8-28-20 RCC Energy Market Update

After an up-and-down week for RBOB, the front end of the curve is ending the week with solid gains, though on relatively light trading volumes. September RBOB reached a high this afternoon and ended the day closing +0.0310/cpg. The ULSD contract was also moving higher but with more modest gains compared to the RBOB contract, as September finished the week +0.0055/cpg. WTI hovered much of the day unchanged. October WTI closed -0.07/cpg. Most of the movement in today’s trading was tied to some position squaring ahead of the weekend and Monday’s product expiration. There was also little motivation to take aggressive positions as refineries look to restart and/or assess damage from Hurricane Laura.