Into The Vortex – EIA Reports Natural Gas Storage Rose Larger Than Expected 41 Bcf

The EIA reported a higher-than-expected build of 41 Bcf of working gas in storage. Natural gas prices sold off after being sharply higher ahead of the latest EIA storage report after the prospect of an October return to full service for the 2.0 Bcf/d Freeport LNG terminal was announced the day before.  Salt Dome Cavern stocks unchanged from -11 Bcf last week. Natural gas prices have been held hostage to the restricted flow of Nord Stream from Russia and the … Continue reading “Into The Vortex – EIA Reports Natural Gas Storage Rose Larger Than Expected 41 Bcf”

Petrobras Finalized Sale Producing Peroá and Cangoá Fields and BM-ES-21 Concession

Petrobras finalized the sale of all its stakes in the producing fields of Peroá and Cangoá, and in the BM-ES-21 concession. What is known as the Peroá Cluster is located in the Espírito Santo Basin was completed with 3R Petroleum Offshore, previously called OP Energia. This transaction continues Petrobras concentrating its resources on assets in deep and ultradeep waters, where it has a competitive edge. Transaction Details US$5 million paid to Petrobras when purchase and sale contract was signed. US$8.07 … Continue reading “Petrobras Finalized Sale Producing Peroá and Cangoá Fields and BM-ES-21 Concession”

Around The Barrel – Crude Oil Builds as Gasoline Demand Hits 3 Month Low with Rising Inflation Bites

Oil prices have trended trend down and continued lower after OPEC+ and demand destruction concerns. EIA data shows refinery activity fell o 3-month low and gasoline demand slid to 8.5M bpd. Positions now leads into US jobs data, and even hotter geopolitical tensions with China and Russia’s Putin rattling their sabers about. Big oil has been busy reporting Q2 numbers with $XOM, $CVX, $PSX, $SHEL, $BP and Permian supremo $FANG all posting record or thereabouts profits. Central banks are aggressively … Continue reading “Around The Barrel – Crude Oil Builds as Gasoline Demand Hits 3 Month Low with Rising Inflation Bites”

Baltic Sea Freight Index Falls to Five Month Low Down 15.4% for July.

The Baltic Exchange’s dry bulk sea freight index booked its worst month since January on Friday with rates across component vessel segments down double digits for the month. The BDI factors in rates for capesize, panamax and supramax shipping vessels, fell 50 points Friday, or 2.6%, to 1,895 points, its lowest in over five months. The capesize index, which had been the relative bright spot by outweighing falls in other vessel segments, lost 109 points, or nearly 5%, to a … Continue reading “Baltic Sea Freight Index Falls to Five Month Low Down 15.4% for July.”

Into The Vortex – EIA Reported US Natural Gas Storage Grew 15 Bcf as Cooling Demand Rises

The EIA reported a lower-than-expected build of 15 Bcf of working gas in storage. Salt Dome Cavern stocks drew -11 Bcf from -15 last week. Natural gas prices have been held hostage to the restricted flow of Nord Stream from Russia and the hot weather sweeping the USA. The report saw natural gas futures consolidate around 8.50 after trading over 9.50 this week. Domestically scorching summer US temperatures overcame assumptions on Freeport LNG. Prices are also reacting to tightening European … Continue reading “Into The Vortex – EIA Reported US Natural Gas Storage Grew 15 Bcf as Cooling Demand Rises”

Around The Barrel – US Crude Exports Record High 4548kbpd as Crude Stocks Draw -4523kbbls

Oil continues to bustle on geopolitics, the latest the Russian oil cap proposal. Meanwhile in the US SPR sales continues. US crude stocks In SPR fell to lowest since July 1985. Is the Biden administration plan to have the Fed raising rates facilitate demand destruction? What happens if supply doesn’t overwhelm demand? Meanwhile this week the EIA reported US crude exports hit a new record high of 4.548mbpd last week as oil stocks fell -4523kbbls factoring in a SPR crude … Continue reading “Around The Barrel – US Crude Exports Record High 4548kbpd as Crude Stocks Draw -4523kbbls”

Market Wrap – Snap Wrecked Again as Tesla Sizzles July 21, 2022

Two things are certain it seems $SNAP gets crushed on warnings and Tesla and Natural Gas tears faces off punters. Prior to $SNAP’s earnings release the S&P 500 closed a tad shy of 4,000. We started off the Bank of Japan lowering its 2022 GDP growth forecast to 2.4% from 2.9% and the ECB announcing a larger-than-expected 50-basis point increase for its key lending rates. Initial jobless claims topped 250,000 for the first time since last November; the Philadelphia Fed Index … Continue reading “Market Wrap – Snap Wrecked Again as Tesla Sizzles July 21, 2022”

Into The Vortex – EIA Reports a Lower Natural Gas Build of 32Bcf with Scorching Summer Draws

In the US the EIA reported a lower-than-expected build of 32 Bcf of working gas in storage. The report sent natural gas futures sharply higher as they continue to recover after being sold off on the Freeport LNG explosion. Domestically scorching summer US temperatures overcame assumptions on Freeport LNG. Prices are also reacting to tightening European supplies on unplanned outages and Russian planning to halt supplies. These conditions are expected to persist through to upside risk with current weather patterning. … Continue reading “Into The Vortex – EIA Reports a Lower Natural Gas Build of 32Bcf with Scorching Summer Draws”

Around The Barrel – Gasoline Demand Destruction with Higher Prices Filtering Through

Sustained oil prices over $100 and recent record high gasoline prices have led to demand destruction as expected with 40-year inflation impacting the consumer. Demand destruction concerns grew after Junes’ soaring CPI and gas prices and PPI goods prices jumped with over half of the increase due to an 18.5% rise in gasoline prices. EIA reported implied gasoline demand of 8.521 mbpd with the 4-week average already down 7% year to year and refinery runs were down by 1.2%, with … Continue reading “Around The Barrel – Gasoline Demand Destruction with Higher Prices Filtering Through”

Baltic Sea Freight Index Rises as Capesize Rates Gain 29% for the Week on Iron Ore and Coal Demand

The Baltic Exchange’s dry bulk sea freight index rose 140 points Friday, or nearly 7%, at 2,150 points, its highest since July 4, rising 4% for the week. The BDI was helped by capesize rates outweighing falls in other vessel segments. The capesize index gained 29% for the week, rising 462 points, or 18.8%, to 2,919 points, its highest since June 20. Iron ore exports from Brazil and demand for coal from Colombia and South Africa in Europe have been … Continue reading “Baltic Sea Freight Index Rises as Capesize Rates Gain 29% for the Week on Iron Ore and Coal Demand”