Daily Energy Report
Crude Oil Futures for December 2020 settled up $0.85 @ $37.66/bbl trading in a $1.75 range including the overnight-RBOB settled up 2.49/cpg and Heating Oil settled up 1.48/cpg. According to market advisors, growing concerns among oil traders include infection rates rising at record levels coupled with new restrictions now put in place in the United Kingdom, France and Germany and OPEC production cuts ending. Such bearish bias is likely to continue during November, particularly as the energy supply/demand picture will suffer amid new supply coming from Libya coupled with reports that Iran oil could find its way back into an already saturated oil market if democrats take the White House today. Many energy analysts have also anticipated that the second wave of COVID-19 cases prevailing in emerging markets will further push back the oil demand recovery.
Natural Gas Futures for December 2020 settled down $0.185 @ $3.059/mmbtu trading in a .200 cent range including the overnight session. Russian Energy Minister Alexander Novak said on Tuesday it was important for Russia and members of OPEC to strengthen cooperation in the natural gas industry. Cooperation between the OPEC and another energy group, the Gas Exporting Countries Forum could be enhanced, Novak told an online conference of Russian and OPEC officials. Novak also told the OPEC-Russia Energy Dialogue, hosted by the OPEC Secretariat, that a recovery of the global economy and oil market had been “difficult” in the face of uncertainties, including lockdowns in relation to the pandemic.Back