OPEC agrees on monitoring system but Saudis say compliance is so strong that production cuts might not be needed past May
On Sunday January 22 OPEC and non-OPEC producers including Russia announced what looks like a credible mechanism for monitoring the production cuts that these nations agreed in December. And Saudi Arabia’s oil minister said that with better than expected...
Oil and oil stocks soar today as OPEC agreement is stronger than Wall Street expected
Yesterday I wrote that the financial markets’ reaction to whatever came out of OPEC’s meeting today would depend on how weak or strong the agreement to cut production was. Well, the actual agreement announced today to cut oil production was far stronger...
Another day, another OPEC rumor–this one sends oil prices down
Another day. Another batch of OPEC rumors. Oil prices were flying high again until about noon New York time when they retreated on headlines that emphasized a lack of agreement from Iran, Iraq, and Indonesia on the proposed deal. For a while this morning and yesterday...
Oil price volatility increases as we get closer to OPEC’s November 30 deadline
Oil prices were all over the chart on Wednesday, November 17, as negative data battled optimistic words. Look out for more days of this war as we get closer to the November 30 meeting of OPEC that is supposed to result (but might not) in an agreement to significantly...
Just what a downward trend in oil prices needs–higher than expected U.S. oil inventories
This isn’t what oil markets needed after OPEC talks last weekend revealed the deep fissures among OPEC members that stand in the way of an agreement to reduce production emerging from the organization’s November 30 meeting. This morning the U.S. Energy...
Selling my Treasury ETF because my scenario on global central bank policy was wrong
When I bought shares of the iShares 7-10 Year Treasury Bond ETF (IEF) back on June 28, 2016, it was in the belief that the Federal Reserve would raise interest rates (as early as September or as late as December) while other central banks remained committed to their...
Oil gains on a surprise drop in U.S. inventories
Oil prices jumped on a surprise draw down of U.S. crude inventories of 5.25 million barrels in today’s report from the U.S. Energy Information Administration. Analysts had been looking for an increase of 2.1 million barrels in U.S. inventories. U.S. benchmark...
A week of oil talk–with volatility and (probably) higher oil prices
Lots of talk with the potential to move oil markets on tap this week. And already today we’re got the first installment of that talk from Russian President Vladimir Putin at the World Energy Congress in Istanbul. (The congress brings together OPEC and non-OPEC...
Surprise drop in crude inventories today continues oil rally
Crude was up again this morning continuing the rally that began with OPEC’s “announcement” of production cuts (details in Vienna on November 30, maybe) at its meeting last week in Algiers. West Texas Intermediate sagged into the close, however. West...
U.S.oil and gas rig count inches up again–it’s not enough to lift the drilling sector–yet
The total number of oil and natural gas rigs operating in the United States rose by 11 to 522 in the week ended September 30, according to Baker Hughes. That follows on last week’s increase of 5 rigs in operation. The bulk of the pick up came in oil rigs where...
As usual, today’s “agreement” by OPEC is more talk than action
What exactly did OPEC agree to in Algiers today? Oil rallied big time today on news that OPEC countries have agreed to reimpose a production ceiling and to drop production to 32.5 Â to 33 million barrels a day. At the low end of the range that would amount to a...
Oil inventories do indeed disappoint today as feared yesterday
Yesterday oil prices dropped on fears that today’s inventory report from the U.S. Energy Information Administration would show a big increase in crude inventories. Today oil prices are down further on the actual report: Crude inventories climbed by 2.28 million...
Oil prices continue lower on worries over Wednesday report on U.S. inventories
Two down days in a row–a big trend given the volatility in oil price trends recently. As of the close on Tuesday, August 30, October futures for West Texas Intermediate, the U.S. benchmark, were down 0.28% to $46.22 a barrel. The selling comes as a Bloomberg...
Oil markets hold their breath waiting for Wednesday’s data on U.S. inventories
Tomorrow, August 10, brings a new weekly report on the state of crude oil inventories in the United States with oil markets looking to calculate a timetable for the restoration of supply/demand balance. Uncertainty over those inventory numbers was enough to bring the...
Today’s news on oil and gasoline stockpiles may just be an artifact of earlier than usual season shift at refiners
Oil traders have decided that this morning’s news on oil and gasoline inventories indicates a drop in supply and is therefore good for higher oil prices. U.S. benchmark West Texas Intermediate settled up 3.3% today to $40.83 a barrel. I’m not convinced...Jim’s Daily Email Alerts:
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