Author: David Cohen

Given India’s position as a major crude oil importer in the world, new restrictions would be very bad for the energy complex

Oil prices traded down slightly but closed up for the week as financial markets hit new records and we had some positive economic data from the US. US retail sales surged in March, up 9.8%, much better than expected.

Oil prices rallied today, buoyed by a strong crude inventory draw which is boosting optimism about rising demand.

“We’ve been trading in a range, and need clear demand data and direction on U.S. inventories to break out of this trough,”

Geopolitical tensions are rising as Yemeni rebels attacked Saudi refineries and an attack occurred at an Iranian nuclear facility

Oil prices edged lower today as both contracts were set to close down for the week. Oil seems to be in a wait and see mode as the market balances inventories, rising OPEC production, the global vaccine rollout, and other geopolitical issues

Oil prices were mostly flat today on the back of a large crude inventory drawdown but a big build in gasoline inventories.

“We’ve gotten to a point of somewhat equilibrium,” and the market “is in an in-between spot,” said Bill O’Grady, executive vice president at Confluence Investment Management in St. Louis. “To maintain gains, we’re going to have to see the economy pick up and energy demand continue to rise.

“The timing was not good,” said Bob Yawger, director of energy futures at Mizuho Securities. “It seemed like OPEC+ was going to roll the deal, but they didn’t and now it looks like they’re going to have to pay at least in the short term.”