Coquest Daily Energy Report

Crude Oil Futures for May 2022 settled up $1.60 @ $103.79/bbl. trading in a $3.41 range including the overnight-RBOB settled up 5.38/cpg and Heating Oil settled down 7.23/cpg. Seaborne flows of Russian crude oil declined by a quarter in the seven days to April 15th. Volumes heading to Asia from ports on the Black Sea, Baltic and Arctic coasts plunged to their lowest levels in two months. A total of 30 tankers loaded approximately 21.8 million barrels from Russian export terminals, according to vessel-tracking data and port agent reports. That put average seaborne crude flows at 3.12 million barrels a day, down by a staggering -25% against the week ended April 8th. At current rates of crude oil export duty, the week’s shipments will have earned the Kremlin about $181 million or $60 million less than the previous week.

Natural Gas Futures for May 2022 settled up $.020 @ $6.957/mmbtu trading in a 0.443 cent range including the overnight session. After the seemingly meteoric rise over the past month and a half, a pullback for NYMEX traded Natural Gas futures was highly expected. However, after losing .640 cents on Tuesday and another .240 cents on Wednesday, analysts and traders questioned whether gas has hit its peak or if the two-day slide is a temporary rest stop on the road to significantly higher. According to market advisors the risk remains skewed toward higher prices later this year. An ultimate move back above $8.000/mmbtu. is still very much in play, “our best guess remains that” the recent selloff was “a much needed breather in a much larger picture”.


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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.