|Day's Range||2.3570 - 2.4180|
Next year's output at the Groningen natural gas field in the north of the Netherlands looks set to drop 20% more than previously announced, the Dutch government said on Monday. Production at the field, operated by Royal Dutch Shell and Exxon Mobil, could be limited at 12.8 billion cubic metres (bcm) in the year starting October 2019, the government said, to limit seismic risks in the region. The government said in February that production would drop to 15.9 billion cubic metres (bcm), but was forced to cap production faster than planned after a 3.4 magnitude earthquake hit the Groningen region last month.
Brazilian state-run oil firm Petroleo Brasileiro SA has made natural gas discoveries in six deep-water fields in the Sergipe Basin, it said in a regulatory filing on Monday. Newspaper O Estado de Sao Paulo reported on Sunday that the find was the largest since the sub-salt discoveries in 2006, and that Petrobras could extract up to 20 million cubic meters of natural gas per day, equivalent to one third of total Brazilian production. According to O Estado, the find could help deliver the "cheap energy shock" to Brazil promised by Economy Minister Paulo Guedes, his vision to reduce the cost of natural gas by up to 50% and "reindustrialize" the country.
Despite a slight recovery, natural gas prices remained close to the lowest levels in three years because of growing fears that soaring production is outpacing demand growth.
Last week, natural gas July futures rose 2.1% and settled at $2.387 per million British thermal units. Bullish inventory data and higher demand could be behind the recovery in natural gas prices.
Early in the week, trader reaction to a minor top at $2.406 will tell us if the short-covering is getting stronger. If momentum begins to build on this move then the rally could eventually extend into the short-term pivot price at $2.518. This rally will look impressive on the short-term charts, but it will only represent short-covering.
OTTAWA/CALGARY, Alberta (Reuters) - Canada looks set to approve a hotly-debated plan to expand an oil pipeline this week, people familiar with the process told Reuters, but the move is unlikely to help Prime Minister Justin Trudeau rebuild flagging support ahead of an October election. The Liberal government last year took the unprecedented step of buying the Trans Mountain pipeline from Kinder Morgan Canada for C$4.5 billion ($3.4 billion) to ensure the expansion went ahead to help solve crude transportation bottlenecks. If completed, the expansion would nearly triple capacity on the pipeline that runs from the western crude-rich province of Alberta to British Columbia's Pacific coast.
Papua New Guinea's new prime minister has an ambitious -- cynics would say far-fetched -- objective of turning one of the world's poorest countries into the "richest black nation" on earth in just a decade. If national economies were like football teams, then Papua New Guinea would be near the bottom of the table struggling to avoid a relegation dogfight. As rich as Papua New Guinea is in culture, language and beauty, it is the 153rd most developed country in the world out of 189, according to the United Nations -- doing slightly better than Syria, marginally worse than Myanmar.
In stark defiance of Trump’s rhetoric, China and Russia have doubled down on their cooperative Arctic efforts in a new natural gas venture
Today’s positive US data seemed to mitigate the speculations over a probable Fed rate cut. Fiber dropped 0.66% reaching near 1.1214 levels amid Greenback upsurge and weak German & Italian data.
We’re going to be keeping an eye on the 11- to 15-day forecast and trader reaction to $2.406, over the next few days. If the forecasts call for increased heat then look for a breakout over this level with $2.518 the minimum upside target.
The British pound pulled back a bit during the trading session on Friday before bouncing slightly. At this point, it looks as if the market is trying to form some type of base, so approaching the market as such could be beneficial.
The Australian dollar fell during trading on Friday, breaking below the 0.69 handle. That being said, there is still plenty of support underneath so I think that the downside is probably somewhat limited, but you can say the same thing about the upside.
