Team Biden says they will refill the SPR
Posted: Mon Mar 18, 2024 12:39 pm
Reuters:
U.S. Energy Secretary Jennifer Granholm told CERAWeek oil stocks in the Strategic Petroleum Reserve (SPR) at year-end will be at or exceeding the level that would have existed prior to massive sales two years ago. Stocks will reach those levels in part on the cancellation of congressional-mandated sales of about 140 million barrels, the secretary added. The reserve currently holds about 362 million barrels, down from 638 million three years ago.
I will believe this when I see it. If true, this will put upward pressure on oil prices. So, it will raise gasoline prices heading into an elections. Seems "out of character" for Team Biden.
Trading Economics:
"WTI crude futures rose above $82 per barrel on Monday, extending gains from last week as heightened geopolitical risks continued to spark supply concerns. Ukraine stepped up drone strikes on Russian oil refineries over the last week, idling around 7% of Russian refining capacity in the first quarter, according to a Reuters analysis. Israeli Prime Minister Benjamin Netanyahu also said he will proceed with plans to push into Gaza’s Rafah enclave, making chances for a peace agreement more difficult. Meanwhile, investors will watch monetary policy decisions from major central banks this week for clues on the timing of interest rate cuts. Last week, oil prices advanced nearly 4% as the International Energy Agency issued a bullish demand outlook and predicted a slight deficit for this year."
Clearly we have a significant "Paradigm Shift" among the Wall Street Gang's view of the global oil market.
U.S. Energy Secretary Jennifer Granholm told CERAWeek oil stocks in the Strategic Petroleum Reserve (SPR) at year-end will be at or exceeding the level that would have existed prior to massive sales two years ago. Stocks will reach those levels in part on the cancellation of congressional-mandated sales of about 140 million barrels, the secretary added. The reserve currently holds about 362 million barrels, down from 638 million three years ago.
I will believe this when I see it. If true, this will put upward pressure on oil prices. So, it will raise gasoline prices heading into an elections. Seems "out of character" for Team Biden.
Trading Economics:
"WTI crude futures rose above $82 per barrel on Monday, extending gains from last week as heightened geopolitical risks continued to spark supply concerns. Ukraine stepped up drone strikes on Russian oil refineries over the last week, idling around 7% of Russian refining capacity in the first quarter, according to a Reuters analysis. Israeli Prime Minister Benjamin Netanyahu also said he will proceed with plans to push into Gaza’s Rafah enclave, making chances for a peace agreement more difficult. Meanwhile, investors will watch monetary policy decisions from major central banks this week for clues on the timing of interest rate cuts. Last week, oil prices advanced nearly 4% as the International Energy Agency issued a bullish demand outlook and predicted a slight deficit for this year."
Clearly we have a significant "Paradigm Shift" among the Wall Street Gang's view of the global oil market.