Prices for February 22nd, 2010
| HEATING OIL cents per gallon | | MONTH | HIGH | LOW | SETTLE | CHANGE | | MAR | 209.13 | 206.89 | 207.88 | up 00.89 | | APR | 210.00 | 207.66 | 208.82 | up 00.88 | | MAY | 210.69 | 208.45 | 209.70 | up 00.98 | | JUN | 211.77 | 209.50 | 210.90 | up 01.08 | | JUL | 213.08 | 211.50 | 212.71 | up 01.08 | | AUG | 214.94 | 213.17 | 214.55 | up 01.04 | | SEP | 216.96 | 215.56 | 216.50 | up 01.09 | | OCT | 218.88 | 218.29 | 218.73 | up 01.09 | | NOV | 220.65 | 220.25 | 220.91 | up 01.11 | | DEC | 224.00 | 222.05 | 223.10 | up 01.13 | | JAN | 225.50 | 225.05 | 225.29 | up 01.13 | | FEB | 226.05 | 226.05 | 226.48 | up 01.12 | | Estimated Volume (day before) total all prev day 87,309 | | NYMEX CRUDE OIL dollars per barrel | | MONTH | HIGH | LOW | SETTLE | CHANGE | | MAR | 80.51 | 79.45 | 80.16 | up 00.35 | | APR | 80.78 | 79.65 | 80.31 | up 00.25 | | MAY | 81.15 | 80.06 | 80.72 | up 00.27 | | JUN | 81.51 | 80.49 | 81.13 | up 00.28 | | JUL | 81.86 | 80.99 | 81.52 | up 00.30 | | AUG | 82.17 | 81.31 | 81.85 | up 00.32 | | | | | | | | | Estimated Volume… 731,090 Opec Basket…$75.17 up $0.68
Prompt #2 Oil NYH 88..-1.50 to -1.25, 74 Lo S…+1.00 to +1.25
US Gulf 88 grade…-4.25 to -4.00, 74 grade Lo S…+0.25 to +0.75 Group .........-0.75 to -0.25 Lo S.....-0.75 to -0.25
Chicago ......-1.00 to -0.00 cash quotes by Dow Jones | | | |
| NYMEX RBOB GASOLINE cents per gallon | | MONTH | HIGH | LOW | SETTLE | CHANGE | | MAR | 212.75 | 209.00 | 211.58 | up 03.01 | | APR | 223.40 | 220.07 | 222.30 | up 02.26 | | MAY | 223.19 | 220.08 | 222.65 | up 01.96 | | JUN | 222.84 | 220.55 | 222.34 | up 01.67 | | JUL | 221.68 | 220.06 | 221.48 | up 01.43 | | AUG | 220.70 | 219.08 | 220.33 | up 01.24 | | SEP | 219.41 | 218.24 | 219.03 | up 01.09 | | OCT | 208.92 | 207.54 | 208.54 | up 01.02 | | Estimated RB Volume day before 111,071 | | NYMEX NATURAL GAS dollars per mmBtu | | MONTH | HIGH | LOW | SETTLE | CHANGE | | MAR | 4.977 | 4.841 | 4.895 | dn 0.149 | | APR | 5.000 | 4.860 | 4.913 | dn 0.144 | | MAY | 5.066 | 4.924 | 4.977 | dn 0.144 | | JUN | 5.129 | 5.000 | 5.052 | dn 0.138 | | | Estimated Volume…day before (262,744)
Nymex statistics are based on composite Access & Day Sessions
Prompt Gasoline NYH M5 -1.00 /-0.50 RBOB +2.50 /+3.00
US Gulf M4: -13.00 to -12.75 RBOB -9.00 to -8.75
L.A. Conv Reg 223.00-224.00, N-grade Group 208.60-208.85 Chi 204.10-206.10 | |
Market Review for Monday
IL prices were higher again yesterday, making it five in a row and nine out of the last 10 days higher. Crude oil prices kept a fairly tight range and settled at its highest level since January 12th. Traders were talking about a strike at France’s Total refineries. There are six throughout the country and workers from other refineries are considering joining the work stoppage. The problem started with the company’s (Total’s) decision to close its refinery at Dunkirk. The great fear is that global gasoline supplies will tighten up as a result. This is typical; every year at this time, it’s something one never would have expected. A big French refinery strike certainly wasn’t on our radar before last week.
