Global Macro Perspectives
Baltic dry index fell 2.6% last week. Panamax and Supramax Index ended in positive territory while Capesize and Handysize Index ended in negative territory. Chinese steel mills are quite unhappy with the new iron ore price setting mechanism and especially iron ore price. Their efforts are to substitute Brazilian and Australian iron ore with Indian […]
Baltic Dirty Tanker Index fell 1.5% last week while Baltic Clean Tanker Index decreased 2.4%. Broker reports suggest increased number of cargoes was being loaded and increased number of inquiries. Despite that the rates are at historically low levels and the reported (alleged) increase in activity has not made any difference. The repercussions on crude […]
Working gas in storage rose 31 Bcf from previous week. Price rebounded on oversold conditions/short squeeze and again returned to downward path. Marginal costs of natural gas production is approximately 4 USD/MMBtu on average, so I would look this price as an equilibrium price and trade accordingly. Chart 1. Natural Gas Futures Chart 2. Working […]
Crude oil stocks rose 2.0 million barrels for week ending 2 April; Gasoline stocks decreased for 2.5 million barrels; Distillate stocks rose 1.0 million barrels; Propane/propylene stocks increased 2.4 million barrels; Other oils stocks rose 0.9 million barrels; Total crude oil and petroleum stocks were 7.2 million barrels higher than the week before. Refinery utilization […]
Total of 21 new drilling were added to already operating ones: 13 additional crude oil rigs and 8 additional natural gas rigs. Chart 1. Baker Hughes U.S. Rig Count Change Chart 2. Baker Hughes Weekly U.S. Rig Count Chart 3. Baker Hughes Monthly World Rig Count
Baltic dry index fell 3.5% in the last week. Capesize Index outperformed and ended in positive territory while Panamax, Supramax and Handysize Index all underperformed and ended in negative territory. The increasing number of longer term time charters negotiated in recent weeks could be a sign what the vessel owners expect from the rates. As […]
Baltic Dirty Tanker Index fell 9.5% last week while Baltic Clean Tanker Index decreased 2.5%. Not much happening here, weak demand is a constraint that catches up with the markets every time the rates increase a bit. Chart 1. Baltic Tanker Indexes Relative Performance Chart 2. Baltic Tanker Indexes
Working gas in storage rose 12 Bcf from previous week. The speculative futures short positions reached all time high last week, massive short squeeze in making. The question is only at which price. Chart 1. Natural Gas Futures Chart 2. Working Gas in Underground Storage Compared with 5 Year Average Chart 3. Natural Gas Futures […]
Crude oil stocks rose 2.9 million barrels for week ending 26 March; Gasoline stocks increased for 0.3 million barrels; Distillate stocks fell 1.0 million barrels; Propane/propylene stocks rose 0.5 million barrels; Other oils stocks increased 0.1 million barrels; Total crude oil and petroleum stocks rose 3.2 million barrels. Refinery utilization rose from 81.1% to 82.6%. […]
Only two additional natural gas drilling rigs last week were added to already operating ones: 15 additional crude oil rigs. Chart 1. Baker Hughes U.S. Rig Count Change Chart 2. Baker Hughes Weekly U.S. Rig Count Chart 3. Baker Hughes Monthly World Rig Count
Baltic dry index fell 8.3% in the last week. Handysize Index outperformed while Capesize, Panamax and Supramax Index all underperformed. The iron ore price fixing saga continues. Chinese steel mills have moved its iron ore sourcing from Brazil and partially Australia to India in an effort to pressure primarily Vale into iron ore price concessions. […]
Working gas in storage rose 11 Bcf from previous week. Price vise the natural gas futures are getting heavily oversold. Chart 1. Natural Gas Futures Chart 2. Working Gas in Underground Storage Compared with 5 Year Average
Crude oil stocks rose 7.2 million barrels for week ending 19 March; Gasoline stocks fell for 2.7 million barrels; Distillate stocks decreased 2.4 million barrels; Propane/propylene stocks were flat; Other oils stocks decreased 1.1 million barrels; Total crude oil and petroleum stocks increased 0.4 million barrels. Refinery utilization rose from 80.6% to 81.1%. Crude oil […]
The number of natural gas drilling rigs steadily increasing; bad news for natural gas price. Chart 1. Baker Hughes U.S. Rig Count Change Chart 2. Baker Hughes Weekly U.S. Rig Count Chart 3. Baker Hughes Monthly World Rig Count
Baltic dry index fell 3.6% in the last week due to massive 18.6% drop in Capesize Index. Panamax, Supramax and Handysize Index ended all in positive territory. The Capesize Index fell due to increased supply of available vessels which outnumbered the also increased number of cargoes needed to be transported and due to capsize/panamax substitution […]