Market Commentary

Energy markets were mixed yesterday with crude oil and ULSD higher and RBOB down on the day. Supporting prices are strong world oil demand forecast from the US and OPEC for the balance of 2024 and 2025. In a monthly report released yesterday, OPEC left its forecast for oil demand […]

Crude oil and refined product price fell slightly on Friday after a better than expected US jobs reports for May 24 lowered the probability of the Fed cutting interest rates this year. After the good US jobs report the US dollar rose by 0.8% which put downward pressure on crude […]

The average estimates for the DOE inventory report this morning from the Bloomberg survey are for crude oil supplies to decrease by 1.185 million barrels, gasoline supplies down 1.122 million and distillates down 137,000 barrels. The API estimates reported last night showed crude oil stocks down 6.490 million barrels,  gasoline […]

The energy markets had a strong bounce yesterday with WTI crude oil futures up over two dollars and it settled just under eighty dollars per barrel and this morning is over that level and getting some attention in the news. There is room for a corrective run higher here in […]

Baker Hughes reported that old rigs were unchanged. US crude oil rigs have fallen by 124 oil rigs since January 2023. Energy prices were up on Friday but down roughly 2% on the week. The buying on Friday appeared to be traders and investors not wanting to be short for […]

Global petroleum inventories were up slightly week over week and the trend of inventory builds continues in diesel, gasoline, and total petroleum inventories. Global total diesel inventories are slightly above their 5-year average (not seasonally adjusted). Global diesel inventories remain below their seasonal averages but have drawn by the fewest […]

The Baker Hughes rig count was down 3 to a total of 496 oil rigs. Last year at this time there were 586 oil rigs in operation. Despite the decline in rigs, US oil production has been near record highs for months. Comments from Federal Reserve officials suggesting that interest […]

The market was very subdued in yesterday’s trading and yesterday’s trading volume was on the light side. As is normally the case there is a lot of uncertainty and a ton of questions to be answered about these markets. Energy markets just continue to consolidate buying time and looking for […]

The API report put out yesterday evening called crude oil supplies up 509,000 barrels, gasoline supplies up 1.46 million barrels, and distillates supplies up 1.713 million barrels. The average estimates for the DOE inventory report this morning are crude stocks to be down 1.066 million barrels, gasoline stocks down 1.255 […]

The energy markets are mixed this morning as there is confusion and a mix of stories about the Israel and Hamas ceasefire. Hours before Israel began and attack on Rafah, Hamas agreed to a ceasefire proposal from mediators. This was all to win the political sentiment of the day. But […]

The Baker Hughes Rig Count had oil rigs down 7 to a total of 499 oil rigs. Last year there were 588 oil rigs online. Despite the decline in rigs production has been up. Oil production in the US is up 800,000 bpd from 2023 to 2024.   The current market […]

The energy complex was mixed in yesterday’s trading as it continues to consolidate looking for direction. Most traders are very unlikely to want to go home short the market for the weekend, so the market will most likely see short covering today for the weekend and then continue to consolidate […]