Category: The Energy OverView

Cries of foul that the BLS manipulated last week’s non-farm payrolls have been clearly declared absurd as market participants continue to shed risk assets as the week commences. Despite the unemployment rate falling there was little to cheer in the report, which implied the US economy is still struggling.… Read more

What a difference a day makes! Price action yesterday retook almost all the ground lost during the previous session. The headline causality was the most serious cross-border escalation of the 18-month uprising in Syria, as Turkey initiated artillery strikes on a Syrian border town.… Read more

Even though crude stocks fell much less than expected, market participants are apparently taking a more cautious view of energy demand growth prospects, as more length was shed yesterday. Successive pieces of macroeconomic data suggest a slowing global economy. Particularly troubling is contraction in China and developing countries which were supposed to be isolated bright spots.… Read more

November NYMEX WTI slid from the narrow-range, low-volume that persisted throughout yesterday’s session in the last hour of trading. Concerns about supply disruption consequent to the Iran nuclear dispute and a pressured dollar apparently took a back seat as participants considered burgeoning stockpile consensus as an indication of a faltering global economy and its effect on aggregate energy demand growth.… Read more

Price action for November NYMEX WTI was marginally firmer yesterday, contained within a relatively narrow trading range and lower than normal volume. The price of crude oil continue to be weighed down by slowing economic growth from Asia, Europe and the US.… Read more

November NYMEX WTI came under pressure in the overnight session after China’s manufacturing contracted for the second month in a row. The global slowdown is denting oil demand in China, suggesting the country may face its lowest growth pace in 22 years.… Read more

November NYMEX WTI extended a rally off the recent break of 89.00 to as far as 92.71 in price action, so far today. The market has fallen back to 92.00, but should probably head into the week and quarter end with a firm tone.… Read more

Price action took November NYMEX WTI prices to their lowest level since August 3rd, before regaining about $1.00 of lost ground before settlement. Initial downward momentum can only be attributed to growing concerns regarding the European debt crisis, which sparked a safe-haven rally in the US dollar.… Read more

Thank you Mr. Plosser, President of the Philadelphia Federal Reserve Bank. Your comment that conveying the idea that QE3 will have “a substantive impact on labor markets and the speed of the recovery risks the Fed’s credibility”, has driven a very important nail in the coffin of the absurd counter-intuitive thinking that drove WTI prices to over $100.00 recently.… Read more

November NYMEX WTI found relief near recent lows, from the pressure consequent to a rising dollar. Investors sought a measure of safety in the greenback as European policymakers stumble towards resolution of their ongoing financial and economic woes. Expectation that weekly measurements of crude oil stockpiles will show more expansion also kept buyers restrained, as well.… Read more