderna Inc. said Monday its experimental vaccine was 94.5% effective in preventing COVID-19 based on interim data from a late-stage clinical trial, becoming the second U.S. company in a week to report results that far exceed expectations.

Together with Pfizer Inc's vaccine, also shown to be more than 90% effective, and pending more safety data and regulatory review, the United States could have two vaccines authorized for emergency use in December with as many as 60 million doses of vaccine available by the year's end.

Next year, the U.S. government could have access to more than 1 billion doses just from the two vaccine makers, more than needed for the country's 330 million residents.

From Aegis Energy morning notes:

WTI is up by 4%+ following the announcement of progress by Modera on a COVID-19 vaccine
Oil rallied as Moderna announced that its vaccine is 94.5% effective
Chinese crude consumption matches record at 14.14 MMBbl/d

In a preliminary analysis of a large late-stage clinical trial, Moderna’s vaccine was shown to be 94.5% effective
The trial results showed that the vaccine prevented nearly all symptomatic cases of COVID-19, preventing the most severe COVID-19 infections compared to those who received the placebo
AEGIS notes that the vaccine news will increase sentiment in markets; However, we are still several months away from the vaccine having a material impact on actual demand. Crude saw a similar rally last week following the announcement of the effectiveness of the vaccine created by Pfizer and BioNTech

China’s oil processing rebounded in October to match its record set in 2012
Holiday sales and a recovering economy helped push refinery inputs higher as the country has shown a massive increase in fuels demand
The refining increase has led to the first monthly drop in Chinese stockpiles since the pandemic began