The East Coast cold weather is expected to last through the weekend, however the weather did not support any price increase on Friday. Though there is certainly some demand surge from this cold snap, the heavy snowfall along the East Coast corridor has kept trucks off the road. That could be limiting some liftings and “demand”. Read more
A long and stressful energy week ended with a bout of tranquility, as gasoline prices slipped off recent record highs but retained the wary eye of both the futures and physical market community. Though no new news was reported today by oil companies, refiners or the Colonial Pipeline (No news is really just no news), the market seemed to be in need of a break after such a volatile, one-sided week.
The September RBOB and Heating Oil contracts expired with a flourish, with that gasoline contract settling at a multi-year high and adding to the 50-cent price rise of the last week. Resupply dates and volumes remain very much up in the air for many East Coast locations, as product is still slow moving in the Colonial Pipeline and more delayed refinery startups are announced: Read more
PAPCO | World Fuel Services thoughts remain with those most affected by the devastation of Hurricane Harvey and its aftermath, as refinery and pipeline shut downs continue to challenge fuel supply situations across the Eastern United States. Read more
As September NYMEX futures contracts approach expiration (Thursday), RBOB and Heating Oil continued their torrid march higher, and the prompt RBOB contract hit its highest absolute level in two years. Read more
Markets were relatively unchanged Wednesday as we continue to trade sideways. A result of upward pressure from OPEC cuts and fund lengths matching downward pressure over fears of domestic supply growth, front month WTI continues to trade in the very narrow $2 range ($52-$54). It has spent most of the last four trading sessions inside the one dollar range of $53-$54. Read more
Markets ended the week on a high note, with both products finishing Friday up around 3 cents. The sentiment ending the week remained bullish as many looked toward the impending OPEC compliance meeting. However, market action seemed somewhat subdued on Friday, as the attention of many market participants was on the events in Washington D.C. Read more
This week's volatile price changes continued yesterday, as the market shook off an "on paper" bearish Department of Energy (DOE) inventory report to recoup a healthy portion of the losses seen in the past few days. February WTI had dropped by three dollars in the first two sessions this week, closing at its lowest level since mid-December and giving the "defenders of $50" bulls reason for pause. Read more