Market Commentary
The Threat of Hurricane Dorian Looms
August 30, 2019
The energy market traded higher yesterday on the idea that China was taking a softer stance on the trade war, the potential threats from Hurricane Dorian, and the big decline in crude stocks reported this week in the DOE inventory update. China’s commerce ministry said yesterday that they will not […]
US Crude Production Set a New High
August 29, 2019
The inventory report put out by the DOE said that crude stock were down 10.03 million barrels confirming the big draw in the API report. Cushing, Ok also showed another draw of 1.98 million barrels. This draw at Cushing was also the eight week in a row with a draw. […]
Iran and the United States Continue to Be at Odds Over Sanctions
August 28, 2019
The inventory report put out by the private firm API showed that crude oil stocks were down a big 11.1 million barrels and crude stocks at Cushing, Ok were down by 2.4 million barrels another very healthy draw. The expectation for today’s DOE report from the Reuters estimates is for […]
Trump’s Tweets Are Changing Market Behavior
August 27, 2019
The energy markets were trading higher to start out the day on Monday as two news items helped to support the move higher. One was the idea that China and the US were ready to get back to the table and begin negotiations. The market saw this as a positive […]
Fed Keeps Door Open on More Monetary Stimulus
August 26, 2019
Crude oil and refined fuel product prices closed lower on Friday with WTI crude oil leading the way down by 2.1%. Prices fell mainly due to China announcing that it would impose retaliatory tariffs on $75 billion of imports from the US including a tariff on crude oil which increased […]
Traders Await Fed Comments
August 23, 2019
The DOE inventory report called crude stocks down 2.73 million barrels and this was not a big shock as it was in line with expectations and the outlook for stocks. Stocks at Cushing, Ok were down 2.5 million barrels and this would normally be supportive to the market but this […]
Lower Worldwide Demand is Pressuring Crude and Fuel Prices
August 23, 2019
Crude oil and refined fuel product prices closed lower yesterday with RBOB gasoline leading the way down by 1.6% for the nearby futures trading month. The market yesterday was again focused on the lower world demand and the fact that there are currently ample supplies of crude oil around the […]
Russian Oil Company Moves from Dollars to Euros
August 22, 2019
The DOE inventory report called crude stocks down 2.73 million barrels and this was not a big shock as it was in line with expectations and the outlook for stocks. Stocks at Cushing, Ok were down 2.5 million barrels and this would normally be supportive to the market but this […]
President Trump is Evaluating Ways to Stave Off a Recession
August 21, 2019
The estimates from the Bloomberg survey for today’s inventory report on average are calling for crude stocks to be down 1.392 million barrels. Gasoline stocks are estimates down 73,000 barrels and distillates to be up 35,000 barrels. Refinery run are estimated to be down 0.1% from last week’s number of […]
Drone Attack Causes Fire at Gas Plant
August 20, 2019
A drone attack by the Houthi group on an oilfield in eastern Saudi Arabia on Saturday caused a fire at a gas plant, adding to tension in the Middle East. However Saudi Aramco said oil production was not affected. This event over the weekend helped to offers some support to […]
OPEC Numbers Look Bearish
August 19, 2019
Baker Hughes reported that oil driller in the US increased the number of rigs drilling for oil by 6. Total rigs are at 770 compared to 869 last year at this time. Canadian oil producers added 7 rigs drilling for crude oil to bring the total number of rigs to […]
Speculation of a Potential Recession is Growing
August 16, 2019
The market continues to be impacted by so much uncertainty with a host of issues and concerns surrounding this market. Traders continue to struggle with weak economic data and the impact that could have on demand, the trade war with China, OPEC+ talking about cutting more production, reports of possible […]