Market Commentary
Outlook for Interest Rate Cut Creates Bullish Optimism
July 30, 2019
The Fed is meeting this week and traders are expecting them to cut interest rates and despite the fact that this is the outlook for the market it will be a bullish factor for energy. Crude is trading higher this morning as the outlook for a Fed rate cut increases. […]
Number of Operational Oil Rigs Dips
July 29, 2019
Crude oil and refined fuels products prices closed mixed on Friday, which was mainly driven by a battle between geo-political supply disruptions risk and a lower world crude oil demand outlook. Baker Hughes reported that three crude oil rigs came offline in the US down to a total of 776 […]
J.P. Morgan Cut Its Estimate on U.S. Economic Growth
July 26, 2019
The energy market has balled itself up into a tight range of congestion the last few days. All the issues both positive and negative are still a concern for traders but nothing new has developed in these area. The market is just marking time and traders keep a watch for […]
Crude and Gas Stocks Were Down
July 25, 2019
The DOE report had crude stocks down a big 10.84 million barrels and the crude stocks at Cushing, Ok were down 429,000 barrels. Gasoline stocks were down 226,000 barrels and distillates were up 613,000 barrels. US production was also down 700,000 barrel to 11.3 million bpd. Propane supplies were up […]
The API Inventory Report Showed Falling Crude Stocks
July 24, 2019
The API inventory report release yesterday late afternoon showed that crude oil stocks in the US fell by 11 million barrels. This is more than the outlook for today from the Reuters survey calling for a 4 million barrel decline. Bloomberg is calling for a 4.133 million barrel decline. Gasoline […]
Britain Calls on Iran to Release Tanker and Crew
July 23, 2019
With all the concerns with Iran and other bullish possibilities in the market the funds has been buying again. Hedge funds purchased oil last week at the fastest rate in almost a year, as escalating tension in the Middle East and hopes for a cut in US interest rate outweighed […]
Tanker Capture Roils Markets
July 22, 2019
The Baker Hughes Rig Count showed that the crude oil rig count fell by 5 last week to a total of 779 and has fallen by an average of 2.5 rigs per week over the last four weeks. The total crude rigs at 779 is the lowest level since February […]
Crude and Refined Fuel Product Prices Fall
July 19, 2019
The Baker Hughes Rig Count showed that the crude oil rig count fell by 5 last week to a total of 779 and has fallen by an average of 2.5 rigs per week over the last four weeks. The total crude rigs at 779 is the lowest level since February […]
Trump to Send Sen. Paul to Iran to Negotiate
July 18, 2019
The news on Iran this morning appears to be at two extremes. President Trump is going to send Senator Rand Paul to Iran to talk peace. For the energy markets this is a big deal because if they can agree to something and sanctions get lifted more Iranian barrels of […]
Prices Rise as an Oil Tank Disappears Near Iran
July 17, 2019
The average estimates for today’s DOE inventory update from the survey conducted by Bloomberg is looking for crude oil stocks to be down 3.785 million barrels. Gasoline stocks are estimated to be down 2.421 million barrels and distillates are called up 780,000 barrels. The estimates from Reuters are calling for […]
Economic Data from China Cast a Bearish Light on Crude Demand
July 16, 2019
Tropical Storm Barry shut down 73% (1.38 million bpd) of crude oil production in the Gulf of Mexico but weakened to a tropical storm as it hit Louisiana on Saturday, the westward shift of the storm spared low level New Orleans from massive flooding feared earlier last week. Given less […]
Britain and Iran Are Negotiating a Tank Release
July 15, 2019
A little bullish support for prices came on Friday from the Baker Hughes rig count which reported that 4 crude oil rigs came offline in the US last week bringing the total to 784 rigs. This is the lowest number of rigs since 2/2/2018. British foreign minister Jeremy Hunt told […]