RCC Energy update Monday 07/16/2018
NYMEX @ the close.
- August WTI Crude down $2.95 @ $68.05
- RBOB down 10.45 cents.
- HO down 7.91 cents.
- Gasoline down 9 cents today.
- Diesel down 7 cents today.
- LP finished down 3 cents at the Conway, Kansas hub today.
After two days of up markets to end last weeks trade, the bears got back in the market pretty hard today on 3 pieces of information:
Sanctions against Iran – the U.S. Secretary of the treasury announced today that waivers will be granted to some countries to allow them to continue purchasing Iranian crude after the November 4th deadline for US sanctions to start, backing off Fridays suggestion of no exemptions.
US strategic petroleum reserve will more than likely opened up, putting more crude oil into the world market.
Word is coming out of the meetings in Helsinki that Russia, the leader of the non-OPEC oil producers, will increase crude production enough that it will most likely cover the Iranian sanctions, the civil war problems in Lybia and the economic collapse of Venezuela.
How long until the next crisis? Who knows!