US attacks armed groups in Syria
November 13, 2023
The US attacked armed groups in Syria, while Israel continued to strike at Hezbollah in Lebanon. This was headline news yesterday and I fully expected the energy markets to jump on the open Sunday night but that was not the case. Markets were up but not what I would have thought as in the past. I think the market has seen these conflicts continue with no disruption of supplies, only talk of it and until something concrete take place the congestion will continue.
The US credit rating was given a negative outlook by Moody’s Investor Services in part due to the ballooning US debt. Moody’s as global credit rating provider, made projections on Friday, changing its assessment of the American credit from stable to negative.
Baker Hughes Rig Count had oil rigs down 2 to a total of 494 and last year at thit time there were 622 oil rigs. This is the lowest level since January 2022.
According to traders and Reuters calculations, Urals crude oil prices at Russian ports have fallen back towards the $60 per barrel price cap imposed by Group of Seven countries, weighed by rising freight rates and weaker Brent crude oil prices.
US consumer sentiment fell for a fourth consecutive month in November, and households’ expectations for inflation increased again, with their medium-term outlook for price pressures shooting to the highest level in more than a dozen years.
Remember that EIA inventory data was not released last week as they were performing system maintenance. This week we will get two reports. Here is an update on where the inventories stand. Total gasoline inventories are 2% above the five-year average. Total distillate inventories are 12% below the five-year average. Propane inventories are 16% above the five-year average.