Category: Crude Oil
The analysis published under this category are as follows.
Thursday, January 29, 2015
Increasing Demand For Refined Products Will Increase Crude Oil Prices / Commodities / Crude Oil
By: OilPrice_Com
Dan Steffens writes: In last week's article I posted a chart from the International Energy Agency'srecent Oil Market Report that shows global demand for refined products catching up to supply by the 3rd quarter of this year. My opinion is that all of the analysts who are now blaming the sharp drop in oil prices on a "glut" of supply could change their tune quickly as consumers adjust to lower fuel costs. Just as higher costs reduce demand for any commodity, lower costs will increase demand. This is especially true for a commodity that has a direct impact on standard of living, like oil does.
Thursday, January 29, 2015
Saudi Arabia Changes Kings, But Not its Oil Policy / Commodities / Crude Oil
By: Money_Morning
Dr. Kent Moors writes: Last Friday, I appeared on CNBC’s “Closing Bell” to discuss the new Saudi King Salman and his impact on oil prices.
The interview was set up on a flight back to Pittsburgh, and took place via satellite feed almost as soon as I landed.
Now, these hastily put together appearances can be somewhat trying if the anchors are not up to speed on the material.
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Wednesday, January 28, 2015
Crude Oil Price Bulls vs. Resistance Zone / Commodities / Crude Oil
By: Nadia_Simmons
Trading position (short-term; our opinion): No positions are justified from the risk/reward perspective.
On Tuesday, crude oil gained 1.55% after mixed U.S. data weakened the greenback. As a result, light crude climbed above $46, but the nearest resistance still keeps gains in check. Will we see higher values of the commodity in the coming days?
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Tuesday, January 27, 2015
Oil Prices Changing The Face Of Global Geopolitics / Politics / Crude Oil
By: OilPrice_Com
In a documentary that aired recently on the Canadian Broadcasting Corporation's popular The Fifth Estate program, an allegory of Vladimir Putin was presented. The wily Russian president was described growing up in a shabby St. Petersburg apartment, where he would often corner rats. Now, punished by low oil prices and Western sanctions against Russian incursions in Ukraine/ Crimea, Putin is himself the cornered rat. Many wonder, and fear, what he will do if conditions in Russia become increasingly desperate.
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Thursday, January 22, 2015
Crushing The U.S. Oil and Gas Energy Export Dream / Commodities / Crude Oil
By: OilPrice_Com
Exporting crude oil and natural gas from the United States are among the dumbest energy ideas of all time. Exporting gas is dumb.
Exporting oil is dumber.
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Thursday, January 15, 2015
What to Make of the Surge in Oil Prices / Commodities / Crude Oil
By: Money_Morning
Dr. Kent Moors writes: There are a few historical figures I greatly admire, even though I have pronounced personal problems with some of their opinions.
Winston Churchill leads the list.
On November 9, 1942, Churchill uttered these famous words at a London luncheon: “Now this is not the end. It is not even the beginning of the end. But it is, perhaps, the end of the beginning.”
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Thursday, January 15, 2015
The Oil-Fueled Economic Cycle / Commodities / Crude Oil
By: Harry_Dent
I’ve been focusing on this fracking and high-yield debt bubble precisely because it’s most likely to become the new trigger that the housing and subprime bubble was to the last global financial crisis in 2008/2009.
Bubbles just go on and on until they either get so extremely high that they burst of their own weight — as with the tech bubble — or more often when something triggers defaults that then cascade through the very debt markets that helped create the bubble.
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Wednesday, January 14, 2015
5 Ways To Play The Oil Price Plunge / Commodities / Crude Oil
By: OilPrice_Com
The collapse of the oil price has created losers and winners, and like every major movement in a commodity sector, the trick for investors is figuring out which side of the trade to be on. The most obvious victim of the slide in Brent and WTI prices over the last 6 months has been the major oil producers. Holders of these equities have seen price slides up to 33 percent. The question for oil company investors now is how to determine which of these companies are prepared to weather a sustained period of oil prices around $50 a barrel, or worse. Inevitably, those companies with high debt levels combined with high operating costs will be the first to get washed away. In contrast, low-leveraged companies with attractive cost structures are likely to survive. These companies will gain when the oil price comes back, and are the ones that investors should be eyeing right now. Read full article... Read full article...
Tuesday, January 13, 2015
The New Normal for Oil? / Commodities / Crude Oil
By: Marin_Katusa
You may have come across the word “contango” in an oil-related news report or article recently and wondered, “What’s contango?”
It isn’t the Chinese version of the tango.
Contango is a condition in a commodity market where the futures price for the commodity is higher than the current spot price. Essentially, the future price of oil is higher than what oil is worth today.
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Saturday, January 10, 2015
Crude Oil Price Forecasts / Commodities / Crude Oil
By: Investment_U
Rachel Gearhart writes: This week’s chart looks at oil prices from December 2012 through the end of 2014. It also does something quite interesting. It shows predictions out to June 2016. To create the chart, we looked at forecasts from Goldman Sachs, analysts surveyed by Bloomberg and the futures market.
As you can see in the chart, analysts and Goldman Sachs forecast a strong rebound in oil prices.
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Saturday, January 10, 2015
Crude Oil Price Ten Year Forecast to 2025: Importers Set to Receive a $600 Billion Refund / Commodities / Crude Oil
By: Andrew_Butter
This is an update on a long-term oil price forecasting model developed in early 2008 first posted in April 2009 as “The Impending Mother of All Oil Shocks” which was updated in December 2010 and posted as “Crude Oil Price Ten Year Forecast to 2020”.
http://www.marketoracle.co.uk/Article24849.html
http://www.marketoracle.co.uk/Article10260.html
Saturday, January 10, 2015
The Other Side of the “Oil Glut” / Commodities / Crude Oil
By: Money_Morning
Dr. Kent Moors writes: The pundits continue to hawk the same reasons for the fall in oil prices.
