Market Commentary

Crude oil prices and refined fuels products pulled back slightly in yesterday’s trading as OPEC+ postponed its meeting scheduled for today until Thursday. The news reports indicated there is disagreement among members and Russia whether to extend their current 7.7 million bpd oil cuts or relax the oil cuts to […]

The market traded higher in what appears to be traders covering their positions and needs for this holiday week and as we move forward in the week the trading activity will get less which can lead to bigger one day moves.  Chicago Federal Reserve Bank President, Charles Evans, said he […]

The Baker Hughes Rig Count showed that crude oil rigs were down 5 to a total of 231 crude oil rigs compared with 671 crude oil rigs last year at this time. There has been a rush to get some wells in the Bakken, much of this is Federal land,  […]

The inventory report on propane showed a draw of 2.002 million barrels which was mostly the result of exports out of the Gulf. Exports were up 31,000 bpd to a total of 1.224 million bpd. The Gulf showed a draw of 1.944 million barrels to a total 52.168 million barrels […]

The average estimates for today’s DOE inventory update are calling for crude to be up 1.179 million barrels, gasoline up 62,000 barrels and distillates down 1.961 million barrels. The API report released yesterday said the crude oil stocks were up 4.2 million barrels and the crude stocks at Cushing were […]

The US EIA said US oil output from shale formations is expected to fall by about 139,000 bpd in December to about 7.51 million bpd, the lowest level since June. The largest decline is expected to come for the Permian basin of Texas and New Mexico, where production is expected […]

The Baker Hughes Rig Count Report called oil rigs up 10 to a total of 236 oil rigs. Last year there were 674 rigs. I still think we have some tough months ahead and a lot of work to be done to get us to recovery. The news of the […]

Propane stocks were down 939,000 barrels putting total stocks at 94.889 million barrels compared to last year when there were 92.915 so a positive 1.974 million more barrels than last year. Production was up 22,000 barrels per day at a still solid 2.226 million bpd. Exports were down 232,000 bpd […]

OPEC stated in its monthly report that global oil demand will rebound more slowly in 2021 than previously expected because of rising coronavirus cases, hampering efforts by the group and its allies to support the market. OPEC sees 2020 world oil demand falling by 9.75 million bpd, up from a […]

The market continues to trade higher riding a wave of optimism and focusing only on the positive news about the vaccine and other bullish headlines. The market is up again this morning and quickly rallying to levels that if the market can get a settlement above will push the market […]

The energy market had a strong reaction to the upside on the Pfizer news about their coronavirus vaccine. A vaccine is something very critical to energy as it will allow demand to come back. Despite yesterday’s news nothing has change in the current outlook for supply and demand. Energy still […]

The Baker Hughes Rig Count said that crude oil rigs were up five to a total of 262 rigs. Last year at this time total rigs were at 684 a difference of 458 rigs. The rig count has been inching up slightly the last eight weeks as producers appear to […]