Oil & Gas Prices - April 27
Posted: Mon Apr 27, 2020 9:22 am
Opening Prices (June NYMEX contracts):
> WTI is down $4.15 to $12.79/Bbl, and Brent is down $1.43 to $20.01/Bbl.
> Natural gas is down 13.8c to $1.608/MMBtu.
Market Watch:
U.S. oil futures on Monday were collapsing anew to start a potentially punishing stretch, putting the commodity on track to mark its second-lowest settlement in history, based on the most-active contract (June), as reignited concerns about a scarcity of places to put an overflow of crude weighed on the beleaguered asset.
“The market knows that the storage problem remains and we are on a calculated path to reach tank tops in weeks,” wrote Bjornar Tonhaugen, head of oil markets at Rystad Energy in a daily research note. Prices can only decline when producers have nowhere to store oil in the near term, he wrote.
June West Texas Intermediate crude CLM20, -27.74%, the U.S. benchmark, lost $4.70, or 28%, to trade at $12.24 a barrel, which would mark the second-lowest contract settlement in history.
That decline would follow a 32.3% decline for the week—oil’s biggest such decline on record based on most-active contracts—for the commodity and a landmark plunge in the now-defunct May contract, which last Monday ended in negative territory for the first time in the history of the energy complex.
June Brent crude BRNM20, -8.49%, the international benchmark, headed $1.55, or 6.3%, at $23.26 a barrel, following its 23.7% weekly drop.
> WTI is down $4.15 to $12.79/Bbl, and Brent is down $1.43 to $20.01/Bbl.
> Natural gas is down 13.8c to $1.608/MMBtu.
Market Watch:
U.S. oil futures on Monday were collapsing anew to start a potentially punishing stretch, putting the commodity on track to mark its second-lowest settlement in history, based on the most-active contract (June), as reignited concerns about a scarcity of places to put an overflow of crude weighed on the beleaguered asset.
“The market knows that the storage problem remains and we are on a calculated path to reach tank tops in weeks,” wrote Bjornar Tonhaugen, head of oil markets at Rystad Energy in a daily research note. Prices can only decline when producers have nowhere to store oil in the near term, he wrote.
June West Texas Intermediate crude CLM20, -27.74%, the U.S. benchmark, lost $4.70, or 28%, to trade at $12.24 a barrel, which would mark the second-lowest contract settlement in history.
That decline would follow a 32.3% decline for the week—oil’s biggest such decline on record based on most-active contracts—for the commodity and a landmark plunge in the now-defunct May contract, which last Monday ended in negative territory for the first time in the history of the energy complex.
June Brent crude BRNM20, -8.49%, the international benchmark, headed $1.55, or 6.3%, at $23.26 a barrel, following its 23.7% weekly drop.