|Day's Range||1.9807 - 1.9853|
EIA's Weekly Petroleum Status Report revealed that crude inventories rose by 822,000 barrels, compared to the 1.8 million barrels decrease that energy analysts had expected.
Oil prices dropped almost 1% on Wednesday following a surprise build in U.S. crude inventories, and as investors waited to see if a fresh round of tariffs by Washington on Chinese goods would come into force on Sunday. U.S. crude stockpiles rose unexpectedly last week, while gasoline and distillate inventories jumped sharply higher, the Energy Information Administration said. At 447.9 million barrels, crude stocks were about 4% above the five-year average for this time of year, the EIA said.
For nations and cities across the world, 2020 was set to be a milestone year in their fight against climate change. It’s the first in a series of globally earmarked emission-reduction waypoints—2020, 2030, 2050—with 2020 planned as an initial benchmarking moment, a time to see progress towards meeting targets aimed at limiting global warming.
The natural gas market gapped as expected. The move was no surprise. NatGasWeather had warned that it would have been dangerous to hold a position had either model not moved significantly one way or the other.
extraktLAB®, the leading full solution CBD oil extraction equipment (https://extraktlab.com/supercritical-co2-extractors/) provider for hemp and cannabis, is excited to announce the launch of four automated manufacturing equipment solutions. Among the new products is the fracTRON (solvent evaporation and fractional distillation), clearSTILL (wiped thin film evaporator), shuckNbuck (bucking machine) and the E-180 (supercritical CO2 extractor). The products will officially launch at MJBizCon Las Vegas, December 11-13.
The U.S. crude benchmark finished sharply lower last week amid speculation that OPEC and its allies are deeply divided over Saudi Arabia's push for deeper production cuts.
(Bloomberg) -- Palm oil’s meteoric rally in the past few weeks will almost certainly come with a cost -- shrinking sales to its largest customer.India, the world’s biggest buyer, will shift some purchases to other edible oils this winter after palm’s surge of about 30% from last month’s low. Palm’s discount to top rival soybean oil has contracted to the smallest in almost a decade, reducing its traditional appeal as a cheaper vegetable oil.“Higher prices are a deterrent for buyers,” said Gnanasekar Thiagarajan, head of trading and hedging strategies at Kaleesuwari Intercontinental. “The Indian market was flush with oil before this rally started heating up. That’s why there’s no rush to buy.”While India typically reduces its imports of palm oil during the three months starting December, a bigger than usual decline in sales to the South Asian nation could dent palm’s rally. India mainly imports palm from Indonesia and Malaysia, the world’s largest producers.Palm oil prices have surged since July on expectations Indonesia will boost biodiesel consumption, with benchmark futures in Kuala Lumpur outperforming soybean oil traded in Chicago and the Bloomberg Commodity Index. Futures capped their best weekly advance since 2016 in the five days to Nov. 22.Indian imports may slump about 15% in the three months from Dec. 1 compared with a year earlier, according to Thiagarajan. Sathia Varqa, owner of Palm Oil Analytics, and G. G. Patel, managing partner of GGN Research, estimate that purchases will drop by 7.5% to 2.2 million tons.The South Asian nation, which imports about 70% of its edible oil, usually cuts back on palm in winter because the cold solidifies the oil and turns it cloudy. Users tend to switch to other oils that look transparent and don’t crystallize.Spread ContractsThough palm is still cheaper than soybean oil, its spread has narrowed to about $18 a ton from $150 in October. That shrinking discount to soyoil is likely to prompt buyers to switch over, Palm Oil Analytics’ Varqa said.Still, those desperate for palm will have little choice but to buy at higher prices. Some companies postponed purchases amid a spat between India and Malaysia last month and were caught off-guard by the rally, said Rajesh Modi, a trader at Sprint Exim Pte in Singapore. Buyers wishing to re-stock will want to do so before export levies in Malaysia and Indonesia kick in next year, he said.“They’re waiting for prices to fall and then will buy hand-to-mouth,” Modi said. “For two months they held back aggressively and just bought only minimum levels. Now they don’t have much stock and don’t have a choice.”(Updates palm oil’s spread to soyoil in 8th graph)\--With assistance from Pratik Parija.To contact the reporters on this story: Atul Prakash in New Delhi at firstname.lastname@example.org;Anuradha Raghu in Kuala Lumpur at email@example.comTo contact the editors responsible for this story: Anna Kitanaka at firstname.lastname@example.org, Atul Prakash, James PooleFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Without cold weather to support prices, the market is likely to continue lower over the short-term with the psychological $2.250 level the next major downside target.
The Zacks Analyst Blog Highlights: ExxonMobil, ConocoPhillips, Valero Energy, Marathon Petroleum and Phillips 66
Oil futures fall sharply on Tuesday to mark the lowest settlement so far this month, pressured by expectations for a fourth consecutive weekly rise in U.S. crude supplies and news that major oil exporter Russia wasn’t likely to advocate for deeper cuts during a key meeting of major oil producers in December.
Oil futures settle lower on Monday, after posting back-to-back weekly gains on rising optimism over prospects for a so-called phase one U.S.-China trade deal.