The March crude oil contract expired yesterday, and traders seem to have eyes only for the bullish news. That’s part of the seasonal pressure we see at this time of year. Equities were lower yesterday, with the DJIA down 18.97 points. The US dollar was lower against most currencies, but rallied later in the day against the euro.
| Fuel for Thought Chinese authorities plan to introduce up to 20 million green and silver carp into Taihu Lake, which has been heavily polluted by untreated sewage and industrial and agricultural waste. The carp can eat 50 kilograms of a blue-green algae that has bloomed because of the pollution, while only gaining one kilogram of weight, itself, over its lifetime. These fish have been used successfully in the past to reduce this special kind of pollution, which has increased dramatically as the nation has grown in recent years. The cleanup effort is also being hailed as a positive for the local fishing industry, which will harvest the fish after they have cleaned the lake. Environmentalists do worry, though, about eating fish fed on potentially toxic waste. |
Total’s output represents half of the nation’s refineries. Dow Jones reported yesterday that there are at least seven days of supply in storage, possibly as many as 10. If half the refineries are still running, without getting into specific figures, the country would need to use roughly half a day’s supply from storage each day that the strike continues, as long as additional plants are not brought into the strike. The union picked a good time to strike, though.
Economic analysts are mostly upbeat about this week’s scheduled statistics, although the positive expectations are not unanimous. Recent figures have been more supportive than negative, and fresh, bullish factors could bring new investment into commodities and equities.
The US reacted sharply to news that Iran might build two new uranium enrichment plants inside mountains to keep them safe from possible air strikes. US General David Petraeus said over the weekend that Washington will pursue a “pressure track” to discourage Iran from pursuing possible nuclear ambitions. Iran has plans to build 10 new uranium enrichment plants, equipped with supersonic centrifuges capable of enriching uranium more quickly.
Technicals
The oil complex was higher, again, yesterday, and prices seem headed towards major resistance levels overhead. It is difficult to tell whether prices will have enough juice to get to major resistance, although one might expect a dip, first. Major resistance levels are at $83.95 in crude oil, 222.72 in heating oil and at 219.27 in gasoline. All trends are higher, here.
Dollars per barrel
Above: The crack spread typically improves in late winter. It finished at $8.26 yesterday.
April crude oil now has buy-stops over $80.50-$80.67, $82.35, $83.95, $84.83, $85.13, $89.82, $90.99, $93.02, $96.03, and $100.37. Sell-stops are under $79.45, $77.75, $76.30, $73.70, $72.60, $71.30, $70.75, $69.30, $68.55, $68.00, $65.80-$66.20, and $64.95. March heating oil has buy-stops over 209.15, 210.91, 211.90, 217.55, 222.72, 225.80, 227.05, 229.08, 238.95, 249.62, and 251.50. Sell stops are under 206.85, 201.85, 197.95, 190.80, 189.95, 187.45, 186.50, 182.63, 177.00, 176.68, 173.75, 171.10, 170.35, and 168.60. March RBOB has buy-stops over 212.75, 214.60, 219.27, 222.70, 228.86, 240.10, 250.40, 252.00, 265.10, 267.85, and 270.85. Sell-stops are under 209.00, 203.50, 198.40, 191.85, 187.00, 184.15, 182.40, 181.20, 179.20, 177.30, 175.14, 171.40, and 170.25.
Football: The bulls gained three yards on second and three to go yesterday. That gives them a fresh set of downs.
Technical Support & Resistance
Apr crude oil Support: $79.45-$79.60, $77.75-$77.90, $76.30-$76.60, $73.35-$73.50, $72.60-$72.75.
Resistance: $80.50-$80.70, $82.20-$82.35, $83.85-$83.95, $84.75-$84.85, $85.10-$85.15.
Mar heating oil Support: 206.85-207.00, 201.85-202.00, 197.95-198.05, 190.75-190.90, 189.95-190.15.
Resistance: 209.00-209.15, 210.80-210.91, 211.80-211.90, 217.45-217.55, 222.60-222.75.
Mar Rbob Support: 209.00-209.20, 203.50-203.65, 198.40-198.60, 191.85-192.00, 188.90-189.00.
Resistance: 212.60-212.75, 214.50-214.60, 219.15-219.30, 222.55-222.70, 228.75-228.90.
