|Day's Range||65.30 - 66.39|
On Wednesday, the U.S. Energy Information Agency (EIA) added to the pressure when it reported that the country's crude oil inventory rose by 6.8 million barrels. Analysts remain divided over the medium-term direction of oil prices. On the one hand, they argue that prices are due for an uptick because supplies will tighten by about 1 million barrels per day when U.S. sanctions against Iranian oil exports come into effect in November 2018.
With natural gas rapidly approaching the so-called “Shoulder Season”, bearish traders are counting on a big drop in demand and a steady-to-higher rise in production. In a perfect situation, this scenario should lead to lower prices over the near-term. In order for a bearish scenario to develop, temperatures are going to have to remain at average or below average levels and production has to remain over 80 Bcf/d.
A decade ago, analysts suggested that U.S. oil companies target Venezuela’s Citgo refineries as compensation for Venezuela’s expropriation of their assets, and now, that may finally become a reality
After months of delays, disasters and bad PR, Exxon’s Papua New Guinea project seems to be on its way up, and with the trade war escalating, it could end up being more profitable than expected
Positioned on the Mediterranean Sea and between European markets and Middle East suppliers, Egypt has a developed energy infrastructure for refining, storage and export and exporting oil and gas
Turkey may have just shot itself in the foot in its latest tariff hike on imports from the United States, threatening the country’s coal supply, and by extension, its energy sector
Venezuela’s president, Nicolas Maduro, took a highly risky decision this week. No. What Maduro did was to announce plans to rein in fuel subsidies. “Gasoline must be sold at an international price, to stop smuggling to Colombia and the Caribbean,” he explained in a televised address.
One positive that can be taken from last week’s events is that sometimes it is necessary for an event to come along and drive stocks back into value areas. Too often, bull markets sputter along near all-time highs because of limited buying. However, profit-taking and position-paring is often necessary to bring prices into areas that are attractive to new buyers. It’s this new capital that then drives stocks to new highs.
Crude oil markets were very shaky during the week, going back and forth, but recovering quite nicely on Thursday and Friday. Because of this, they may have saved themselves as the volatility seems to be picking up.
The US stock markets fell a bit during the day on Friday initially, but continue to find support around previous levels that had offered resistance. Because of this, and the fact that the weekly candle stick is starting to look very much like a hammer, I remain positive.
Silver markets were range bound during the Friday session, stabilizing after a massive selloff for the week. However, I think that this market still looks very bearish and I think it’s only a matter time before the sellers come back. Looking at the US dollar might provide some clues though.
The Australian dollar rallied a bit during the trading session on Friday, to close out the week on solid footing. As we approached the 0.73 level, we are starting to form a rather important weekly candle.
Investing.com - WTI crude oil prices ended lower for a third-straight week, despite settling higher Friday amid reports the U.S. and China are mapping out plans to resolve their trade war later this year.
Natural gas prices moved higher on Friday, following Thursday’s in line inventory report. The trajectory of injections continues to flatten ahead of the withdrawal season, which signals that prices should move higher. The weather in the US is expected to move toward warmer than normal without any areas that are normal or below normal over the next 8-14 day period. Natural gas prices moved higher climbing slightly more than 1.25%, but was unable to recapture resistance near an downward sloping trend line that comes in near 2.97. Momentum is neutral as the MACD (moving average convergence divergence) histogram is printing in the black with a flattening trajectory which points to consolidation.
Baker Hughes reported no change to the number of active oil and gas rigs in the U.S., while reporting a small rise in active rigs in Canada
Saudi state oil giant Saudi Aramco remains committed to meeting future oil demand through continued investments, the kingdom's Energy Minister Khalid Al Falih said in a company report on Friday. Aramco, which is slated for a public share sale, "continued to prepare itself for the listing of its shares, a landmark event the company and its board anticipate with excitement," Al Falih, who is also chairman of Saudi Aramco, said. Despite an improved market picture, the oil industry's preparedness for the future remained in question as the sector had lost an estimate $1 trillion (£786.7 billion) in planned investments since the start of the market downturn, Al Falih wrote.
Nigeria's state owned oil company is set to float 40 percent of its stock on the Nigerian Stock Exchange once the President signs the relevant bill
On August 16, natural gas’s implied volatility was 21.2%, which was ~1.4% above its 15-day moving average. In the trailing week, natural gas’s implied volatility fell 1.4%. Natural gas September futures fell 1.6% during the same period. Since June, these two metrics have been moving in tandem.
On August 16, US crude oil September futures rose 0.7% and settled at $65.46 per barrel—$0.45 above the lowest closing level in more than two months. On the same day, the Energy Select Sector SPDR ETF (XLE) rose 0.7%. The small rise in oil prices might also be behind a rise of 0.8% and 1.6% in the S&P 500 Index (SPY) and the Dow Jones Industrial Average Index (DIA), respectively, in the last trading session. In Part 3 of this series, we’ll analyze US crude oil’s relationship with these equity indexes.
Royal Dutch Shell's (RDSa.L) oil traders in the Caribbean island of Barbados are getting ready for a tough gig - they're being moved to the Bahamas next month. The relocation of the oil and gas company's trading hub for Latin America will make travel to customers in the key region easier for its employees, a company spokeswoman said. Shell's oil output in South America jumped sharply in 2016 after it acquired BG Group, which had a large portfolio of assets in Brazil.
Investing.com - Oil prices headed for a second consecutive day of recovery on Friday, but remained on track for a weekly decline, with U.S. crude heading for its seventh straight weekly drop, as investors continued to observe world trade developments.
Strikes planned on three of Total's (TOTF.PA) North Sea oil and gas platforms for five days in September and October will be 12 hours long, a spokesman for the Unite union said on Friday. Strike action by around 45 of Total's 60 workers on the Alwyn, Elgin and Dunbar platforms is scheduled to start with a 24-hour stoppage at 0500 GMT on Aug. 20. On the further strike dates set for Sept. 3, Sept. 17, Oct. 1, Oct. 15 and Oct. 29., operations on the platforms will stop for 12 hours, the spokesman said.
India's palm oil imports are likely to fall 15 percent in 2017/18 from the year before to their lowest in six years, hit by a hike in import taxes, a weaker rupee and tighter credit for would-be buyers, a senior industry official told Reuters. Reduced purchases by the world's top importer of the oil, where it is widely used to fry foods such as samosas or bhajis, could pile more pressure on benchmark international futures that are already trading near their lowest in three years.