Category: The Energy OverView

WTI oil prices were dragged higher by surging gasoline prices. Despite East Coast gasoline inventories at one-year highs, gasoline prices have spiked higher from the moment announced the closure of its Port Reading, NJ refinery. Brent crude oil prices have also surged, and those values determine gasoline prices on the East Coast more than WTI, but it has been a remarkable run.… Read more

WTI Crude oil prices are pressing up against a critical level, $98 per barrel. It is the line in the sand, prior to a run to $100. Crude is rising even as the IEA lowered its 2013 demand outlook, which was in contrast to the rise seen by OPEC and the US EIA.Some… Read more

The pesky element of geopolitics is back in the mix this morning, on news of the latest nuclear test by North Korea. It appears the mouse has played, while the cat is away. The test has occurred during the Chinese lunar New Year celebration, after China had strongly warned against any further test.… Read more

Dollar strength against the pound and the yen appears to be causing a commodity sell-off this morning. Brent crude is down a dollar barrel, below $117, while WTI is down marginally. Some of the losses are related to Brent-WTI spread profit-taking, after the spectacular run that trade has been on.… Read more

WTI prices fell, yesterday, after, climbing above $97. Brent crude oil continued its climb, however, and is now above $118. The Brent-WTI spread dynamic is still very much at work. The latest news impacting the spread was news that BP’s Whiting Indiana refinery restart would be delayed again.… Read more

The real price action in the oil market right now is being driven by the dynamics of inland US oil production, and the infrastructure vagaries. The Seaway pipeline reversal was supposed to liberate stranded mid-continent barrels and reduce the price spread between Brent crude and WTI.… Read more

The idea that progress could be made in the Iran nuclear dealings was given some considerable attribution for yesterday’s decline in oil prices. The story has some legs on word that Iran will meet with world powers on February 26 in Kazakhstan.… Read more

While most markets are lower this morning, crude oil has its own narrative. The geopolitical premium is ebbing as a result of Iran’s cautiously positive reaction to statement by Vice President Biden, last week, that direct, bi-lateral talks were possible between the two countries.… Read more

Brent crude oil prices have been surging on the rising geopolitical tensions and the dynamics of the Brent-WTI spread over internal US pipeline machinations. Brent topped $116 on news of bombing at the US embassy in Ankara, Turkey. The Israeli airstrike in Syria also raised the security premium.… Read more

Crude oil prices meandered, yesterday, after surging above $98 in overnight trading. The weekly inventory report showed a large rise in crude inventories and a decent drawdown in refined product stocks. Interestingly, we are finally demand growth in gasoline consumption. This correlates with the improvement in employment in the U.S.,… Read more