Tag Archives: energy prices

Crude Oil Prices and Global Economic Recovery

https://encrypted-tbn0.google.com/images?q=tbn:ANd9GcQcF6SzmY7PCteGfkkuZHtcvaHEZ1uryeqRr7fG_UE8cfm6PJYBMonday, 02 April 2012:  China reported positive news on their industrial production over the past weekend, which should give some positive support for global markets and commodities. The current Crude oil price of $105 is about $30 more than its 5 year futures, which indicates that crude oil prices can come down if favorable political events take place to reduce middle-east geo-political tensions, but the chances of such positive events is slim, so we will have to work with constant upward movement in crude oil prices till some event creates genuine risk to crude oil prices.

As of now, a significant amount of risk capital has moved into crude oil, because global economic growth scenario looks more likely than global recession. Meanwhile, Natural Gas prices have been hitting 8 year lows, and huge price variations from $2 per mmbtu in USA to $8 per mmbtu in India/Asia because it is not mobile like crude oil. Continue reading Crude Oil Prices and Global Economic Recovery

Oil & Gas Market Updates – 29June2011

  • Crude oil rebounded on Tuesday to post the biggest one-day percentage gain in almost six weeks on optimism that Greece would move to resolve its debt crisis and a weaker dollar. This rebound was also expected from a technical perspective, since crude oil was oversold and had to rebound. The real price trend of crude will be visible after a week.
  • U.S. crude oil stocks showed a larger-than expected drop last week, while gasoline stocks unexpectedly fell, according to data released Tuesday by the American Petroleum Institute.
  • European demand can not absorb the 15 million barrels of fuels that the West’s energy watchdog aims to release over the next month and whatever supplies are sold will deepen the refining industry’s crisis.
  • Yemen is considering using force to secure and repair its main oil pipeline, blown up in an attack by angry tribesmen in mid- March, a senior Yemeni official told Reuters on Tuesday.
  • Russia will call on Japan to jointly develop oil and natural gas resources near an island chain north of Japan, the Nikkei business daily said, in an area claimed by both which has overshadowed relations for more than six decades.