Market Commentary
UBS Raises Oil Price Forecast
October 14, 2021
The API report came out a day late and said that crude oil stocks were up 5.2 million barrels, gasoline stocks were down 4.6 million barrels and distillates were down 2.7. Cushing crude oil stocks were down 2.8 million barrels. UBS in a research note to clients said they have […]
Could Rising Prices Hurt Demand?
October 13, 2021
The API and DOE inventory reports are both delayed one day due to the Columbus Day Holiday on Monday. The EIA in a bulletin put out last week on propane and said that conditions were ripe for a supply squeeze this winter given low inventories. Flattish supply and resilient demand […]
Bullish Signals for Crude Oil Prices
October 11, 2021
The energy markets rallied and closed higher on Friday driven mainly by the news that a deal was reached in Congress to raise the debt ceiling through early December. Also, supporting prices on Friday was the Department of Energy saying they had no plans to release barrels from the SPR […]
Senate Debt Limit Deal Sparks Market Rebound
October 8, 2021
Equities markets rebounded yesterday when the news hit that a deal was reached in Congress to raise the debt ceiling through December. This was also supportive of energy prices which rallied as well. The news that the US would release barrels from the SPR has been a whirlwind of back […]
US Propane Inventory Drops to Lowest Level in Eight Years
October 7, 2021
Propane inventories had a draw of 633,000 barrels putting total stocks at 72.288 million barrels. Total inventories are 29% less than last year. Inventories have not been this low at this time of year at any point in the last 8 years. There could still be some builds to inventories […]
Energy Markets Continue Run Higher
October 6, 2021
The energy markets continue to run higher in yesterday’s trading and WTI crude oil traded to its highest level in 7 years and natural gas prices reached a 13 year high. There is speculation that natural gas shortages in Europe could spill over into the US with winter weather heating […]
Coal and Natural Gas Demand Rises
October 5, 2021
Crude oil and refined fuels product prices reached a 3-year high for WTI crude oil and ULSD in yesterday’s trading for nearby futures months. The day’s big news was OPEC+ deciding to stick to adding just 400,000 BPD starting in November. In July, OPEC+ agreed to add 400,000 BPD each […]
Energy Prices Move Higher on Bullish Support
October 4, 2021
Energy prices were overall higher on Friday as they continued to add more upside from Thursday as traders and investors speculated on the results of the OPEC+ meeting today. Also adding support were good economic reports on Friday for US manufacturing and US consumer sentiment. China news about them wanting […]
Chinese Energy Moves Jolt Prices
October 1, 2021
The big news from yesterday was that China’s central government officials ordered the country’s top state-owned energy firms to secure supplies for winter needs at all costs. This news spiked the market to up roughly five cents per gallon quickly after this news hit the wires. Prices did ease back […]
Midwest Propane Stocks Hit 8-Year Autumn Low
September 30, 2021
The DOE report on inventory had crude stocks up 4.58 million barrels putting total stocks at 418.542 and last year there were 492.426 million barrels a difference of 73.884 million barrels. US production was up 500,000 BPD to a total of 11.100 million BPD. Cushing crude stocks were up 131,000 […]
Trouble for Chinese Real Estate Developer Spills into Worldwide Market
September 20, 2021
The Baker Hughes Rig Count number released on Friday had crude oil rigs up 10 to a total of 411 total oil rigs. Last year at this time there were 179 rigs. There has been a lot of talk about shale oil companies being very disciplined and having financial restraint […]
Bullish Inventory Reports Buoy Energy Prices
September 16, 2021
The energy markets were higher in yesterday’s trading mainly being pushed higher by the overall bullish DOE inventory report. Crude stocks were reported down 6.4 million barrels which was much more than the roughly 3 million barrels estimate. Crude stock fell to the lowest levels since September 2019. Crude stocks […]