Oil Inventory Reports
This week’s DOE report has given us drawdowns in both distillate and gasoline stocks over the years, with seven out of eight years showing distillate draws and five out of eight years showing draws in gasoline stocks. Crude oil stocks have risen in five of eight years. Utilization has risen in four years and declined in four years, with the declines larger than the gains. Crude oil imports have declined five out of the past six years this week. Last week was cold and Monday was a holiday, so those factors may be reflected in this week’s statistics.
Last Week’s Inventory Comparison: Distillate stocks are now 8.8 million bbls, or 6.09%, higher than a year ago. Heating oil inventories are 4.9 mln bbls, or 13.17%, higher than they were a year ago. Gasoline stocks are 15.2 mln bbls (up 7.01%) higher against a year ago. Crude oil stocks are now 19.2 million bbls, or 5.43%, lower than a year ago. Residual stocks are 1.0 mln bbls (2.71%) higher than a year ago, jet fuel stocks are 1.3 mln bbls, (3.14%) higher than a year ago. Utilization is 2.55% lower than a year ago and 7.11% below the eight-year average. It is 9.57% lower than the four-year, pre-Katrina average and 4.65% below the average of the four years since the big hurricanes (Katrina & Rita) in 2005.
Last Week’s Demand: Four-week, total refined products demand came in at 18.995 million bpd, up 0.089 mln bbls on the week, and up 0.034 mln bpd and 0.18% against a year ago. One week ago, it was 0.159 mln bpd and 0.83% lower than a year ago. Four-week gasoline demand is at 8.630 mln bpd, down 1.26%, compared to up 0.32% six weeks ago. It lost 20,000 bpd on the week. Four-week distillate demand is now at 3.717 mln bpd, down 7.35%, compared to down 0.98% six weeks ago. Four-week jet demand is now at 1.370 mln bpd, up 1.41% against a year ago, compared to up 8.17% six weeks ago. Four-week residual fuel demand is at 0.647 mln bpd, up 3.69%, compared to down 34.14% two weeks ago. Propane use is up 9.65%, to 1.511 mln bpd. Gasoline supply decreased by 838,000 bpd this week, after gaining 465,000 bpd in last week’s report.
Last Week’s API Report: This week’s API report showed a draw of 0.063 mln bbls in crude oil stocks, a build of 1.283 mln bbls in distillate stocks and a build of 1.428 mln bbls in gasoline inventories. Utilization was up 2.9% to 79.9%. Implied demand came in at a pathetic 7.946 mln bpd in gasoline and at an anemic 3.337 mln bpd in distillate. Crude oil imports were down 0.336 mln bpd to 8.039 mln bpd. Both implied demand figures were so incredibly low we had trouble believing them. The gasoline demand was low because of the snow, but the cold weather should have helped distillate demand.
DOE Weekly Inventory Statistics
| Category | Final DOE Estimate
This Week’s Estimate | History
Last Year’s Report | Most Recent Changes
Last Week’s DOE Report | Versus A Year Ago
Millions of Barrels |
| Distillate | dn 2.50 to 3.00 mln bbls | up 0.800 | dn 2.937 mln bbls | up 8.800 |
| Gasoline | dn 1.00 to 1.50 | dn 3.400 | up 1.620 | up 15.200 |
| Crude oil | up 1.00 to 2.00 | up 0.700 | up 3.085 | dn 19.200 |
| Utilization | dn 0.1% to 0.6% | dn 0.9% at 81.4% | up 0.64% at 79.75% | |
| Crude Imports | dn 0.000 to 0.500 mmbd | dn 0.024 to 8.769 | up 0.206 to 8.548 mln bpd | |
| DOE Distillate Demand | 3.787 mln bpd | up 091,000 | Gasoline Demand | 8.521 mln bpd | dn 245,000 |
| DOE Distillate Production | 3.433 mln bpd | up 020,000 | Gasoline Production | 8.428 mln bpd | dn 379,000 |
| DOE Distillate Imports | 0.391 mln bpd | dn 239,000 | Gasoline Imports | 0.709 mln bpd | dn 459,000 |
Source: US Department of Energy’s Energy Information Administration
Open Interest Analysis
Crude oil open interest grew by 5,875 contracts on Friday, when prices were higher. That looks like decent, new buying and is supportive. The March contract expired yesterday afternoon.
Heating oil open interest grew by 1,724 contracts on Friday, when prices were higher. That looks like new buying and would be supportive.
RBOB open interest rose by 3,914 contracts on Friday, when prices were higher. That looks like new buying and is supportive.
Natural gas open interest grew by 9,601 on Friday, when prices were lower. That looks like heavy, new selling and is bearish. Funds continue to sell this market lower.
