Prices for March 4th, 2010
| HEATING OIL cents per gallon | | MONTH | HIGH | LOW | SETTLE | CHANGE | | APR | 209.70 | 206.05 | 206.87 | dn 02.50 | | MAY | 210.52 | 207.31 | 208.14 | dn 02.23 | | JUN | 211.57 | 208.75 | 209.46 | dn 02.00 | | JUL | 213.08 | 210.65 | 211.35 | dn 01.76 | | AUG | 214.34 | 212.39 | 213.17 | dn 01.57 | | SEP | 215.98 | 214.23 | 215.06 | dn 01.49 | | OCT | 218.05 | 216.45 | 217.31 | dn 01.42 | | NOV | 220.48 | 219.04 | 219.66 | dn 01.35 | | DEC | 223.40 | 221.12 | 222.09 | dn 01.24 | | JAN | 224.51 | 223.71 | 224.37 | dn 01.17 | | FEB | 225.71 | 224.89 | 225.56 | dn 01.12 | | MAR | 225.56 | 224.67 | 225.40 | dn 01.08 | | Estimated Volume (day before) total all prev day 107,788 | | NYMEX CRUDE OIL dollars per barrel | | MONTH | HIGH | LOW | SETTLE | CHANGE | | APR | 81.09 | 79.70 | 80.21 | dn 00.66 | | MAY | 81.47 | 80.14 | 80.63 | dn 00.63 | | JUN | 81.81 | 80.60 | 81.10 | dn 00.54 | | JUL | 82.10 | 81.05 | 81.54 | dn 00.46 | | AUG | 82.34 | 81.41 | 81.88 | dn 00.41 | | SEP | 82.60 | 81.72 | 82.18 | dn 00.37 | | | | | | | | | Estimated Volume… 588,682 Opec Basket…$75.51 dn $0.24
Prompt #2 Oil NYH 88..-1.50 to -1.00, 74 Lo S…+3.75 to +4.25
US Gulf 88 grade…-4.25 to -3.75, 74 grade Lo S…+0.75 to +1.25 Group .........+1.00 to +1.50 Lo S.....+1.00 to +1.50
Chicago ......-3.00 to -2.00 cash quotes by Dow Jones | | | |
| NYMEX RBOB GASOLINE cents per gallon | | MONTH | HIGH | LOW | SETTLE | CHANGE | | APR | 225.06 | 221.70 | 223.37 | dn 01.39 | | MAY | 225.19 | 222.06 | 223.60 | dn 01.34 | | JUN | 224.29 | 221.52 | 222.96 | dn 01.38 | | JUL | 223.20 | 221.67 | 222.11 | dn 01.41 | | AUG | 222.11 | 220.34 | 221.13 | dn 01.44 | | SEP | 220.99 | 218.75 | 219.93 | dn 01.43 | | OCT | 210.33 | 208.36 | 209.55 | dn 01.25 | | NOV | 209.23 | 207.19 | 207.97 | dn 01.29 | | Estimated RB Volume day before 128,833 | | NYMEX NATURAL GAS dollars per mmBtu | | MONTH | HIGH | LOW | SETTLE | CHANGE | | APR | 4.787 | 4.556 | 4.575 | dn 0.182 | | MAY | 4.847 | 4.623 | 4.643 | dn 0.178 | | JUN | 4.910 | 4.695 | 4.717 | dn 0.175 | | JUL | 4.987 | 4.777 | 4.806 | dn 0.171 | | | Estimated Volume…day before (146,181)
Nymex statistics are based on composite Access & Day Sessions
Prompt Gasoline NYH M5 -10.25 to -9.75 RBOB -2.50 /-2.00
US Gulf M4: -13.25 to -13.00 RBOB -2.25 to -2.00
L.A. Conv Reg 226.00-227.00, N-grade Group 211.10-211.70 Chi 205.35-206.10 | |
Market Review for Thursday
HE US dollar had a strong day yesterday, and that was yesterday’s biggest factor. Bloomberg conducted its survey for next week and discovered an evenly divided and very diverse set of expectations moving forward. One of the biggest reasons for this dichotomy is the topsy-turvy nature of risk appetite and economic outlook. On any given morning, traders can come into this market and be faced with one of two conflicting scenarios; on a bullish day, the dollar is weak, equities are strong and the mood is one of economic recovery. On a bearish day, the dollar is stronger, stocks are weaker and the topic of conversation is either Chinese credit tightening, Greek debt problems or the unexpected release of a more bearish set of economic statistics. Rarely does the oil supply and demand picture determine the opening in this complex.
