An unexpectedly intense chill has given natural gas bulls a chance to survive this week and possibly next with their long positions, as heating demand for the fuel rises in what’s been one of the mildest winters in years. A sudden temperature drop in recent days — and the possibility […]
Flawed Demand Forecasts Drive Oil Prices Yet Virus’ Economic Affect Unknown
No one knows how coronavirus will end up influencing the Chinese economy or oil demand. One cause of this uncertainty: Sino society isn’t open, and official information is largely controlled by the government, which has been known to manipulate the economic data it provides for political purposes. Our ignorance also […]
The Corn And Ethanol Report: February 13, 2020
Good Morning! We kickoff the day with Consumer Price Index (CPI), Export Sales, Jobless Claims and Real Earnings at 7:30 A.M., EIA Gas Storage at 9:30 A.M., 4 & 8-Week Bill Auction at 12:00 P.M. and Fed Williams Speech at 4:30 P.M. Chinese health officials saw the number of coronavirus […]
Energy Report: Oil Demand To Be Hit Hard By Coronavirus
Numbers Game Markets are back on the defensive after a risk-on day. The main reason is the numbers game. The number of reported cases of the novel coronavirus (Covid-19) said from China, that is. China, because of a new way of counting, increased the number of infections ten-fold or more […]
Flawed Demand Forecasts Drive Oil Prices Yet Virus’ Economic Affect Unknown
No one knows how coronavirus will end up influencing the Chinese economy or oil demand. One cause of this uncertainty: Sino society isn’t open, and official information is largely controlled by the government, which has been known to manipulate the economic data it provides for political purposes. Our ignorance also […]
Natural Gas Bulls May Escape Mauling From Bears As Weather Turns
An unexpectedly intense chill has given natural gas bulls a chance to survive this week and possibly next with their long positions, as heating demand for the fuel rises in what’s been one of the mildest winters in years. A sudden temperature drop in recent days — and the possibility […]
This Is What A Run On The Bank For Precious Metals Looks Like
The explosive price action seen in palladium recently is indicative of a physical shortage. Put simply, available inventories are failing to keep up with demand (largely from the automotive industry). According to Refnitiv GFMS, the palladium market will be under-supplied by 883,000 ounces this year. Stresses on the physical market […]
The Corn And Ethanol Report: February 12, 2020
Good Morning! MBA Mortgage Applications came in at 1.1% vs. the previous 5%, MBA 30-Year Mortgage Rate came in at 3.72% vs. the previous 3.71% at 6:00 A.M., We have the Fed Harker Speech at 7:30 A.M., Fed Chair Jerome Powell testimony to the Senate at 9:00 A.M., EIA Energy […]
The Phil Flynn Energy Report: February 12, 2020
Oil funds started to pile on to the short side of crude after more than a 20% drop as they all of a sudden realized that we saw oil demand destruction of historic nature. Today Goldman Sachs (NYSE:GS) downgraded China’s GDP growth forecast to 5.2% from 5.8%. Yet with the […]
Sweet Dreams Are Made of This: Sugar On A Six-Month Rally
It’s the stuff that dreams are made of — and with commodities, few have dared to dream lately. Yet for investors who believed in raw sugar, the reality is a market that’s beaten returns in almost every other raw material over the past six months. New York-traded raw sugar has […]