Friday’s Open Interest Changes:
Crude 1,297,516 up 5,875 Heat 301,289 up 1,724 RBOB 258,415 up 3,914 Nat gas 800,384 up 9,601
CFTC Commitments of Traders for Nymex (for the period ended Tuesday, Feb 2nd)
Crude oil prices rallied $3.26/bbl over the latest reporting period, and the best buying came from Managed Money accounts. They bought 12,583 new longs and covered 19,037 shorts. Producers added 3,094 new longs and also added 4,466 new shorts. Swap Dealers and Other Reportables sold into the higher prices, liquidating 8,557 and 1,648 longs and selling 9,001 and 3,596 new shorts, respectively. It seems that investment money was flowing into the market on the long side, in response to higher equities, a weaker dollar or stronger economic data, which are what get investment-bank led index funds and ETF’s buying.
In heating oil futures, prices rallied 5.90 cents a gallon, and the best net buying came from Managed Money accounts, which were buying 556 longs and covering 1,626 shorts. Producers also covered 10,227 shorts, which would have pushed quotes higher, although they kicked out 8,93 existing longs. Swap Dealers liquidated 3,499 longs and sold 180 shorts. Other Reportables liquidated 260 longs and sold 496 new contracts short.
Gasoline prices gained 5.92 cents a gallon during the period under review. Managed Money accounts added 1,740 new longs and covered 1,682 shorts, while Other Reportables added 1,091 new longs and covered 87 shorts. Producers liquidated 4,066 longs and added 739 new shorts into the rise, while Swap Dealers liquidated 228 longs and added 346 new shorts. Funds and commission houses were the best buyers and the motivating force behind higher prices.
In natural gas, prices gained 2.0 cents during the period under review. Swap Dealers added 3,204 new longs against 564 new shorts; Other Reportables added 452 new longs and covered 1,937 shorts, and Producers liquidated 2,766 longs, but covered 3,699 shorts. The net buying from Swaps and Others and short-covering by Producers and Others pushed quotes higher. Managed Money accounts sold 6,098 new shorts against the purchase of just 244 new longs as prices rose.
Natural Gas & Utility Generation
Natural gas prices were down almost 15 cents yesterday as market participants continued to look ahead to the end of the current heating season. A warm, sun-swept morning in the New York greater metropolitan area yesterday helped remind traders that all things come to an end. Once prices broke $5.00, basis March gas, technical selling came into the market, and that helped push quotes to the day’s lows. Prices gapped lower yesterday, which is a poor sign of current demand.
Traders are still talking about “ample supplies,” despite the arithmetic immediately in front of us. For this week, the five-year average drawdown [from EIA working gas in storage] was 132.4 bcf, according to our records, and we had a draw of 101 bcf last year on the similar Friday. The numbers for the precise dates will doubtless be slightly different, but the numbers above will serve as a guideline. Any draw of more than 135 bcf will cut into the surpluses (against both a year ago and the five-year average). Last week’s EIA report left underground storage levels 26 bcf and 1.30% higher than a year ago. They are 53 bcf and 2.69% above the five-year average. We expect to see a draw of 150 bcf or more this week. That would erase the year-on-year surplus and would cut into the surplus against the five-year average. Unless we rebuild storage levels after this week’s figures, we expect talk of “ample supplies” to start to ease relatively soon.
And that, as one might expect, will come down largely to the temperatures. As of yesterday, the consensus was for colder-than-normal readings almost everywhere, with temperatures moderating in the Northeast by early March. The National Weather Service (NWS) is calling for normal to above-normal readings in the northern tier for the first week of March. Almost everyone agrees that temperatures will be colder than normal in the South and across most of the central region, but the moderating temperatures in the North could take away the best source of demand. If temperatures moderate for longer than three weeks, it could change the underlying trend towards colder readings.
In cash trading yesterday, Henry Hub prices were at $4.88-$4.96, down 0.15-$0.19 on the day (DJN). SoCal prices were at $5.00-$5.10, down $0.05-$0.05 on the day. El Paso Permian prices were up $0.06 and down $0.06 at $4.80-$4.99. Katy prices were down $0.08-$0.12 to $4.81-$4.97. Waha prices were down $0.03-$0.08 at $4.87-$4.97. Transco 6 was down $0.10-$0.20 to $5.28-$5.45/mmBtu, according to Dow Jones News (DJN).