The scenarios described above seem to alternate like the weather in April. On any given day, it can be warm and sunny or cold and rainy. The scenarios seem to occur almost at random. Concerns over Greece reappeared and pushed the dollar up.
| Fuel for Thought Iran has threatened to withdraw its counterproposal to an IAEA plan to exchange Iran’s enriched uranium for French fuel rods. The IAEA proposal would have Iran ship its uranium to Russia, have it enriched further there, then shipped to France, where it would be finished and fabricated into fuel rods, which would then be returned to Iran. Iran’s counterproposal would have an immediate exchange made, on Iranian soil, where Iranian uranium would be exchanged for finished fuel rods then and there. Western ambassadors see Iran’s proposal as another delaying tactic. It differs from the IAEA proposal simply to be different and therefore unacceptable. We still see a looming climax. |
The index of purchase agreements for existing homes in the US dropped by 7.6% in January, after increasing a revised 0.8% in December. Severe winter weather was seen as a reason for the decline and is expected to hurt February purchases, as well.
Weekly unemployment claims were reported down 29,000 to 469,000 last week, and productivity increased 6.9% (annualized) in the fourth quarter, finishing the strongest yearly gains since 2002, it was reported yesterday. While those figures were supportive, today we will see the February unemployment figures and they will be more influential than the weekly figures.
Singapore’s navy has received a reliable threat that oil tankers will be targeted in the Malacca Strait, reportedly by groups with links to al Qaida. An estimated 15 million bpd passed through this waterway in 2006.
Oil Movements estimates that Opec crude oil shipments will fall by 550,000 bpd in the four-week period that will end on March 20th. From the 10 countries under quota, shipments would come in at 22.87 million bpd. The ministers meet on March 17th in Vienna and are unlikely to change quotas.
Technicals
The oil complex could not build yesterday on the gains posted on Wednesday. All three major contracts had significant technical breakouts earlier this week, but they just did not add to those gains yesterday. That leaves today for traders to confirm and consolidate the week’s gains, or we may need to do it all over again next week.
Cents per gallon
Above: Gasoline prices have broken to the upside of a long-term consolidation zone. There is resistance at 225.07.
April crude oil now has buy-stops over $81.25, $82.35, $83.95, $84.83, $85.13, $89.82, $90.99, $93.02, $96.03, and $100.37. Sell-stops are under $79.40, $78.00, $77.00, $76.30, $73.70, $72.60, $71.30, $70.75, $69.30, $68.55, $68.00, $65.80-$66.20, and $64.95. April heating oil has buy-stops over 209.80, 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 206.00, 205.40, 201.55, 200.55, 199.00, 196.40, 190.75, 189.95, 187.45, 186.50, 182.63, 177.00, 176.68, 173.75, 171.10, 170.35, and 168.60. April RBOB has buy-stops over 225.10, 228.86, 240.10, 250.40, 252.00, 265.10, 267.85, and 270.85. Sell-stops are under 221.70, 219.00-219.10, 215.50, 213.70, 203.80, 202.25, 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 bears gained seven yards yesterday, on third and 32 to go, and that makes it fourth and 26 to go today.
Technical Support & Resistance
Apr crude oil Support: $79.40-$79.50, $78.00-$78.10, $77.00-$77.20, $76.30-$76.60, $73.35-$73.50.
Resistance: $81.10-$81.25, $82.20-$82.35, $83.85-$83.95, $84.75-$84.85, $85.00-$85.15.
Apr heating oil Support: 206.00-206.20, 205.40-205.55, 201.55-201.70, 200.55-200.70, 199.00-199.15.
Resistance: 209.70-210.00, 210.80-210.91, 211.80-211.90, 217.45-217.55, 222.65-222.75.
Apr Rbob Support: 221.70-221.90, 219.00-219.15, 215.50-215.65, 213.70-213.85, 203.50-203.80.
Resistance: 224.95-225.10, 228.75-228.86, 239.95-240.10, 250.25-250.40, 251.80-252.00.
