Oil & Energy

Google Ad

Natural gas futures fell into a much smaller draw than expected of just -1 Bcf in gas storage last week and another storm worry overhung. Large movements on the spreads as winter approaches and noise on Biden banning Fracking.  The  focus is on the coronavirus effect on reopening, LNG and Mexican exports and the winter outlook for the US.

While oil traders wait on OPEC indecision EIA reported a draw in crude oil of -679kbbl and -317bbl at Cushing. Products had large builds with gasoline +3491kbbl and distillate +3228kbbl. US production rose 100bpd to 11100 kbpd as storm production returned, still off record high of 13.10 mbpd. Oil Futures have reached the highest prices since March 2020.

Natural gas futures hovered after a -18 Bcf draw in gas storage last week and another storm worry overhung. Large movements on the spreads as winter approaches and noise on Biden banning Fracking.  The  focus is on the coronavirus effect on reopening, LNG and Mexican exports and the winter outlook for the US.

EIA reported a draw in crude oil of -754kbbl and -1721bbl at Cushing,  gasoline +2180kbbl and distillate draw of -1441kbbl. US production rose at 11000 kbpd as storm production returned, still off record high of 13.10 mbpd. Oil Futures have reached the highest prices since March 2020.

Natural gas futures fell after a +31 Bcf in gas storage last week and another storm worry overhung. Large movements on the spreads as concerns grow on about Biden banning Fracking.  The  focus is on the coronavirus effect on reopening, LNG and Mexican exports and the winter outlook for the US.

EIA reported a build in crude oil of +769kbbl with +1200kbbl at Cushing,  gasoline +2611kbbl and distillate draw of -5216kbbl. US production was unchanged at 10900 kbpd as storm production returned, still off record high of 13.10 mbpd. We remain wary of the reports due to hurricane affects.

Natural gas futures fell after a +8 Bcf in gas storage last week and another storm worry overhung. Large movements on the spreads as concerns grow on about Biden banning Fracking.  The  focus is on the coronavirus effect on reopening, LNG and Mexican exports and the winter outlook for the US.

EIA reported a build in crude oil of +4277kbbl, draws of -518kbbl at Cushing,  gasoline -2309kbbl and distillate draw of -5355 kbbl. US production was unchanged at 10500kbpd as storm production returned, still off record high of 13.10 mbpd. We remain wary of the reports due to hurricane affects.

The OPEC Monthly Oil Market Report (MOMR) for November released Wednesday provides OPEC's outlook for crude oil market developments for the coming year with key developments impacting oil market trends in world oil demand and supply.

In November's Short-Term Energy Outlook (STEO) the EIA expects Henry Hub spot natural gas prices to rise to a monthly average of $3.42/MMBtu in January 2021 because of rising domestic demand for natural gas for space heating, rising U.S. LNG exports, and reduced production. 

Google ads