In the first few days of a new political administration, change is expected, and the Biden administration has not disappointed. President Biden has signed executive orders re-entering the US into the Paris Climate Accord, slowing pipelines, reinvigorating vehicle fuel efficiency targets, and issuing a 60-day ban on new drilling permits on federal land. Halting drilling […]
WTI crude started the week lower after last week’s news of voluntary supply cuts from Saudi Arabia had sparked a rally. Vaccine news began this multi-week rally in earnest back in November, and the market marched steadily higher each week, supported by a weaker dollar until recently. The $1.9 Trillion economic stimulus package announced by […]
WTI crude started the week higher on news of vaccine distribution beginning in the US. Fuel prices have been rising faster than crude prices, and recently crack spreads have been above $10, signaling the likely return of refinery utilization. Falling crude inventories reported by the EIA mid-week helped to continue the rally as a crude […]
WTI crude started the week relatively flat on light news. It finished the week higher as vaccine optimism took over with the rollout of a coronavirus inoculation program in the United Kingdom. An astonishing 15 MMbbl crude build reported by the EIA mid-week could not dampen the optimism generated by vaccine news. The successful rollout […]
WTI crude finished the week higher, starting up on Monday with news of another effective vaccine lifting the market throughout the week. This new vaccine by Moderna reported 95% efficacy rates and a more manageable storage temperature. An inventory build in crude mid-week put downward pressure on the market but could not overcome OPEC optimism […]
WTI crude finished the week relatively unchanged after an up and down week of trading. OPEC met on Monday and reiterated that it would support a balanced market. Saudi Arabia stated, “No one should doubt the group’s commitment to providing support.” Still, the group did not formally commit to maintaining current production levels. Markets are […]
WTI crude finished higher this week. After heavy speculation over the weekend about the President’s health, the market rose on Monday on news that Trump was recovering from the coronavirus. News of his recovery erased much of the previous week’s losses to start this week. Trump called for a halt to stimulus negotiations, then reversed […]
The week began with optimism regarding a stimulus package being discussed in the House. Democratic leaders proposed a new $2.2 Trillion bill to inject cash into the US economy. While both sides of the aisle agree stimulus is needed, they disagree on how much money should be spent. In inventory news, a surprise draw in […]
Blink and you might have missed the faltering oil market from past weeks. WTI crude broke below $40/bbl on September 4, and by the middle of this week had already gained a position above that threshold. The week started with bearish news including the UAE uncharacteristically pumping above their OPEC quota. In addition, Libya announced […]
WTI crude finished down for the week. The week started with a precipitous drop on news from Saudi Arabia of a cut in price on August Arab Light crude, which traders took as a sign of lowered demand coming out of Asia and especially China. Crude followed the choppy ride of US equities this week […]
