Energy Market Updates

The period between Christmas and New Years is historically a calm one in the fuel markets. Traders tend to balance out positions, end user demand dips with time of and...

It is very rare to see the markets drop going in to a long weekend. Wednesdays dip capped off a six day free fall for diesel pricing that saw roughly $.25 get erased,...

Once again we ended last week with a nice correction only to give it all back so far this week.  Again finding ourselves smack dab in the middle of the summer range.  Forward looking sentiment appears to have fully accepted we might be in for a bear run soon.  A start to an Israeli-Hamas peace deal looks to be on the horizon.  A mixed bag of Inventory data this week that is likely to be corrected due to the shutdown-Distillate demand strangely jumped almost 8% over last year.

Diesel futures remain on the high side of the summer seasonal range, taking back all of last weeks losses.  Fundamentally, even as demand saw a little bit of a boost this past week, if you strip out exports (implied demand),  we are still well below last years figures.  Gasoline, while slightly more stable, is still soft on a national level.  The inelasticity of gasoline (people need gas to commute daily) tends to be overlooked more than Diesel as it has a direct relationship to the health of the overall economy.  If folks aren’t buying diesel, trucks aren’t running.   

Diesel futures continue to be stuck in this $.20 range since mid-summer, with it’s cousin Gasoline in the same funk. Economic policy and factors appear to be the driving...

Reading or watching the news the last few days, not only wants me to go live in a cave but has me wondering why markets have remained relatively calm. We didn’t start...

Diesel markets jumped Tuesday after the long weekend on news of US warships positioning themselves off the coast of Venezuela. The official stance is that they are...

Tuesdays price drop in diesel slid us back into the middle of the range we have been in this month. I expect a fair amount of back and forth to continue as markets weigh...

We appear to be on a four session rebound, after the past weeks meetings with both combatants and European leaders. The narrative that is coming across is that the US...

As predicted, higher tariff rates on China were pushed off until November 10^th cooling off Oil prices thus far this week. Little more bolder prediction…. PATS go 12-5...