Inflation Reduction Act Helps Keep Downward Trend Intact
The past two weeks has seen ULSD rise, and subsequently fall almost $.20 on the front month. Much of the dip in the last few days came as market players were able to digest some of the details in the 785 page Inflation Reduction Act which appears to moving its way through. One piece which many believe will have the most impact on futures is that the bill revives lease sales canceled or delayed by President Biden including: one in Alaska’s Cook Inlet and three in the Gulf of Mexico. This section also appears to require the Biden Administration to adopt Trump era directives for 2022 oil and gas leasing established.