EPG Webinar starts at 10AM CT
Posted: Sat Feb 19, 2022 10:37 am
Trading Economics:
WTI crude futures pared losses at 0.3%, trading around $91.5 a barrel on Friday, as escalating violence in Donetsk heightened concerns over supply disruptions from a possible Russia-Ukraine war, offsetting prospects of Iranian oil returning to global markets. The Donetsk People’s Republic started evacuating civilians from the region amid heavy shelling, while Russian media said a car exploded near a government building in Donetsk. Earlier, signs of advances in US-Iran nuclear talks pressured crude futures, as a potential deal could release about 1.3 million supply barrels. Oil is expected to hold in the $90 to $100 a barrel range despite the potential return of Iranian oil exports, as geopolitical uncertainties and a tight global market, driven by capacity constraints and demand recovery continue to keep energy prices elevated. For the week, WTI crude futures posted a 1.7% drop.
US natural gas futures swung between gains and losses to close 1% lower at $4.4 per million British thermal units on Friday, with the volatility being mainly driven by slight changes in weather forecasts for early March. The two-week weather outlook points to colder-than-usual temperatures but reports painted a mixed picture for the first days of March, with some forecasts seeing slightly milder weather. Also, investors continued to reassess the latest EIA inventory data, which came 3 billion cubic feet short (bcf) of market expectations at 190 bcf. The shortfall between current storage levels and the five-year average widened to 11.6%. On a weekly basis, the contract jumped 12.7%, rebounding from a 13.8% fall last week.
I am going to cover the oil and gas markets quickly and then I will take questions about any of the Sweet 16 or other model portfolio companies.
WTI crude futures pared losses at 0.3%, trading around $91.5 a barrel on Friday, as escalating violence in Donetsk heightened concerns over supply disruptions from a possible Russia-Ukraine war, offsetting prospects of Iranian oil returning to global markets. The Donetsk People’s Republic started evacuating civilians from the region amid heavy shelling, while Russian media said a car exploded near a government building in Donetsk. Earlier, signs of advances in US-Iran nuclear talks pressured crude futures, as a potential deal could release about 1.3 million supply barrels. Oil is expected to hold in the $90 to $100 a barrel range despite the potential return of Iranian oil exports, as geopolitical uncertainties and a tight global market, driven by capacity constraints and demand recovery continue to keep energy prices elevated. For the week, WTI crude futures posted a 1.7% drop.
US natural gas futures swung between gains and losses to close 1% lower at $4.4 per million British thermal units on Friday, with the volatility being mainly driven by slight changes in weather forecasts for early March. The two-week weather outlook points to colder-than-usual temperatures but reports painted a mixed picture for the first days of March, with some forecasts seeing slightly milder weather. Also, investors continued to reassess the latest EIA inventory data, which came 3 billion cubic feet short (bcf) of market expectations at 190 bcf. The shortfall between current storage levels and the five-year average widened to 11.6%. On a weekly basis, the contract jumped 12.7%, rebounding from a 13.8% fall last week.
I am going to cover the oil and gas markets quickly and then I will take questions about any of the Sweet 16 or other model portfolio companies.