Written Commentary
CRUDE OIL
The crude oil complex markets will continue to face demand concerns if COVID case counts continue to increase. Recent US data may be evidence of consistent demand going into the final weeks of the North American summer driving season, and that can underpin prices. December crude oil was able to shake off early pressure on Wednesday and went on to post a moderate gain.
RBOB and ULSD both finished Wednesday with strong gains, but they were weaker overnight. RBOB continues to be the strongest member of the energy complex.
NATURAL GAS
Natural gas has had a bumpy ride since the middle of last week, but it continues to stay clear of last Wednesday’s five-week low. The October contact bounced back from early pressure yesterday and reached a 1 1/2 week high before finishing with a modest gain. Warmer than normal temperatures across much of the US in the 6 to 10-day forecast lent support on ideas it would shore up late-summer air conditioning and power plant demand.
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