Market Commentary
U.S. Crude Production Forecast to Rise in 2020
February 12, 2020
The inventory report put out by the API was released yesterday late afternoon and it called crude oil stocks up a huge 6.0 million barrels compared to the estimates for today’s DOE number of up 3 million. Stocks of crude oil at Cushing, Ok were also up big at 1.3 […]
China Fears Virus Outbreak Could Threaten Economy
February 11, 2020
People in China started returning to work yesterday after an extended Lunar New Year holiday as the government eased restrictions imposed to counter the coronavirus. China’s President Xi Jinping warned top official that the efforts to contain the new virus had gone too far, threatening the county’s economy, according to […]
Russia Ponders Oil Cuts
February 10, 2020
Baker Hughes reported the US energy firms increased the number of oil rigs for the third time in four weeks. The US oil drillers added 1 oilrigs , bringing the total number of rigs to 676. The OPEC+ meeting that was supposed to be moved up is now in question. […]
OPEC+ Recommends Further Oil Supply Cuts
February 7, 2020
Energy prices were up in early trading yesterday but eased off those highs after the news hit of mixed signals from OPEC and Russia about whether or not the OPEC+ group would be cutting production. The Joint technical Committee made the recommendation for an immediate 600,000 bpd cut that last […]
Viral Outbreak Halts Short-Term Oil and Gas Sales to China
February 6, 2020
The OPEC+ Joint Technical Committee extended their meeting another day. It appears that this group will make a recommendation to cut an additional 600,000 bpd. It appeared that many were on board for additional cuts, but Russia offered some push back. But they came to the recommendation mentioned above and […]
Energy Markets Bounce Back
February 5, 2020
The energy markets are up this morning with a pretty strong bounce. The indications are that markets are reacting to news that advances being made about a vaccine being produced. Now reports have come out and said this is a bit overdone, but I guess it just goes to show […]
Coronavirus Dominates Energy Market News
February 4, 2020
The news for the energy market is still all about coronavirus. BP’s Chief Financial Officer, Brian Gilvary said that the global economic slowdown in the wake of China’s coronavirus outbreak is set to reduce global oil demand in 2020 by up to 0.5%. It was suggested yesterday that I go […]
Coronavirus Infections Pass SARS Outbreak
February 3, 2020
The Baker Hughes Rig Count showed US crude oil rigs down to a total of 675 rigs. Last year at this time there were 847 rigs, so rigs are 172 lower. In Canada rigs were up 3 putting total rigs at 157 , two less than last year. The coronavirus […]