Palo Verde prices were last quoted at $41.25-$43.00/mwh. Northeastern prices last traded at $33.15-$48.75. Cinergy was last at $37.75-$40.00. Ercot was last at $46.00-$48.00/mwh.
Support is at $4.83-$4.85, $4.64-$4.66, $4.40-$4.43, $4.15-$4.17, $4.05-$4.08, $3.73-$3.75, $3.66-$3.68, $3.50-$3.53, $3.44-$3.46, $3.28-$3.32, $2.91-$2.93, $2.80-$2.82, $2.74-$2.75, and $2.69-$2.70. Resistance is at $4.97-$5.00, $5.16-$5.17, $5.46-$5.47, $5.55-$5.60, $5.87-$5.90, $5.99-$6.03, $6.09-$6.11, $6.15-$6.17, $6.34-$6.37, $6.65-$6.69, $6.90-$6.94, $7.01-$7.04, $7.28-$7.31, and $7.34-$7.36.
Mar Natural Gas: Support : $4.83-$4.85, $4.64-$4.66, $4.40-$4.43, $4.15-$4.17, $4.05-$4.08, $3.73-$3.75.
Resistance: $4.97-$5.00, $5.16-$5.17, $5.46-$5.47, $5.55-$5.60, $5.71-$5.73, $5.87-$5.90.
Natural gas prices broke and settled under $5.00/mmBtu, a level that seems undeserved based on existing fundamentals.
Dollars per million Btu
The crude-to-gas ratio was 16.38-to-one, its highest level since January 4th.
Ratio
EIA Weekly Storage Figures
Last week’s EIA report showed a draw of 190 bcf on expectations for a draw of 187-190 bcf. Stocks are now 26 bcf higher than a year ago, against a surplus of 172 bcf a week ago, a surplus of 199 bcf two weeks ago and a surplus of 120 bcf three weeks ago. Stocks are now 1.30% higher than a year ago. They are 53 bcf and 2.69% above the five-year average.
For this week, the eight-year average (of similar Friday reports) was a draw of 130.50 bcf. The five-year average was a draw of 132.4 bcf. Last year’s draw was 101 bcf.
EIA Report
| Region | 02-12-10 | 02-05-10 | Change | Last Year | 5 Yr Avg |
| Cons East | 1030 | 1135 | dn 105 | 951 | 1048 |
| Cons West | 322 | 344 | dn 22 | 314 | 270 |
| Producing | 673 | 736 | dn 63 | 735 | 655 |
| Total US | 2025 | 2215 | dn 190 | 1999 | 1972 |
Bcf, or Billions of cubic feet. Source: Energy Information Administration, US Department of Energy
News & Views
| In trading on Nymex, April crude oil prices were down $1.37 at $78.94/barrel at 8.30 AM EST, this morning. March heating oil prices were down 3.80 cents to 2.0408/gallon. March RBOB prices were down 2.62 cents to 2.0896. March natural gas prices were down $0.020 to $4.875/mmBtu. There was heavy selling overnight as Asian traders took profits on long positions as we head into this afternoon’s API report and before tomorrow morning’s DOE figures. Supply and demand have not caught up with prices, yet. DOE Expectations The table below lists the final survey results for Dow Jones, Bloomberg and Reuters. The DOE report will be released at 10:30 EST on Wednesday morning this week. Category Dow Jones Bloomberg Reuters Crude up 2.000 up 1.950 up 1.900 mln bbls Distillate dn 1.600 dn 1.750 dn 1.900 Gasoline up 0.500 up 0.800 up 0.500 Utilization up 0.10% up 0.15% up 0.20% 
Crude oil prices were higher again yesterday, and they have now been higher for five consecutive days or nine out of the last 10 sessions. Major resistance is at $83.95/bbl. | 
Heating oil prices were higher again yesterday, and prices seem to be on their way to test major resistance at 222.72. The trend is clearly pointed higher, here. DOE History: Distillate stocks have fallen in seven of the last eight years, by an average of 2.600 mln bbls. The eight-year average is a draw of 2.175 mln bbls. Gasoline stocks fell in five of the last eight years, for a five-year draw of 2.140 mln bbls and an eight-year average draw of 0.888 mln bbls. Crude oil stocks have been higher in five of the last eight years for a five-year average build of `.860 mln bbls and it has an eight-year average build of 0.725 mln bbls. Utilization has been lower in four of the last eight years and has an eight-year average decline of 0.36%, with an eight-year average utilization figure of 86.50%. The four-year, pre-hurricane utilization average was 88.68%. Since Katrina, refineries have run at an average utilization rate of 84.33%. Crude oil imports have been lower in five of the last six years, and the average crude oil import figure over the last six years has been down 200,000 bpd. The average crude oil import figure over the last six years has been 9.533 million bpd. Imports were nearly a million bpd below that average in last week’s report. Usually, imports don’t start to increase until refiners know they are going to increase refinery output. That is unlikely until May this year. |
| Crude prices are back in a bullish trend here. | |
Traders seem to be taking profits ahead of this week’s reports.
