Oil & Gas - Energy - Commodities - Resources (OILBRENT)

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Peek Into Crude Oil Future Through Futures

* September 17, 2016

The following are futures positions of non-commercials as of September 13, 2016.

Crude oil: The International Energy Agency cut its global oil demand forecast by about 100,000 barrels per day for this year, to 1.3 million b/d. Next year, it sees demand rising 1.2 mb/d, down 200,000 b/d from prior forecast. Wobbling demand in China and India was primarily blamed.

For the most part, the weekly EIA data added salt to injury.

In the week ended September 9th, crude stocks fell by 559,000 barrels to 510.8 million barrels – the lowest since February 26th this year.

Gasoline stocks, however, jumped 567,000 barrels to 228.4 million barrels, and distillate inventory increased 4.6 million barrels to 162.8 million barrels. The latter was the highest since April 8th this year.

Crude imports rose by 993,000 barrels per day to 8.1 million b/d, reversing half of the 1.8-mb/d decline in the previous week, which was probably influenced by hurricane Hermine.

Crude production rose by 35,000 b/d to 8.5 mb/d – a three-week high. Production peaked at 9.61 mb/d in the June 5th week last year.

Refinery utilization dropped eight-tenths of a point to 92.9 percent.

Once again, spot West Texas Intermediate crude is testing support at $43-$43.50, which was defended early this month. It has lost the 50-day moving average, which is now dropping.

Since the crude peaked on June 9th at $51.67/barrel, it has been making lower highs. The August 3rd low of $39.19 has taken on a new significance.

Currently net long 317.5k, up 19.2k.



http://www.hedgopia.com/cot-peek-into-future-through-futures-61/

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