Oil Archive
Early Holiday Cheer…
As discussed last week, the latest euro package just announced is unravelling quickly as markets again realize there is no actual substance, and no operational path with regards to carrying any of it out. So things will deteriorate as described until markets again force further ‘action.’ At the same time, the austerity
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Crude Oil Update
Still seems to me that the idea that WTI appreciates to Brent as the Strategic Petroleum Reserve release winds down over the next few weeks is playing out as previously discussed. The WTI discount depends on a serious glut condition persisting, and the wind down of the approx 3.8 million barrels a
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Saudis to pump 10 million bpd
China, Commodities, Oil
Jun 10, 2011
The Saudis don’t sell in the spot markets, they only post prices to refiners and then take orders at those prices. That is, they post price and let quantity vary. So the only way they could definitively get to 10 million bpd would be to change policy and sell in the spot
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OPEC indecision of no consequence
Commodities
Jun 08, 2011
It doesn’t matter what OPEC decides with regard to increases. The only ones with excess capacity, for all practical purposes, are Saudis. The others have always pumped all they could and let the Saudis be the swing producer. Historically, the hard part has been to get anyone other than the Saudis to
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in case there is any doubt about how the price of oil is set
China, Commodities, Inflation, Oil, Russia
May 04, 2010
OPEC (and mainly the Saudis) is the only entity with excess capacity, so it is necessarily price setter. Specifically, they post prices to their refiners and who order all they want at that price. They don’t sell in the spot markets. See highlighted text below. ‘Balancing supply and demand’ is price setting.
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Q3 Update
Commodities
Oct 01, 2009
[Skip to the end] With quarter end now behind us, I am watching for signs of: The gold bubble bursting Equity sell off after quarter end window dressing Crude leveling off after quarter end window dressing Dollar strength with lingering Eurozone problems and global concern about losing US market share Post clunker
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Contango shrinks- Shell sells by the sea shore
Uncategorized
Jan 27, 2009
[Skip to the end] OPEC cuts starting to bite. Saudis back in control of price as excess inventory dissipates. Shell Sells Oil Cargoes, Phibro Tanker Leaves Orkney by Alexander Kwiatowski Jan 27 (Bloomberg) — Royal Dutch Shell Plc sold a cargo of crude stored off the U.K. and a vessel hired by
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Re: Mike Masters on oil on CBS
[Skip to the end] Watch CBS Videos Online (email exchange) > > On Mon, Jan 12, 2009 at 11:49 AM, Russell > wrote: > > Very compelling argument. Still believe it is the > Saudis controlling price? > Has to be, within a range of net demand. Notice their ‘production increase’ right before the big sell
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Re: US DOE Text: To Resume Filling SPR ‘To Capacity
Oil
Jan 05, 2009
[Skip to the end] (email exchange) Right, just as prices are moving up anyway? Gasoline demand is barely down now, and seems to have gone up over the last month or so? Funds are buying/rebalancing to keep their allocation at a given % as crude underperformed last year? OPEC cuts are real
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Crude Graph
Oil
Jan 02, 2009
[Skip to the end] Crude Open Interest (Released Dec 31 EST) Crude Open Interest (n/a) Inventory liquidation over? Happy New Year! [top]
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