Brent Crude closed just under its May range play ceiling and is currently consolidating just above the region. With the upcoming driving season our bias for oil moving forward is for further upside. Though moving past the years highs will be unlikely without any further catalyst. Note that beyond cyclical factors demand for oil remains…
With the two regional, Ukraine and Israel-Gaza, not having much of an impact in the logistics chain for the moment, oil prices are about monetary policy and how it affects demand. Hopes for rate cuts have recently been dashed in both the UK and more importantly the US with persistent inflation pressures while China, the…
We have little in the way of a catalyst for oil at the moment with no actual rate cuts happening to potentially spur demand. Though supply side news if more of a curiosity as Russia latest oil find in the Antarctic is not something that could easily be developed. Though overall if things were to…
The initial response by oil to weak US economic numbers was to ease, a weaker economy in its biggest user means weaker demand at a time when top oil importer China has been reducing its purchase of middle east oil. From the supply side the US Energy Information Administration reported that strategic reserves dropped more…
Financial markets these days appear to be inured already with the violence we see globally that unless actual supply disruptions appear traders and investors will just shrugged it off. Tuesday saw oil prices dropping to its two week consolidation lows though absent any fresh angle from supply and demand we do not expect a further…
Oil prices continue to ignore the Middle East conflict and will likely continue to as long as it remains localized in Gaza, and against Hezbollah in Southern Lebanon. For now the primary concern for the market is demand and a narrative of delays in US easing is keeping prices vulnerable along with economic weakness in…
Oil saw a selloff Wednesday towards the daily consolidation floor from February to March only to turnaround on poorer US inventory numbers. Following this was a tight range Thursday on a combination of holidays and a lack of market moving data. The next key event for us in oil is not until next weeks US…
The fundamental narrative for oil remains unchange, absent an actual attack on supply lines the main concern for the market has been a question of demand. China the worlds biggest oil importer remains weighed by a sluggish recover which is fast turning into a potentially wider structural malaise even as other markets also has industrial…
Nothing is ever easy. Brent Crude saw a whipsaw in US Trading Monday though ranges were limited effectively telling us this remains an indecisive market. Geopolitics continues to take a back seat for Oil even as Hamas has accepted the Israeli ceasefire proposal. With abundant supplies in the US and global demand still weak there…
Oil prices quickly sold-off with the release of weak US jobs data reinforcing concerns over the demand side of the price equation. With the shocking build-up in stocks from the US and the Israel-Hamas conflict going into a slow gear we have little reason to see oil pickup up. As such we will look for…