Joshua's Feed
Dec 26, 2012

Oil jumps to nine-week high on US fiscal talks, technicals

NEW YORK, Dec 26 (Reuters) – U.S. oil futures rose to the
highest in more than nine weeks on Wednesday on hopes that
renewed talks will prevent a U.S. fiscal crisis, and as cold
weather and technical buying added to the upward momentum.
U.S. crude for February delivery rose by 2.7 percent
to settle at $90.98 per barrel, and reached its highest intraday
level since October 19. Brent rose 2.1 percent to settle
at $111.07. Volumes were thin with some traders absent during
the U.S. holiday season. U.K. markets were shut on Wednesday for
Boxing Day.
President Barack Obama’s will cut short a vacation to return
to Washington on Thursday and hold budget talks aimed at
averting the so-called fiscal cliff, a series of automatic tax
increases and government spending cuts. The measures would take
effect next week if the administration and lawmakers are unable
to reach a deal.
Forecasts for temperatures at below seasonal norms also
helped boost oil prices, since a cold snap can raise demand for
products like heating oil. Commodity Weather Group expects a
cold pattern to continue for most of the United States for the
next 10 days.
Technical buying also helped boost U.S. oil futures, which
extended gains on Wednesday after breaking through a 100-day
moving average for the first time since October. That move could
set up a test of the 200-day mark at $92.20 a barrel, traders
said.
“The market is taking advantage of thin holiday trading,
boosting out of its trading range. It’s thin volumes and
technical trading,” said Addison Armstrong, director of market
research at Tradition Energy in Stamford, Connecticut.
Some traders attributed gains in part to news that OPEC
member country the United Arab Emirates said on Wednesday it had
arrested a “cell” of UAE and Saudi Arabian nationals who were
allegedly planning to carry out attacks in both countries, which
hold some of the world’s largest oil fields.
Traders have been placing a premium on oil for months due to
geopolitical tensions in the Middle East.
Crude also rose due to buying at a key technical support
level above $90 a barrel, and possible algorithmic
short-covering, traders said. Oil prices rose in spite of a
modest drop for U.S. equities prices, as the S&P 500 index fell
by 0.3 percent.
A slight weakening of the U.S. dollar, which fell 0.05
percent against a basket of foreign currencies also
helped push crude higher, they said. A weaker dollar can make
commodities cheaper for holders of foreign currencies.
Oil markets had been mostly flat on Monday, the last trading
day before Christmas. Prices had dropped by more than 1 percent
on Friday after U.S. fiscal talks Last broke down.

PRODUCT PRICES RISE
Heating oil prices, which have tumbled relative to
crude over the past two months due to unusually warm winter
conditions, tracked crude’s gains on Wednesday, rising by 1.7
percent.
Gasoline futures rose 2.3 percent to extend a
three-week rally as traders anticipated refinery maintenance
that will constrict supplies in the U.S. Northeast.

Dec 26, 2012

Oil jumps in thin trade, US crude near 10-week high

NEW YORK, Dec 26 (Reuters) – U.S. oil futures rose to the
highest in more than nine weeks on Wednesday on hopes that
renewed talks will prevent a U.S. fiscal crisis, and as cold
weather and technical buying added to the upward momentum.
U.S. crude for February delivery rose by 2.7 percent
to settle at $90.98 per barrel, and reached its highest intraday
level since October 19. Brent rose 2.1 percent to settle
at $111.07. Volumes were thin with some traders absent during
the U.S. holiday season. U.K. markets were shut on Wednesday for
Boxing Day.
President Barack Obama’s will cut short a vacation to return
to Washington on Thursday and hold budget talks aimed at
averting the so-called fiscal cliff, a series of automatic tax
increases and government spending cuts. The measures would take
effect next week if the administration and lawmakers are unable
to reach a deal.
Forecasts for temperatures at below seasonal norms also
helped boost oil prices, since a cold snap can raise demand for
products like heating oil. Commodity Weather Group expects a
cold pattern to continue for most of the United States for the
next 10 days.
Technical buying also helped boost U.S. oil futures, which
extended gains on Wednesday after breaking through a 100-day
moving average for the first time since October. That move could
set up a test of the 200-day mark at $92.20 a barrel, traders
said.
“The market is taking advantage of thin holiday trading,
boosting out of its trading range. It’s thin volumes and
technical trading,” said Addison Armstrong, director of market
research at Tradition Energy in Stamford, Connecticut.
Some traders attributed gains in part to news that OPEC
member country the United Arab Emirates said on Wednesday it had
arrested a “cell” of UAE and Saudi Arabian nationals who were
allegedly planning to carry out attacks in both countries, which
hold some of the world’s largest oil fields.
Traders have been placing a premium on oil for months due to
geopolitical tensions in the Middle East.
Crude also rose due to buying at a key technical support
level above $90 a barrel, and possible algorithmic
short-covering, traders said. Oil prices rose in spite of a
modest drop for U.S. equities prices, as the S&P 500 index fell
by 0.3 percent.
A slight weakening of the U.S. dollar, which fell 0.05
percent against a basket of foreign currencies also
helped push crude higher, they said. A weaker dollar can make
commodities cheaper for holders of foreign currencies.
Oil markets had been mostly flat on Monday, the last trading
day before Christmas. Prices had dropped by more than 1 percent
on Friday after U.S. fiscal talks Last broke down.

