Cameron Hanover – Daily Energy Hedger – September 1, 2010

Oil quotes were lower on Tuesday, as traders seemingly returned to the market’s fundamentals in the absence of any strong undercurrent of support from stock markets or currencies. The activity reinforced the argument that unchanged or lower moves in equities or the euro merely open the door for oil market fundamentals to shine through. And Tuesday was a good day for it. Economic news was on the sparse side and September refined products futures expired in the afternoon, making those bids and offers that were generated that much more capable of moving quotes. The DJIA was up $4.99, to 10,014.72, and the euro loitered near unchanged, finishing slightly higher on the day, which did nothing to get oil traders feeling aggressive.