Energy OverView October 1, 2013

Our analysis of the government shutdown is set forth above in the Macro section. WTI oil prices rebounded, after finding support $101 per barrel, yesterday. Some of the bounce was attributable to perceived progress on avoiding a shutdown, but the aftermath is not so bad, right now. There are several bearish influences for the oil market, as more and more Libyan production returns and the Saudis continue to pump at or near record levels. Iraq is more of worry, currently, but it is not front-and-center. The New York Times chronicles the dire state of Iran’s economy in this mornings’ paper