Asian spot prices for liquefied natural gas (LNG) edged higher this week, tracking higher oil prices and as production curbs in Australia boosted demand, industry sources said. Spot prices for July delivery to Northeast Asia are estimated to be $4.30 to $4.40 per million British thermal units (mmBtu), up from $4.25 last week, the sources said. Spot trading for the super-chilled fuel was volatile this week with prices moving quickly from opening to closing of the market within a day, a Singapore-based industry source said.
Australia's fast-expanding liquefied natural gas industry has this year been supplying the lion's share of China's growing demand for imports of the commodity, with appetite surging as Beijing shifts away from dirtier fuels such as coal. Australia supplied over 53% of China's LNG imports during the first five months of 2019, shipping data in Refinitiv showed, up from around 40% in 2016 when a previous round of new Australian export projects started to ramp up. With Royal Dutch Shell's Prelude facility delivering its first LNG cargo this week from northwest Australia, that share is likely to increase further.
Tankers like those apparently attacked Thursday in the Gulf of Oman operate through increasingly treacherous waters, facing mounting dangers from piracy and collision as well as geopolitical hazards. Around 60 million barrels of petroleum product move each day on the seas globally, according to the US Energy Information Administration. This waterway is a principal route for crude exports from Saudi Arabia, Iran, the United Arab Emirates, Kuwait and Iraq.
U.S. consumer inflation has moderated recently. Trade wars go on. What the Fed will do now? Let’s not forget the recent ECB monetary policy meeting. It carries implications for both EUR/USD and gold. Just what are they?
A pair of proposed pipelines will give the Port of Corpus Christi access to oil from Oklahoma and North Dakota for the first time. Houston-based Phillips 66 (NYSE: PSX) announced Monday that it plans to build one pipeline to move crude oil from the North Dakota's Bakken Shale oil fields to Cushing, Oklahoma, and one that will move the product from Cushing to Corpus and other ports along the Gulf Coast. Phillips is partnering with Bridger Pipeline LLC to build the Bakken-to-Cushing line and with Plains All American Pipeline (NYSE: PAA) for the Cushing-to-Gulf Coast line.
Poor barrier management combined with underbalanced operations performed without proper planning, procedures, or needed equipment to make an Oklahoma natural gas well blow out and catch fire on Jan. 22, 2018, killing five workers in the driller’s cabin on the rig floor, a US Chemical Safety Board investigation concluded.
Exports from Qatar and the U.A.E. must transit the Strait of Hormuz, the chokepoint near where the two tankers were hit(1). In theory, an extended conflict along the lines of the so-called tanker war of the 1980s could have a serious impact on the LNG trade. As my colleague Julian Lee writes here, outside of a broader war, Iran has little to gain from launching an all-out tanker war that would disrupt what’s left of its own sanctions-hit energy trade and would invite the destructive attention of the U.S. Navy.
Silver markets rose slightly during the trading session on Thursday, reaching towards the 50 day EMA. The 50 day EMA is crucial, and I believe that there is a massive amount of resistance between the level and the round figure above.
Based on the early price action, the direction of the EUR/USD on Thursday is likely to be determined by trader reaction to the downtrending Gann angle at 1.1297. We’re still waiting for a confirmation of the closing price reversal top. Volatility is likely to pick up once 1.1283 is taken out and the chart pattern is confirmed.
Oil prices can have a significant impact on the entire energy sector not just on oil-weighted stocks. Oil prices are often important for the energy sector’s general sentiment, which explains the different trend in correlations among natural-gas-weighted stocks with oil and natural gas prices.
Oh, sure you might say that the natural gas sector is beaten and battered, and its best days are behind it. Of course that’s also what they said about the Cowboys in 1989.
"We're protecting Germany from Russia and Russia is getting billions and billions of dollars from Germany," Trump told reporters at an appearance with Polish President Andrzej Duda at the White House. Nord Stream 2, a 760-mile (1,225-km) pipeline project to ship gas from Russia under the Baltic Sea to Germany, would double the capacity of the existing Nord Stream pipeline and has divided the European Union.