Oil Inventory Reports
This week’s DOE report showed a big increase in total products supplied – or total demand. Granted, we are comparing it against some pretty dismal figures a year ago, but four-week total demand is now 563,000 bpd and 3.00% higher than it was a year ago. That is as positive as it has been in months. Crude oil stocks jumped on higher imports, but an increase in utilization rates suggests that refiners may be looking to meet the increase in demand with a bump higher in output. Four-week gasoline demand was also higher against a year ago, and four-week distillate demand has seen its deficit against 2009 drop steadily.
This Week’s Inventory Comparison: Distillate stocks are now 6.0 million bbls, or 4.12%, higher than a year ago. Heating oil inventories are 5.8 mln bbls, or 15.89%, higher than they were a year ago. Gasoline stocks are 16.0 mln bbls (up 7.41%) higher against a year ago. Crude oil stocks are now 13.1 million bbls, or 3.69%, lower than a year ago. Residual stocks are 1.2 mln bbls (3.09%) higher than a year ago, jet fuel stocks are 0.7 mln bbls, (1.64%) higher than a year ago. Utilization is 1.20% lower than a year ago and 4.76% below the eight-year average. It is 6.43% lower than the four-year, pre-Katrina average and 3.10% below the average of the four years since the big hurricanes (Katrina & Rita) in 2005.
This Week’s Demand: Four-week, total refined products demand came in at 19.314 million bpd, up 0.219 mln bbls on the week, and up 0.563 mln bpd and 3.00% against a year ago. Three weeks ago, it was 0.159 mln bpd and 0.83% lower than a year ago. Four-week gasoline demand is at 8.808 mln bpd, up 0.06%, compared to down 1.26% two weeks ago. It was up 67,000 bpd on the week. Four-week distillate demand is now at 3.744 mln bpd, down 4.78%, compared to down 9.08% four weeks ago. Four-week jet demand is now at 1.292 mln bpd, down 3.80% against a year ago, compared to up 8.17% eight weeks ago. Four-week residual fuel demand is at 0.678 mln bpd, up 28.65%, compared to down 34.14% four weeks ago. Propane use is up 9.06%, to 1.420 mln bpd. On a weekly basis, gasoline demand dropped 182,000 bpd and lost 32,000 bpd in output and 71,000 bpd in imports. Distillate demand was up 167,000 bpd while supplies were up 131,000 bpd.
This Week’s API Report: This week’s API report showed a build of 2.665 mln bbls in crude oil stocks, a draw of 4.074 mln bbls in distillate stocks and a build of 0.909 mln bbls in gasoline inventories. Utilization was up 0.8% to 81.6%. Implied demand came in at a healthy 9.340 mln bpd in gasoline and at a strong 4.698 mln bpd in distillate. Crude oil imports were up 0.609 mln bpd to 9.801 mln bpd, which is its highest level in months. It also suggests renewed refining activity in the weeks ahead – if it sticks. Refined products demand was strong in this report.
DOE Weekly Inventory Statistics
| Category | Final DOE Estimate
This Week’s Estimate | History
Last Year’s Report | Most Recent Changes
This Week’s DOE Report | Versus A Year Ago
Millions of Barrels |
| Distillate | dn 1.50 to 2.00 mln bbls | up 1.662 | dn 0.843 mln bbls | up 6.000 |
| Gasoline | dn 0.50 to 1.00 | up 0.168 | up 0.773895 | up 16.000 |
| Crude oil | up 1.75 to 2.75 | dn 0.757 | up 4.0343.034 | dn 13.100 |
| Utilization | dn 0.0% to 0.5% | up 1.7% at 83.1% | up 0.70% at 81.90% | |
| Crude Imports | dn 0.000 to 0.500 mmbd | up 0.259 to 9.028 | up 0.152 to 9.236 mln bpd | |
| DOE Distillate Demand | 3.829 mln bpd | up 167,000 | Gasoline Demand | 8.882 mln bpd | dn 132,000 |
| DOE Distillate Production | 3.812 mln bpd | up 1221000 | Gasoline Production | 8.831 mln bpd | dn 032,000 |
| DOE Distillate Imports | 0.354 mln bpd | dn 090,000 | Gasoline Imports | 0.775 mln bpd | up 137,000 |
Source: US Department of Energy’s Energy Information Administration
Open Interest Analysis
Crude oil open interest grew by 9,567 contracts on Wednesday, when prices advanced. That looks like new buying and would be supportive. The funds seem to have been buying recently.
