Coquest Daily Energy Report
Crude Oil Futures for June 2023 settled down $1.69 @ $70.87/bbl. trading in a $2.87 range including the overnight-RBOB settled down 3.72/cpg and Heating Oil settled down 4.39/cpg. The American Petroleum Institute’s weekly Crude Oil storage report released late Tuesday afternoon showed that domestic crude supplies increased by +3.6 million barrels for the week ended May 5th, 2023. The weekly API data also showed a storage increase of +400 k/bbl. for Gasoline and a draw of -3.9 mil/bbl. for Distillates. The Energy Information Administration’s weekly petroleum storage report released early Wednesday morning showed that domestic crude supplies decreased by -3.0 million barrels for the week ended May 5th, 2023. The weekly EIA data also showed a storage decrease of -3.2 mil/bbl. for Gasoline and a draw of -4.2 mil/bbl. for Distillates. Total commercial petroleum inventories decreased by -500,000 barrels for the week. SPR inventory declined by -2.9 million barrels for the week to 362 mil/bbls.
Natural Gas Futures for June 2023 settled down $0.001 @ $2.190/mmbtu trading in a 0.095 cent range including the overnight session. Natural gas prices in Europe and the United States have tumbled to levels last seen before Russia started a global energy crisis by invading Ukraine. Wholesale European gas prices, as measured by the benchmark Dutch futures contract, have dropped almost -48.0% since mid-December to trade at €71 ($74) per megawatt hour on Friday-roughly where they stood on February 15 last year, a little over a week before Moscow’s unprovoked assault. Prices are now nearly -80.0% below their all-time August high of €346 ($364) per megawatt hour. In the United States, the cost of wholesale gas flowing through the Henry Hub pipeline has dropped -50.0% per million British thermal units since late November, back to around levels last seen in December 2021.
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Disclosure: The risk of loss in trading futures and/or options is substantial. Past performance is not indicative of future results. The information in this message derived from third-party sources is believed to be accurate and reliable; Coquest does not guarantee the accuracy or completeness of the information. Opinions expressed in this material are subject to change without notice. This report should not be interpreted as a request to engage in any transaction of futures, options, and/or OTC derivatives. The information contained in this material is not to be relied upon in substitution for the exercise of your independent judgment. Seek independent financial, tax, legal, and accounting advice from your own professional advisers, based upon your particular circumstances.