(Bloomberg) -- Heating oil prices in the northeast U.S. may jump during cold snaps this winter, as the closing of region’s biggest refinery and new clean-fuel rules for ships trim supply.Forecasts for a mild winter have so far kept a lid on prices, even as inventories around New York Harbor are at the lowest level for early November in three decades. While there’s ample supply from eastern Canada and the Gulf Coast to supplement local production during normal weather, a prolonged cold snap may drive prices sharply higher for short periods to attract cargoes from further away.Tight supplies could boost East Coast distillate fuel prices, including home heating oil, in the coming weeks, the Energy Information Administration said in its latest short-term outlook. Bank of America Merrill Lynch analysts, meanwhile, said in a note Friday that the low inventories and switch to lower-sulfur bunker fuel for ships could spur price spikes in some markets.The Northeast heads to winter needing an extra 100,000 barrels a day of heating oil and diesel that would have been produced by Philadelphia Energy Solutions, said Robert Campbell, head of oil products research at Energy Aspects in New York. Uncertainty over how the Philadelphia supply will be replaced “means we are going to draw stocks heading into the winter and are going to have a fairly tight market,” he said.The Philadelphia refinery shut earlier this year after a fire, leaving just four facilities along the East Coast. Some of the lost supply may be replaced eventually when the Limetree Bay refinery on the Caribbean island of St. Croix starts up some units during the first quarter of 2020.While just 4% of U.S. homes are kept warm with heating oil -- similar chemically to diesel for cars and trucks -- most of those are in the Mid-Atlantic and New England, especially in rural areas where natural gas distribution lines haven’t been laid.South Portland, Maine, resident Anne Pelletier gets four deliveries of 200 gallons each a year at her 60-year-old house. Her heating oil bill increased from $1,274 in 2017 to $1,499 last year, and she added cellulose insulation to the attic so the house will burn less fuel.Homeowners will also have to compete with tankers and container ships come January, when new cleaner-fuel rules -- referred to as IMO 2020 -- go into effect around the world. That will divert some diesel that could be burned in home furnaces for use in vessels.Speculators SanguineThe relatively tight supplies around New York may be moot if temperatures are mild, and investors seem to be betting on a no-parka winter. Money managers’ net-long position in CME diesel futures was just 7,184 contracts as of Nov. 12, well below the level of the previous two years.Eastern Canada, as it has for years, will keep Americans warm. Irving Oil Ltd.’s refinery in Saint John, New Brunswick, delivered 50 batches of heating oil to New York and New England in September and October, according to data compiled by Bloomberg. The ship Nor’easter alone made the trip six times in two months. Irving didn’t respond to a request for comment.Across the Atlantic, Western Europe looks to be well supplied. Even in the event of a cold snap, “the refinery system is resilient enough, and even though middle-distillate stocks are a little bit lower year-on-year, there’s enough in stock to ride out any particular bad-weather period,” said Steve Sawyer, an analyst for consultant Facts Global Energy.The region can expect “reasonably traditional” weather patterns as the year draws to an end, said Jim Dale, senior meteorology consultant at British Weather Services.\--With assistance from Olivia Konotey-Ahulu.To contact the reporters on this story: Jeffrey Bair in Houston at email@example.com;Jacquelyn Melinek in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: David Marino at email@example.com, Reg GaleFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Oil futures climb on Friday to tally a gain for the week, with optimism over phase one of a potential U.S.-China trade deal lifting prospects for energy demand, even as traders weigh a conflicting outlook for crude supplies.
The federal government's EIA report revealed that domestic crude production climbed to yet another record high of 12.8 million barrels per day.
Oil futures finish lower on Thursday after a U.S. government report revealed that domestic crude inventories rose for a third straight week and gasoline supplies logged their first rise in seven weeks.
Oil futures end higher on Wednesday, with prices recouping most of the losses they suffered over the past two trading sessions.
Oil futures end slightly lower Tuesday to post back-to-back declines, as a speech by President Donald Trump failed to offer any market-moving insights related to progress on trade talks between China and the U.S., a driver of economic growth and demand for crude.
Oil futures settle lower Monday as recent developments in Sino-American trade negotiations reignite some fears about demand for energy assets in the face of a prolonged tariff scuffle
Oil futures give up earlier losses to finish higher Friday, with U.S. prices notching a fresh six-week high, as traders gauged expectations for energy demand against conflicting news tied to China-U.S. trade talks.
Oil futures climb on Thursday to recoup most of their losses from a day earlier, after China and the U.S. agreed to lift existing tariffs if a partial trade deal is struck soon, signaling that trade talks are progressing and providing an upbeat backdrop for crude demand.
Oil futures finish lower on Wednesday after U.S. government data revealed that domestic crude supplies rose for a second week in a row, by nearly 8 million barrels.
Oil rose above $62 a barrel on Thursday after China hinted at progress towards a trade deal with the United States, raising hopes for an end to a long dispute that has weighed on economic growth and demand for fuel. China and the United States have agreed in the past two weeks to cancel tariffs in different phases, the Chinese commerce ministry said on Thursday without giving a timeline. The trade dispute has prompted analysts to lower forecasts for oil demand and raised concerns that a supply glut could develop in 2020.
Oil prices dropped more than $1 a barrel on Wednesday after a much larger-than-expected build in U.S. crude inventories and after Reuters reported that the signing of a U.S.-China trade deal could be delayed until December. Prices extended losses after Reuters reported that a meeting between U.S. President Donald Trump and Chinese President Xi Jinping to sign a long-awaited interim trade deal could be delayed until December as discussions continue. Earlier, prices dropped after data from the Energy Information Administration (EIA) showed U.S. crude inventories rose by 7.9 million barrels in latest week, exceeding analysts' expectations for a build of 1.5 million barrels.