Heating oil open interest grew by 8,127 contracts on Wednesday, when prices were higher. That looks like new buying and is supportive.
RBOB open interest grew by 10,256 contracts on Wednesday, when prices were higher, which would be heavy new buying.
Natural gas open interest grew by 3,786 on Wednesday, when prices were higher. That looks like new buying and would be supportive.
Wednesday’s Open Interest Changes:
Crude 1,307,002 up 9,567 Heat 308,625 up 8,127 RBOB 278,577 up 10,256 Nat gas 824,086 up 3,786
CFTC Commitments of Traders for Nymex (for the period ended Tuesday, Feb 2nd)
Crude oil prices rallied $1.44/bbl over the latest reporting period, and the best buying came from Managed Money accounts. They bought 14,963 new longs and added 2,900 shorts. Producers liquidated 16,027 longs but also covered 14,302 shorts. Other Reportables also covered 8,096 shorts, while liquidating 3,243 longs. Swap Dealers liquidated 16,820 longs and added 7,358 new shorts and were the only pure sellers. Managed Money accounts were the best new buyers, but short-covering by Producers and Other Reportables, doubtless leading into the March crude contract expiration, also boosted prices.
In heating oil futures, prices rallied 3.60 cents a gallon, and the best net buying came from Managed Money accounts, which added 10,901 new longs and covered 5,938 shorts. The other categories sold into strength, with Producers liquidating 3,741 longs and adding 10,900 shorts, Swap Dealers liquidating 4,838 longs and covering just 6 shorts, and Other Reportables liquidating 3,389 longs and adding 1,411 shorts. Managed Money was the motive force behind higher prices.
Gasoline prices gained 7.74 cents a gallon during the period under review. Managed Money accounts added 13,745 new longs and covered 2,425 shorts, while Other Reportables added 208 new longs and covered 89 shorts. Producers liquidated 6,016 longs and added 9,891 new shorts into the rise, while Swap Dealers liquidated 2,319 longs and added 593 new shorts. Funds were the biggest buyers, with commission houses buying very lightly. Producers were the best sellers.
In natural gas, prices dropped 53.2 cents during the period under review. Here, it was cut and dried; Managed Money sold 19,855 new shorts and liquidated 7,655 longs (short 3-to-one). Other Reportables added 6,111 longs and covered 9,400 shorts, Producers added 2,851 longs and covered 2,900 shorts and Swap Dealers added 2,409 longs and covered 3,041 shorts. Everyone sees a bargain, here, except the funds pressing quotes lower. They were the best and only sellers.
Natural Gas & Utility Generation
Natural gas prices dropped sharply yesterday, printing a new three-month low, and coming within cents of the psychologically important $4.50/mmBtu level. At the heart of yesterday’s decline was a disappointing decline in underground storage levels. There was a pull of 116 bcf against expectations for a draw of 132 bcf.
We feel, as we have for a while now, that prices are undervalued, especially in relation to storage figures. This report increased the deficit against a year ago, which has gone from 2.93% to 3.93%. The surplus against the five-year average went from 13 bcf (0.71%) to 21 bcf (1.22%). We do not get, from those numbers, a major sell signal. And, yet prices dropped more than 18 cents on the report yesterday, as some saw it as a major disappointment. That seems overdone to us.
The bottom line, as far as we can tell, is that some large funds want the price of natural gas lower than it otherwise would be. We do not yet know what their reasons may be, although we can see that they are short in this market. That might be enough. We feel, though, that the only reason that anyone thought this week’s EIA report was disappointing was because prices declined after it was released. We just don’t see an 8 bcf gain in the surplus against the five-year average as the major supply overhang that was being painted on price charts. The surpluses we started the winter with are effectively gone.
We do agree with the bears that winter is more or less over. The really big draws are certainly behind us, now. But, they are just as likely to be missing from comparisons with previous years as we move forward. If we were to start injection season at or around existing comparison figures, we would have to say it was a successful winter. After all, we started the heating season 379 bcf (11.11%) higher than a year earlier and 414 bcf (12.27%) above the five-year average for the end of October to start of November time period. At that time, prompt gas was trading at $4.595, two cents higher than yesterday’s settlement, and March gas was at $5.035. We got rid of those huge surpluses, and have seen a drop in prompt prices as the result. Something is wrong with that picture, in our eyes.
