NYMEX dips ahead of Presidential Speech, DOE's Mixed
Although the market finished down, it was not until very late in the session that we felt somewhat comfortable that it was a certainty. Early morning jobs data reported yet another increase in unemployment claims, up 2k to 414k, Commodities fought their way back into positive ground as investors rushed for a safe haven. The new information will be a key tenet for tonights Presidential address on the state of the economy, which could shift the markets in either direction. The White House is expected to announce yet another round of stimulus spending, roughly $300 billion, on infrastructure and tax cuts. Additionally, reports of the European Central Bank reporting what they perceive as "significant downside risk" to the European Economy. With the mixed DOE report of Crude losing 4mbl and Gas and Distillates adding 198k and 708k respectively, while surprising , kept any major losses in check. I would expect next weeks numbers to have the full impact of the past weeks weather, specifically in the Northeast. It has become increasingly more difficult to determine how news will be perceived in the eyes of market participants, what was once a bullish news day has now turned to a cautiously bearish one. At the close, Crude slipped .29 to $89.05, RBOB lost .0228 to $2.8852 and HEAT lost .0313 to $3.0443.