In the wake of last Thursday’s surprise announcement from the IEA, the forward curve of the Brent crude oil market has been turned on its head, literally. At the same time, sweet/sour diffs have collapsed.
A recent article in The New York Times regarding growth prospects for North American shale gas was the talk of the town yesterday. The article in question, called into question, the prospects of shale gas development.
In our book, Saddam’s annexation of Kuwait and devastation to the U.S. refinery epicenter are emergencies.
Gasoline supplies in the U.S. ticked down last week. According to yesterday's weekly update from the DOE, total supplies of gasoline fell by 0.46 MMbbls or -0.2%. Current supplies of 214.6 MMbbls stand comfortably atop the seasonal range.
Here is what we think the FTC is going to find… nothing, zilch, nada, no evidence whatsoever of market manipulation. After all, the days of Standard Oil are long gone. We are pretty sure Senator Rockefeller is aware of that.
Whereas temperatures in the western third of the country posted one of the coldest Mays on record, Texas notched its 21st warmest month. Markets along the eastern seaboard, from Virginia to Maine, posted one of the warmest Mays on record.
The mid $90s had been an area that attracted buying interest ever since Middle East experts began incorporating the contagion noun in their repertoire back in February.