PRODUCT PRICES RISE
Heating oil prices, which have tumbled relative to
crude over the past two months due to unusually warm winter
conditions, tracked crude’s gains on Wednesday, rising by 1.7
percent.
Gasoline futures rose 2.3 percent to extend a
three-week rally as traders anticipated refinery maintenance
that will constrict supplies in the U.S. Northeast.

Dec 24, 2012

Insight: In fracking culture war, celebs, billionaires and banjos

NEW YORK (Reuters) – Not so long ago, fracking was a technical term little known beyond the energy industry. Now it’s coming to Hollywood, as the fierce battle between environmentalists and oil firms is played out in several forthcoming films.

Hydraulic fracturing, the controversial drilling technique also known as fracking, has lifted U.S. energy output dramatically, despite warnings from critics who fear it pollutes water deep underground.

Dec 24, 2012

In fracking culture war, celebs, billionaires and banjos

NEW YORK, Dec 24 (Reuters) – Not so long ago, fracking was a
technical term little known beyond the energy industry. Now it’s
coming to Hollywood, as the fierce battle between
environmentalists and oil firms is played out in several
forthcoming films.

Hydraulic fracturing, the controversial drilling technique
also known as fracking, has lifted U.S. energy output
dramatically, despite warnings from critics who fear it pollutes
water deep underground.

Dec 13, 2012

Oil falls as fiscal cliffhanger fuels caution

NEW YORK, Dec 13 (Reuters) – Oil prices fell on Thursday as
worries about the economic impact of a U.S. fiscal crisis
overshadowed improvements in U.S. jobs data and retail sales.

Speaker of the U.S. House of Representatives John Boehner
charged on Thursday that the White House seemed willing to
“slow-walk our economy right up to – and over – the fiscal
cliff,” underscoring a lack of progress in talks between
Congress and the White House to avert tax increases and spending
cuts in 2013 that may risk a recession.

Dec 11, 2012

Oil up on OPEC output decline, ahead of group’s meeting

NEW YORK, Dec 11 (Reuters) – Oil futures rose modestly on
Tuesday after OPEC said its members pumped less oil last month
and as a weaker U.S. currency helped to firm dollar-denominated
commodity prices.

Brent crude rose for a second day and U.S. crude
rose for the first time in six trading sessions.

Dec 10, 2012

Brent oil gains after Chinese oil imports grow

NEW YORK, Dec 10 (Reuters) – Brent oil prices rose slightly
on Monday after Chinese data showed oil imports increased last
month, a sign of robust demand for commodities in the world’s
No. 2 oil consuming country.

Chinese customs data showed imports rose to 5.69 million
barrels per day last month, which tried for the third-highest
monthly level ever and was up 3 percent from a year-earlier
figures. Iron ore imports also rose, and China’s oil refinery
runs reached a record last month above 10.1 million barrels a
day.

Nov 29, 2012

Oil up on U.S. budget optimism, Middle East tensions

NEW YORK, Nov 29 (Reuters) – Oil prices rose on Thursday for
the first time this week on optimism that U.S. lawmakers will
resolve a budget fight to avert an economic slowdown and on
increasing Middle East tensions that stoked fear about
disruptions to oil supplies.

A U.S. budget deal would help avoid what has been called the
“fiscal cliff,” which could be caused by automatic tax increases
and spending cuts. In recent days, Republican and Democratic
lawmakers have expressed optimism that a deal will be reached.

Nov 29, 2012

Shell sees big output boost from Chesapeake acreage buy

NEW YORK, Nov 29 (Reuters) – Royal Dutch Shell
expects “years and years” of production from oil and natural gas
acreage it recently bought from Chesapeake Energy Corp
and plans to add more drilling rigs, the head of Shell’s
Americas operations said on Thursday.

Shell paid $1.94 billion last September for 618,000 acres in
the Permian Basin, a vast oil and natural gas source in western
Texas.

Nov 27, 2012

Sandy gives New York oil supply lesson

NEW YORK, Nov 27 (Reuters) – At 4 p.m. on Oct. 29, as heavy
winds battered the East Coast ahead of Superstorm Sandy’s
landfall, the Coast Guard’s regional command center on Staten
Island lost power and its hulking backup generators hummed into
action.

Commander Linda Sturgis, who oversees emergency prevention
at the Port of New York, was buzzed through two thick security
doors into the Port’s hive-like vessel traffic center, the
maritime equivalent of an air traffic control tower. The Port
had been bracing for Sandy for days, and a few hours earlier,
its Captain had halted all commercial vessel traffic, an
emergency lockdown known as Condition Zulu.