• 6 minutes WTI @ 67.50, charts show $62.50 next
  • 11 minutes Saudi Fund Wants to Take Tesla Private?
  • 17 minutes Why hydrogen economics is does not work
  • 2 hours The EU Loses The Principles On Which It Was Built
  • 1 hour Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 2 hours Starvation, horror in Venezuela
  • 11 hours Crude Price going to $62.50
  • 5 mins Don't Expect Too Much: Despite a Soaring Economy, America's Annual Pay Increase Isn't Budging
  • 1 day Anyone Worried About the Lira Dragging EVERYTHING Else Down?
  • 7 hours WSJ *still* refuses to acknowledge U.S. Shale Oil industry's horrible economics and debts
  • 38 mins Again Google: Brazil May Probe Google Over Its Cell Phone System
  • 20 hours Chinese EV Startup Nio Files for $1.8 billion IPO
  • 1 day Oil prices---Tug of War: Sanctions vs. Trade War
  • 1 day Correlation does not equal causation, but they do tend to tango on occasion
  • 1 day Russia retaliate: Our Response to U.S. Sanctions Will Be Precise And Painful
  • 1 day Monsanto hit by $289 Million for cancerous weedkiller
Alt Text

Turkey Turmoil Drags Oil Down

While Turkey might not be…

Alt Text

Iran’s Latest Tactic To Save Market Share

Iran cut oil prices for…

Alt Text

Oil Prices Jump As Saudis Cap Oil Supply

Oil prices rose on Tuesday…

Dan Dicker

Dan Dicker

Dan Dicker is a 25 year veteran of the New York Mercantile Exchange where he traded crude oil, natural gas, unleaded gasoline and heating oil…

More Info

Trending Discussions

Why You Have to be Long the Domestic E+P’s.

The big head fake in energy, the one that has somewhat confused me has been how the fantastic quarterly results from the independent E+P’s has affected the domestic price of crude oil.  Or, in fact, how it has not affected it.  

With massive production growth going again on record in the numbers of companies like EOG Resources (EOG) and Cimarex Energy (XEC) and dozens of others, we’ve seen a glut of crude oil pour into the Mid-continent and literally search for a place to stay.  While I’ve maintained that even a large influx of new crude wouldn’t have enough power to crater the price action of the domestic West Texas Intermediate benchmark, I did bet heavily that the differential between domestic crude and global crude prices would increase.  That just hasn’t happened.  

I made bets on the WTI/Brent spread at around $6, but hoped very much that the killer reports on earnings would translate into glutted supplies and a relatively weak WTI price, at least compared to a global Brent price that is still guided by upwards geopolitical pressures in Libya, Ukraine, Iran and Iraq.  

But proving that oil trading is very tough indeed, the spread has virtually gone unchanged for the last several weeks, remaining at $6 and confounding me and, I imagine, most of the other dedicated oil traders out there.  Perhaps that is the charm, if there is one, in trading oil – like Forrest Gump’s box of…

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