Opening Prices:
> WTI is up 99c to $34.24/Bbl, and Brent is up 78c to $36.31/Bbl.
> Natural gas is up 5.9c to $1.790/MMBtu. < The June NYMEX contract.
Closing Prices:
> WTI prompt month (JUL 20) was up $1.10 on the day, to settle at $34.35/Bbl.
> NG prompt month (JUN 20) was up $0.062 on the day, to settle at $1.793/MMBtu.
Later this week the July NYMEX contract for natural gas will become the "front month". This morning it is trading for $1.93 and I'm expecting it to move over $2.00 as natural gas demand rises with the arrival of summer heat.
This is why the oil price is going up:
https://townhall.com/tipsheet/mattvespa ... a-n2569409
Oil & Gas Prices - May 26
Oil & Gas Prices - May 26
Last edited by dan_s on Tue May 26, 2020 3:03 pm, edited 1 time in total.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Oil & Gas Prices - May 26
Keep an eye on what is happening in China
On May 21 Reuters reported that China's crude oil imports are expected to increase by around 2% in 2020 amid lower prices while apparent crude oil consumption is seen rising by 1% to 2%, according to a think tank affiliated to China National Petroleum Corp.
On May 22 Reuters reported China said on Friday it will bolster the capacity of the country's energy reserves and offer lower gas and electricity charges to key industries, as it looks to ensure energy supply and offset the impact of the coronavirus pandemic. In energy announcements on the first day of the parliament, known as the National People's Congress (NPC), authorities also pledged to boost the country's oil and gas network and continue to support exploration for unconventional gas reserves. The National Development and Reform Commission (NDRC) said in a statement it would push forward construction of crude oil reserves.
On May 22 Reuters reported China's commodities markets fell after it said it would drop its annual growth target and impose national security laws in Hong Kong at this year's meeting of parliament. Most metals, agriculture and energy contracts on the Shanghai Futures Exchange, Dalian Commodity Exchange and Zhengzhou Commodity Exchange closed lower on Friday. A Shenzhen-based metals trader said while China's decision to drop its annual growth target added to the market's bearish tone, commodity prices had already begun to fall after China said it would propose national security legislation for Hong Kong at its annual parliament meeting. "The market is more worried that such a move by China will aggravate tensions between China and the U.S. and other countries, and it will lead to greater economic uncertainty."
On May 21 Reuters reported that China's crude oil imports are expected to increase by around 2% in 2020 amid lower prices while apparent crude oil consumption is seen rising by 1% to 2%, according to a think tank affiliated to China National Petroleum Corp.
On May 22 Reuters reported China said on Friday it will bolster the capacity of the country's energy reserves and offer lower gas and electricity charges to key industries, as it looks to ensure energy supply and offset the impact of the coronavirus pandemic. In energy announcements on the first day of the parliament, known as the National People's Congress (NPC), authorities also pledged to boost the country's oil and gas network and continue to support exploration for unconventional gas reserves. The National Development and Reform Commission (NDRC) said in a statement it would push forward construction of crude oil reserves.
On May 22 Reuters reported China's commodities markets fell after it said it would drop its annual growth target and impose national security laws in Hong Kong at this year's meeting of parliament. Most metals, agriculture and energy contracts on the Shanghai Futures Exchange, Dalian Commodity Exchange and Zhengzhou Commodity Exchange closed lower on Friday. A Shenzhen-based metals trader said while China's decision to drop its annual growth target added to the market's bearish tone, commodity prices had already begun to fall after China said it would propose national security legislation for Hong Kong at its annual parliament meeting. "The market is more worried that such a move by China will aggravate tensions between China and the U.S. and other countries, and it will lead to greater economic uncertainty."
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Oil & Gas Prices - May 26
Oil demand in Japan going up.
On May 25 Japan has completely lifted its nationwide state of emergency.
The country's prime minister, Shinzo Abe, announced Monday that officials have loosened the coronavirus restrictions in the last five of the country's 47 prefectures: Tokyo and its surrounding regions, as well as the northern island of Hokkaido.
"We've set some of the most strict criteria in the world to lift the declaration," Abe told a news conference, according to Japanese broadcaster NHK, "and we concluded that prefectures across the country have met that standard."
Japan implemented its state of emergency in Tokyo and nearby prefectures in mid-April and expanded the order less than two weeks later to include the entire country. Last month's announcements came amid a surge of new coronavirus cases in the country, which at one point topped 1,000 confirmed cases in a day — but those numbers have begun to taper in recent weeks, and government officials have been lifting the weeks-long state of emergency piecemeal.
Now, new cases number in the dozens, at most.
"Recently, new infection cases have fallen below 50 for the entire nation," Abe said, "and what was once nearly 10,000 hospitalized cases — that has now fallen below 2,000."
On May 25 Japan has completely lifted its nationwide state of emergency.
The country's prime minister, Shinzo Abe, announced Monday that officials have loosened the coronavirus restrictions in the last five of the country's 47 prefectures: Tokyo and its surrounding regions, as well as the northern island of Hokkaido.
"We've set some of the most strict criteria in the world to lift the declaration," Abe told a news conference, according to Japanese broadcaster NHK, "and we concluded that prefectures across the country have met that standard."
Japan implemented its state of emergency in Tokyo and nearby prefectures in mid-April and expanded the order less than two weeks later to include the entire country. Last month's announcements came amid a surge of new coronavirus cases in the country, which at one point topped 1,000 confirmed cases in a day — but those numbers have begun to taper in recent weeks, and government officials have been lifting the weeks-long state of emergency piecemeal.
Now, new cases number in the dozens, at most.
"Recently, new infection cases have fallen below 50 for the entire nation," Abe said, "and what was once nearly 10,000 hospitalized cases — that has now fallen below 2,000."
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group