These are always “spearheaded” by comments about surging global supply led by the onslaught of unconventional (tight and shale) oil production in the U.S.
Invariably, what’s missed by these “TV sages” are the pricing dynamics kicking in that virtually guarantee an increase in oil prices as we move into 2015.
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Saturday, January 10, 2015
Euro and Oil in the Year Ahead 2015 / Commodities / Crude Oil
By: HRA_Advisory
There was enough good news in the US through December to send all the major indices in New York except NASDAQ to new all-time highs and the tech index isn’t far off. It’s all rainbows and ponies on Wall St right now which should make any sensible person a bit nervous.
As I expected oil is still in the dumps and that state of affairs should last for a while. As noted in the last issue this big a drop in oil prices is a stimulus though it’s a smaller stimulus in the US than Wall St. wants to believe. Expectations are high after the US printed 5% GDP growth in Q3. That was indeed impressive and cheaper oil should help generate good growth numbers in Q4 and Q1 2015. Things may tail off after that though.
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Friday, January 09, 2015
The Real Cause Of Low Oil Prices: Interview With Arthur Berman / Commodities / Crude Oil
By: OilPrice_Com
With all the conspiracy theories surrounding OPEC's November decision not cut production, is it really not just a case of simple economics? The U.S. shale boom has seen huge hype but the numbers speak for themselves and such overflowing optimism may have been unwarranted. When discussing harsh truths in energy, no sector is in greater need of a reality check than renewable energy. Read full article... Read full article...
Thursday, January 08, 2015
Sub $50 Crude Oil - Unbelievable Lack of Trust in the System - Video / Commodities / Crude Oil
By: David_Morgan
If the oil sector unraveled, as it is doing now, what would happen to gold and silver prices? David Morgan of Silver-Investor.com thinks, “Gold, I am pretty sure, would maintain right where it’s at, and that would be the worst case scenario, or it would go up and go up rapidly. Gold and silver may go down temporarily like we saw in 2008, but they will catch a bottom and come up. Silver in a deflationary environment has not done that well in the past. . . . Gold and silver are crisis hedges. People will say I don’t know what is happening. I’m scared. I need something I can trust. You can trust money that has been money for 5,000 years.
Thursday, January 08, 2015
Two Strategies to Profit as Crude Oil Price Drops Below $50 a Barrel / Commodities / Crude Oil
By: DailyGainsLetter
The energy sector was dismal in 2014 and it is looking like we could see more of the same for this year. If you are long on oil, you may want to read this, as oil prices could move lower and there are two strategies you can consider to profit from their drop: put options and futures.
Currently, we have the excessive supply overriding the declining demand as the global economy struggles along. China just announced its gross domestic product (GDP) growth would fall to seven percent this year; however, I think the real figure is likely already below seven percent, as there’s some fudging of the numbers. The eurozone could dwindle into another recession or see flat growth, and Russia is clearly heading for another recession in 2015, as long as President Putin continues to refuse to conform to global demands.
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Thursday, January 08, 2015
Energy Players Profit from the Oil Price "Grinch" / Commodities / Crude Oil
By: Money_Morning
Dr. Kent Moors writes: Getting started this year took a bit longer than usual.
When I returned home from the Bahamas, I had to hook up an entirely new system of computers and peripherals. To top it off, everything is in a new version of Windows.
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Wednesday, January 07, 2015
Top Five Factors Affecting Oil Prices In 2015 / Commodities / Crude Oil
By: OilPrice_Com
As we ring in the New Year, let's take stock of where we are at with the oil markets. 2014 proved to be a momentous one for the oil markets, having seen prices cut in half in just six months.
The big question is what oil prices will do in 2015. Oil prices are unsustainably low right now – many high-cost oil producers and oil-producing regions are currently operating in the red. That may work in the short-term, but over the medium and long-term, companies will be forced out of the market, precipitating a price rise. The big question is when they will rise, and by how much.
Tuesday, January 06, 2015
Next Energy Crisis As Early As 2016 / Commodities / Crude Oil
By: OilPrice_Com
Low oil prices today may be setting the world up for an oil shortage as early as 2016. Today we have just 2% more crude oil supply than demand and the price of gasoline is under $2.00/gallon in Texas. If oil supply falls too far, we could see gasoline prices doubling within 18 months. For a commodity as critical to our standard of living as oil is, it only takes a small shortage to drive up the price.
Tuesday, January 06, 2015
This Oil Thing Is The Real Deal / Commodities / Crude Oil
By: Raul_I_Meijer
Well! WTI below $50 and Brent below $53 when I start writing this. Who knows where they’ll be by the time I’m finished?! The euro down below $1.20, US stocks flirting with -2%, major European ones off -3%, Italy and Greece over -5%. Welcome to the real world, baby! Didn’t think you’d see it again so soon, did you? Welcome to the world where the Kool-Aid recovery does not reign supreme.
Not that you’re not going to hear that anymore, and 24/7 incessantly so, but there’s no recovery with these oil prices, no matter what anybody says. The damage must be gargantuan by now. Everybody’s invested in oil. Sure, lots of shorts and stuff by now, but that’s not going to do much good. Not for pensions funds, or for governments. This thing will not blow up or over softly.
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