In cash trading yesterday, Henry Hub prices were at $4.70-$4.80, down $0.02-$0.04 on the day (DJN). SoCal prices were at $4.79-$4.85, down $0.03-$0.03 on the day. El Paso Permian prices were down $0.01-$0.05 at $4.60-$4.68. Katy prices were down $0.01-$0.09 to $4.61-$4.77. Waha prices were down $0.00-$0.02 at $4.63-$4.68. Transco 6 was down $0.02-$0.03 to $5.24-$5.28/mmBtu, according to Dow Jones News (DJN).
Palo Verde prices were last quoted at $39.00-$43.50/mwh. Northeastern prices last traded at $41.50-$46.00. Cinergy was last at $36.25-$37.50. Ercot was last at $35.00-$37.50/mwh.
Support is at $4.55-$4.56, $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 $4.76-$4.79, $4.86-$4.89, $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.
Apr Natural Gas: Support : $4.55-$4.56, $4.40-$4.43, $4.15-$4.17, $4.05-$4.08, $3.73-$3.75, $3.66-$3.68.
Resistance: $4.76-$4.79, $4.86-$4.89, $4.97-$5.00, $5.16-$5.17, $5.46-$5.47, $5.55-$5.60.
Natural gas prices dropped steeply again yesterday, breaking below important support.
Dollars per million Btu
The crude-to-gas ratio continues to increase. It finished yesterday at 17.53-to-one, its highest level since November 19th.
Ratio
EIA Weekly Storage Figures
This week’s EIA report showed a draw of 172 bcf on expectations for a draw of 169-170 bcf. Stocks are now 71 bcf lower than a year ago, against a deficit of 56 bcf a week ago, a surplus of 26 bcf two weeks ago and a surplus of 172 bcf three weeks ago. Stocks are now 3.93% lower than a year ago. They are 21 bcf and 1.22% above the five-year average.
For this week, the eight-year average (of similar Friday reports) was a draw of 112.38 bcf. The five-year average was a draw of 112.67 bcf, or 124 bcf based on dates. Last year’s draw was 102 bcf. Estimates suggested a draw of 130-133 bcf.
EIA Report
| Region | 02-26-10 | 02-19-10 | Change | Last Year | 5 Yr Avg |
| Cons East | 861 | 935 | dn 74 | 805 | 870 |
| Cons West | 296 | 311 | dn 15 | 293 | 242 |
| Producing | 580 | 607 | dn 27 | 710 | 604 |
| Total US | 1737 | 1853 | dn 116 | 1808 | 1716 |
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 up $0.46 at $80.67/barrel at 7.30 AM EST, this morning. April heating oil prices were up 0.74 cents to 2.0761/gallon. April RBOB prices were up 1.14 cents to 2.2451. April natural gas prices were up $0.005 to $4.580/mmBtu. Oil prices were back up this morning, as traders prepared for the monthly unemployment figures. The US dollar was steady overnight while equities were waiting for the monthly unemployment numbers, as well. Iraqi crude oil exports continue to grow, and exports were 7.4% higher in February than they had been in January, Bloomberg reported yesterday. At 2.07 million bpd, Iraq exported the most it has in a year. In January, it reportedly shipped 1.93 million bpd. The country is currently in the middle of plans to increase its productive capacity dramatically. It pumped 3.5 million bpd in 1980. 
Crude oil prices were lower yesterday, and they got over $80.95, as high as $81.09. They fell short of the high seen Wednesday at $81.23. Technically, yesterday was a failure to build on gains. | 
Heating oil prices tried to break over 209.80-210.00 yesterday, falling short and then selling off. Resistance is now at 209.80-210.00, 212.89 and then at the major high at 222.72. The long-awaited monthly unemployment report came out a few minutes ago, and it showed a decline of 36,000 in non-farm payrolls. The unemployment rate held steady in February at 9.7%. Many analysts had expected to see a more bearish report, because of the effect of heavy snow ion businesses in February. As a result, this report was seen as being supportive, at least in early reactions. Payrolls had been expected to decline by 68,000, instead of the 36,000 reported. According to Bloomberg, estimates had ranged from 30,000 to as many as 150,000, so this report came in near the lower end – or near the most bullish possible outcome. Nonetheless, observers stopped short of proclaiming the report to have been bullish. It was not as bearish as it could have been. In that respect, it is more out of the way than an active factor for today’s trading. |
| Crude prices have resistance up to $81.23. | |
The February unemployment report showed the loss of 36,000 non-farm jobs, which was less than forecast.
