Written Commentary
CRUDE OIL
With crude oil prices failing to benefit from a surprise decline in API crude oil inventories yesterday afternoon of 5.3 million barrels, a slight deflationary vibe flowing from equities and metals, and news that Canadian crude oil rail exports to the US jumped 87% in November the bear camp appears to have an early edge.
The gasoline market appears to have seized a leadership role again with gasoline prices yesterday breaking out to the highest price levels since the world became aware of the coronavirus outbreak in China.
NATURAL GAS
With the natural gas market forging a 3-day low to high rally of $0.28 and managing that rally in the face of bearish US weather and very negative winter/summer spread action, it is possible that some form of long-term fund buying has surfaced.
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