• 4 minutes What If Canada Had Wind and Not Oilsands?
  • 8 minutes EU Confirms Trade Retaliation Measures vs. U.S. To Take Effect on June 22
  • 17 minutes Could oil demand collapse rapidly? Yup, sure could.
  • 12 hours Kaplan Says Rising Oil Prices Won't Hurt US Economy
  • 21 hours Tariffs to derail $83.7 Billion Chinese Investment in West Virginia
  • 40 mins Saudi Arabia turns to solar
  • 39 mins Corruption On The Top: Netanyahu's Wife Charged With Misuse of Public Funds for Meals
  • 6 hours Could oil demand collapse rapidly? Yup, sure could.
  • 2 hours Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
  • 3 hours Russia's Energy Minister says Oil Prices Balanced at $75, so Wants to Increase OPEC + Russia Oil by 1.5 mbpd
  • 3 hours U.S. Withdraws From U.N. Human Rights Council
  • 6 hours Gazprom Exports to EU Hit Record
  • 11 hours China’s Plastic Waste Ban Will Leave 111 Million Tons of Trash With Nowhere To Go
  • 7 hours OPEC Meeting Could End Without Decision - Irony Note Added from OPEC Children's Book
  • 5 hours What If Canada Had Wind and Not Oilsands?
  • 5 hours "The Gasoline Car Is a Car With a Future"
  • 17 hours EVs Could Help Coal Demand
  • 1 day WE Solutions plans to print cars
  • 6 hours Sell out now or hold on?
Alt Text

Saudi Aramco Looks To Double Refining Capacity

Saudi Aramco looks to almost…

Alt Text

China Deals Shocking Blow To Solar Industry

China surprised the markets by…

Nick Cunningham

Nick Cunningham

Nick Cunningham is a freelance writer on oil and gas, renewable energy, climate change, energy policy and geopolitics. He is based in Pittsburgh, PA.

More Info

Trending Discussions

Have Oil Prices Hit The Sweet Spot?

Oil Drilling Platform

Friday, June 10, 2016

In the latest edition of the Numbers Report, we’ll take a look at some of the most interesting figures put out this week in the energy sector. Each week we’ll dig into some data and provide a bit of explanation on what drives the numbers.

Let’s take a look.

1. Speculators held their breath ahead of OPEC meeting

(Click to enlarge)

- Ahead of the OPEC meeting, speculators backed off trading, pausing to wait out the result. Both long and short positions fell to their lowest levels since January.
- OPEC meetings typically see large speculative movements, as traders position themselves to find a margin and exploit an expected price movement following the result of the group’s decision.
- The calm ahead of the OPEC meeting on June 2 highlights the group’s diminished importance for oil markets, as well as the market consensus that OPEC won’t be able to agree on coordinated action.
- Also, the decline in speculation has occurred at a time of lower oil price volatility (which is not a coincidence). Oil prices have firmed up, scaring away speculative bets.
- "It’s very clear that OPEC is less relevant than U.S. production data," Rob Thummel, a managing director and portfolio manager at Tortoise Capital Advisors LLC, told Bloomberg. "We’re going to trade near $50, plus or minus five bucks, for quite a while.”

2. Rig count bottomed out?

(Click…

To read the full article

Please sign up and become a premium OilPrice.com member to gain access to read the full article.

RegisterLogin

Trending Discussions





Oilprice - The No. 1 Source for Oil & Energy News