this week’s energy market newspropane news - eia summary the eia reported a build of 2.6 million...
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Friday, August 14, 2020x
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Farmward Energy
Weekly Update
This Week’s Energy Market NewsThis Week’s Energy Market News Market Opinion: The market has been range bound this week as it battles with easing lockdown measures that promote the economy, and resurging cases which are denting hopes of a demand recovery. This week both the IEA and OPEC cut their 2020 demand forecasts, which has added further pressure onto prices. Markets should continue to be range bound unless major headlines regarding coronavirus or production cuts appear and set direction for the markets.
This communication may contain confidential and/or proprietary information and is intended only for the use of the individual or entity to which it is addressed. If the reader of this communication is not the intended recipient, you are hereby notified that any unauthorized dissemination, distribution, and/or use of this communication is strictly prohibited. The information contained herein is accurate to the best of our knowledge and belief. This report and any views expressed herein are provided for information purposes only and should not be construed in any way as an inducement to buy or sell. Farmward Cooperative does not ac-cept any liability for any loss or damage howsoever caused to anyone trading in reliance upon such information. Any prices indicated are subject to change with market conditions.
Energy HighlightsWTI Daily: WTI traded to its highest level since March earlier this week and is now above both the 14-day moving average and 30-day moving average. The market looks to be range bound in the near-term and trading in a tight window. Look for support to come in at $41.17 the 30-day moving average and resistance to come in at $42.67 a five-month high set earlier this week.
Crude Global Supply/Demand: The International Energy Agency (IEA) cut its 2020 oil demand forecast on Thursday, warning that reduced air travel due to the coronavirus pandemic would lower global oil demand this year by 8.1 million barrels per day (bpd).The IEA slashed its 2020 outlook by 140,000 bpd to 91.9 million bpd, its first downgrade in several months.
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Farmward Energy
Weekly Update
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This communication may contain confidential and/or proprietary information and is intended only for the use of the individual or entity to which it is addressed. If the reader of this communication is not the intended recipient, you are hereby notified that any unauthorized dissemination, distribution, and/or use of this communication is strictly prohibited. The information contained herein is accurate to the best of our knowledge and belief. This report and any views expressed herein are provided for information purposes only and should not be construed in any way as an inducement to buy or sell. Farmward Cooperative does not ac-cept any liability for any loss or damage howsoever caused to anyone trading in reliance upon such information. Any prices indicated are subject to change with market conditions.
HO Daily Chairt: HO continues to trade in the middle of its recent range between $1.15 and $1.30. HO could struggle to continue to build strength as inventories are at record levels. The 1st level of support will be found at $1.2174 a recent low with and 2nd level of support coming in at $1.1654 a low from July. The 1st level of resistance could be found at $1.3029 a high seen back in March with another level of resistance $1.3410 the 50% retracement level.
Energy Highlights
Total U.S. crude productionslips under 11 millionbarrels/day on this week’s statsfor only the 2nd time since thepandemic struck. The first timewas the week ended June 12that 10500 mb/day. That is awhopping 2.4 mb/day loss ofproduction from the high inFebruary of this year.
U.S. crude oil stocks posted a draw this week of 4.512 million barrels, which brings total stocks to 514 million barrels vs. 440.5 million barrels this time last year. Certainly stocks are running well above levels we have seen in the past, but since the economy is starting to open supplies are starting to coming down.
xFarmward Energy
Weekly Update
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This communication may contain confidential and/or proprietary information and is intended only for the use of the individual or entity to which it is addressed. If the reader of this communication is not the intended recipient, you are hereby notified that any unauthorized dissemination, distribution, and/or use of this communication is strictly prohibited. The information contained herein is accurate to the best of our knowledge and belief. This report and any views expressed herein are provided for information purposes only and should not be construed in any way as an inducement to buy or sell. Farmward Cooperative does not ac-cept any liability for any loss or damage howsoever caused to anyone trading in reliance upon such information. Any prices indicated are subject to change with market conditions.
Propane News - EIA Summary
The EIA reported a build of 2.6 million for the week ending 8/7/20, increasing total propane inventory to 89.3 million barrels. This is 2.8 above 2019 and 7.6 above the 5-year average of 81.7 million. During this week last year, propane experienced a 3.2 million build.
Propane demand (product supplied) increased 333,000 to 1,119,000 bpd. Propane production fell by 10,000 bpd to 2,323,000 bpd.
Regional Inventories: Midwest up 1.4 million to 24.4 million; Gulf up 1.4 to 52.6 million; East down 300,000 to 7.8 million; and West up 200,000 to 4.6 million. Historical Averages: Midwest is 400,000 below 2019 and the 5-year average of 24.8 million. Gulf Coast inventory is 1 million above last year and 5.7 above the 5-year average of 46.9 million. East Coast is 1.1 million above 2019 and 1.3 above the 5-year average of 6.5 million. Propane imports fell by 36,000 bpd to 84,000 bpd. East Coast down 21,000 to 24,000; Midwest down 9,000 to 38,000; Gulf unchanged at 0 bpd; West down 5,000 to 23,000. Propane exports decreased by 424,000 to 913,000 bpd. One year ago exports were 893,000 bpd.
xFarmward Energy
Weekly Update
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This communication may contain confidential and/or proprietary information and is intended only for the use of the individual or entity to which it is addressed. If the reader of this communication is not the intended recipient, you are hereby notified that any unauthorized dissemination, distribution, and/or use of this communication is strictly prohibited. The information contained herein is accurate to the best of our knowledge and belief. This report and any views expressed herein are provided for information purposes only and should not be construed in any way as an inducement to buy or sell. Farmward Cooperative does not ac-cept any liability for any loss or damage howsoever caused to anyone trading in reliance upon such information. Any prices indicated are subject to change with market conditions.
xFarmward Energy
Weekly Update
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Farmward Energy
Weekly Update
This communication may contain confidential and/or proprietary information and is intended only for the use of the individual or entity to which it is addressed. If the reader of this communication is not the intended recipient, you are hereby notified that any unauthorized dissemination, distribution, and/or use of this communication is strictly prohibited. The information contained herein is accurate to the best of our knowledge and belief. This report and any views expressed herein are provided for information purposes only and should not be construed in any way as an inducement to buy or sell. Farmward Cooperative does not accept any liability for any loss or damage howsoever caused to anyone trading in reliance upon such information. Any prices indicated are subject to change with market conditions.
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As of 07/08/20 Price 1000 Gal 1500 Gal 2000 GalRuby FM $1.699 $1.689 $1.679 $1.669#2 Clear $2.139 $2.129 $2.119 $2.109
PricePropane Ag/Comm $.99 SummerfillPropane Home Heat $.99 Summerfill