An Illustrated Look at Energy Market Factors
A Look at the US Dollar Versus the Euro
Dollar-Euro (dollar in euro cents): Three-Month Bar-Chart 
The US dollar opened lower, but it rallied against the euro yesterday. It was down lightly in trading last night. Prices are back inside a consolidation range, and last week’s breakout has been effectively nullified.
http://www.advfn.com/p.php?pid=forexqkchart&curcode1=USD&curcode2=EUR
A Look at the Dow Jones Industrial Average (djia)
Dow Jones Industrial Average: Six-Month Chart
The DJIA ended the day down 18.97 points yesterday. On Friday, the DJIA overcame initial skittishness that the Fed had taken its first of many steps towards tighter credit and it finished higher as demand for risk emerged stronger than before.
Source: http://money.cnn.com/quote/chart/chart.html?symb=djia&sid=1643&time=6mo&Submit1=Refresh
Recommendations for Specific Market Segments
Heating Oil Distributors Heating oil prices were up again yesterday, but they have eased in trading overnight. Their major resistance is at 222.72, but prices need to get past this afternoon’s API figures and tomorrow’s DOE report. If prices open as they now seem likely to, we may want to use the weakness to get our foot in the door for the seasonal trade. We can wait until next week, but we are not sure that everyone else will be as accommodating. We know we will want to be buying next week, so we would look at least at caps or calls on any severe weakness we may get here, today or tomorrow. The weekly supply-demand statistics have become the weakest factors in this market, and they may be among the few opportunities we will get in the next three weeks to buy into weakness. We do also still need to determine our level of involvement and risk limits for the seasonal trade now. Diesel Users We would hold our caps and will be buying into dips from here. NYH Ultra Low Sulfur Diesel.…212.65-212.90 plus 4.875 USG Ultra Low Sulfur Diesel.…208.90-209.15 plus 1.250 Jet/Kerosene Users & Airlines New York Harbor cash market differentials were 3.50 to 4.00 cents over January heating oil in NY Harbor and 0.25 to 0.50 over the screen in the US Gulf. Diesel & Gasoline Marketers We would keep product hedged, but March may be time to risk it. Gasoline Blenders & End-Users We are coming into the most reliable seasonal tendency in commodities. The short side is off limits here. Prompt NYH Fuel Ethanol…..176.00-179.00 Prompt USG Fuel Ethanol….172.00-174.00 Quotes from 02-19-10 Heating Oil End-Users We will be looking to get in on the long side in heating oil on any dips between now and March 15th. Use this week to figure out how much you want to buy and what amount can be risked. Speculators We will be looking to buy calls on any weakness between now and March 15th, increasing our positions the nearer we get to March. Refiners The 7:5+2 crack spread was $8.26 yesterday. Crude Oil Producers Crude oil prices were higher again yesterday, but they have eased this morning on profit-taking and as traders look ahead to this week’s supply-demand figures. | Prompt Jet Fuel Prices New York Harbor 211.40-211.90 US Gulf 208.15-208.40 Midwest (Group Three) 209.40-210.40 Midwest (Chicago) 208.40-209.40 Los Angeles 213.00-214.00 San Francisco 213.00-214.00 Portland, Oregon 213.00-214.00 Cents per gallon Propane Prices Mont Belvieu……….…..non-TET………$1.249000 Cents per gallon  Gasoline prices were higher again, yesterday, and they remain above the resistance at 206.62, confirming Thursday’s breakout. Prices may be on their way to test the high at 219.27.
We are less than one week away from the March seasonal, the most reliable seasonal tendency seen in any market, commodity or other, seen over the last quarter of a century. Traders must still practice sound money management techniques and need to establish at what level they would admit that this year would not be working, if it comes to that. Clearly, the odds seem to favor an advance, but nothing is written in stone. |