It is seen as being less bearish than had been expected.
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 was higher yesterday after finding support around the t @72.10-72.30 euro cents. It had support around the green line drawn in above. The blue line below it is the critical support in this market. Resistance is at the four highs.
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 with a loss of 47.38 points yesterday. It has resistance just above the market. If the DJIA can break and finish above the red dotted line, equities should move higher from there. Equities were not strong enough to help oil.
Source: http://money.cnn.com/quote/chart/chart.html?symb=djia&sid=1643&time=6mo&Submit1=Refresh
A Look at Gasoline Supply & Demand
Thirteen week gasoline demand came in at 8.819 million bpd, down 1.18% against a year ago. Thirteen-week average supply was down 2.42% to 9.655 million bpd and 13-week implied demand was 9.524 mln bpd, down 1.96%.
A Look at Distillate Supply & Demand
Thirteen week distillate demand came in at 3.700 million bpd, down 8.98% against a year ago. Thirteen-week average supply was down 11.85% to 4.049 million bpd and 13-week implied demand was 4.174 mln bpd, down 4.98%.
A Look at Refinery Utilization
Utilization is 1.20% lower than a year ago and 4.76% below the eight-year average. It is 6.43% lower than the four-year, pre-Katrina average and 3.10% below the average of the four years since the big hurricanes (Katrina & Rita) in 2005.
Recommendations for Specific Market Segments
Heating Oil Distributors Heating oil prices were lower yesterday, but they remain in a good position to continue moving higher – if they are given reasons to do so. The monthly unemployment figures will be today’s big factor, suggesting either a stronger or weaker recovery ahead. This remains a market capable of being influenced by any number of factors, and the factors that seem important today are unlikely to be the ones we will be concentrating on in May. We still feel that petropolitical factors, like Nigerian sabotage and Iranian saber-rattling, will be the biggest factors in any advance as we move through this spring. Right now, economic recovery (or any lack thereof) is the main factor. We continue to prefer using caps or calls, where possible, and we would be buying into any weakness, here. Diesel Users We would hold our caps and will be buying into dips from here. NYH Ultra Low Sulfur Diesel.…213.10-213.60 plus 6.500 USG Ultra Low Sulfur Diesel.…208.10-208.60 plus 1.500 Jet/Kerosene Users & Airlines New York Harbor cash market differentials were 5.50 to 6.00 cents over January heating oil in NY Harbor and 1.00 to 1.50 over the screen in the US Gulf. Diesel & Gasoline Marketers We would keep product hedged, but we may have opportunities here. Gasoline Blenders & End-Users We want to be buying caps, calls or futures on dips from here. Prompt NYH Fuel Ethanol…..177.00-180.00 Prompt USG Fuel Ethanol….167.00-170.00 Quotes from 03-04-10 Heating Oil End-Users We want to use dips to get in on the long side. Speculators We will be looking to buy calls here, and on any additional weakness between now and March 15th, increasing our positions the nearer we get to March. Refiners The 7:5+2 crack spread was $11.63 yesterday. Crude Oil Producers Crude oil prices were back down yesterday, but they remained above $80.00 and in a position to rally today – if the unemployment report supports it. | Prompt Jet Fuel Prices New York Harbor 212.35-212.85 US Gulf 207.85-208.35 Midwest (Group Three) 209.60-211.85 Midwest (Chicago) 209.35-209.85 Los Angeles 210.00-211.00 San Francisco 210.00-211.00 Portland, Oregon 210.00-211.00 Cents per gallon Propane Prices Mont Belvieu……….…..non-TET………$1.178750 Cents per gallon  Ethanol prices have had their big advance and have now returned to a consolidation range. It will take a period of further consolidation before prices will be ready for another run higher.
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