Positive Payroll Data Supports Fed Case to Raise Interest Rates
March 9, 2023
China exported 12.96 million tonnes of refined oil products in the first two month of the year, according to customs figures released on Tuesday. The outlook is that these exports will decline as China use more internally as demand picks up.
Propane inventories were down 537,000 barrels to a total of 60.053 million and last year at this time there were 35.530 million barrels. Midwest stock were down 1.958 million barrels putting total inventories at 13.878 million and last year inventories were 9.660 million. Gulf Coast inventories were up 1.091 million putting total inventories at 37.904 million and last year there were 20.027 million.
The DOE report had crude oil stocks down 1.69 million barrels putting total stocks at 478.513 and last year they were 411.562. Gasoline stocks were down 1.13 million putting total stocks at 236.058 and last year they were 244.606. Distillates stocks were up 140,000 barrels putting total stocks at 122.252 and last year there were 113.874.
ADP reported yesterday that 240,000 private payrolls were created in February of 2023, which was higher than the 200,000 new jobs expected by economist. In addition, the January 2023 number was revised higher. This is a sign of a good economy and supports the Fed’s case that they will need to continue to raise interest rates to try and bring down inflation and this could pressure our economy.