South Korea’s Hyundai Steel Launches First LNG Powered Ship in Eco-Friendly Plan

South Korea’s No. 2 steelmaker Hyundai Steel Co. in it’s carbon reduction plan is replacing its fleet of raw material carriers with eco-friendly ships. On Wednesday its first liquefied natural gas (LNG) powered ship, “HL Oceanic,” made its maiden voyage. HL Oceanic was built by Hyundai Samho Heavy Industries in Mokpo, South Jeolla Province. The LNG-powered ship is based exclusively on domestic technology, from ship design to construction, the localization level up to 97 percent of the ship price. The … Continue reading “South Korea’s Hyundai Steel Launches First LNG Powered Ship in Eco-Friendly Plan”

WHO Names New COVID Variant of Concern ‘Omicron’

The World Health Organization (WHO) recognized the new Covid strain, first referred to as lineage B.1.1.529 and now named omicron, as a variant of concern. WHO said it will take weeks to understand how the variant may affect diagnostics, therapeutics and vaccines. News of the South African variant sent shockwaves throughout financial markets in thin post Thanksgiving Day trade. Oil fell over 10% on the news with fear of economy’s shutting down again. omicron Omicron is the 15th letter of … Continue reading “WHO Names New COVID Variant of Concern ‘Omicron’”

Oil Futures Collapse Over 10% on South African Variant Risk Asset Selling

Stock markets and commodities markets sold off hard on Friday due to a new coronavirus variant identified in South Africa. The selling intensified with some countries including the UK, Singapore and Israel curbing travel from South Africa and other neighboring countries. We had seen a dead cat bounce in WTI and Brent after the SPR coordinated release plans. The new COVID-19 variant contains significantly more mutations than others raised concerns of further lockdowns and travel restrictions that could weigh heavily … Continue reading “Oil Futures Collapse Over 10% on South African Variant Risk Asset Selling”

OPEC Says US Led Planned Oil Reserves Release Will Bloat Crude Surplus

OPEC warned of oil gluts in response to the U.S. announcing it will release 50 million barrels of oil from the Strategic Petroleum Reserve to lower oil prices in parallel with other major energy consuming nations including China, India, Japan, Republic of Korea and the United Kingdom. OPEC’s advisory body ahead of a meeting with OPEC+ next week predicted that the excess in markets would expand by 1.1 million barrels a day in January. The advisory board also saw February … Continue reading “OPEC Says US Led Planned Oil Reserves Release Will Bloat Crude Surplus”

ECB Stresses Current Inflation Hump Shaped Not Stagflation

ECB accounts of its October monetary policy meeting addressed a lot of key questions. The big one, is inflation transitory and are we headed for stagflation? The Bank recalled that stagflation experiences in the 1970s occurred in a different environment, in which indexation allowed wages to react to energy prices. The shortage of critical supplies including energy and other commodities has “seen market-based measures of inflation compensation in the euro area had surged to their highest levels in over seven years, … Continue reading “ECB Stresses Current Inflation Hump Shaped Not Stagflation”

Dallas Fed October Trimmed Mean PCE Falls For The Month But Still Higher on Year

The Dallas Fed Trimmed Mean PCE for October showed the annualized rate of inflation at 4.2%, a slowdown from the extreme 4.9% in September but still elevated. The Federal Reserve favors the trimmed mean as it excludes the most extreme price changes in consumer goods and services each month. Looking out longer term , the six-month view annualized rate rose to 3.3% from 3.0%. The 12 month estimate rose to 2.6% from 2.3%. The numbers are lower than the traditional … Continue reading “Dallas Fed October Trimmed Mean PCE Falls For The Month But Still Higher on Year”

Into The Vortex – EIA Reports First Withdrawal of Season in Natural Gas Storage

Natural gas storage had it’s first withdrawal of the season. Last week EIA reported a draw of -21Bcf of working gas in storage. U.S. LNG exports of LNG continue to grow with weather pressures continuing globally EIA’s Weekly Gas Storage Report. Report Date: 11/10/2021 Via TradersCommunity.com Release Time: Thursday 11/18/2021 10:30 a.m. ET Market Expectations Actual  -21 Bcf Prior +26 Bcf Consensus Forecast -21  Bcf Cons. Range: -31 to -12 Bcf Last Year: -11 Bcf 5 Year Average: -44 Bcf  … Continue reading “Into The Vortex – EIA Reports First Withdrawal of Season in Natural Gas Storage”

Around The Barrel – Crude Oil Builds With Exports Down & Imports Higher

WTI Oil futures bounced following the US Released SPR ahead of EIA reporting a crude build +1017Kbbl (incl +787kbbl build at Cushing). Crude storage near lows seen in 2018. Gasoline stocks drew -603kbbl,  Utilization rose +0.7% to 88.4%. Production fell to +100k to 11,500 kbpd. DOE Weekly Petroleum Status Report via TradersCommunity.com Report Date 11/17/21 Release Time: Wednesday, November 24, 2021 at 10:30 A.M. (ET) Note in bbls *exp = Reuters poll est  adjusted for API shift, except Cushing   EIA … Continue reading “Around The Barrel – Crude Oil Builds With Exports Down & Imports Higher”

US New Home Sales Miss Forecasts in October, Revised Lower in September

US new home sales for October were 745K vs 800K estimate. The prior month of 800K was revised sharply lower to 742K) However, the median sales price increased to $407,700 in October, the highest on record.  That was the largest increase in the median sales price on record as it increased to $407,700 in October. October US New Home Sales US October new home sales 745K vs 800K expected Prior 800K (revised to 742K) On a year-over-year basis, new home sales … Continue reading “US New Home Sales Miss Forecasts in October, Revised Lower in September”

US Durable Goods Fell Again In October With Slumping Aircraft Orders

US durable goods orders fell 0.5 percent in October, following after a 0.4 percent decrease in September. Transportation equipment (-2.6 percent), specifically nondefense aircraft and parts (-14.5 percent) and defense aircraft and parts (-21.8 percent).   Total durable goods orders rose 1.8% month-over-month in August (consensus +0.6%). October Durable Goods Orders Highlights US Durable Goods Orders Oct P: -0.5% (est 0.2%; prev -0.3%; prevR -0.4%) US Durables Ex-Transportation Oct P: 0.5% (est 0.5%; prev 0.5%; prevR 0.7) Orders declined for … Continue reading “US Durable Goods Fell Again In October With Slumping Aircraft Orders”