Energy Market Recap – 3/23/2017 | RJO FuturesPosted 03/23/2017 3:30PM CT |
May Crude Oil closed down 0.34 at 47.70. This was 0.12 up from the low and 0.78 off the high.
May Heating Oil closed down 0.76 at 149.66. This was 0.16 up from the low and 1.87 off the high.
May RBOB Gasoline finished down 1.31 at 159.94, 2.15 off the high and 0.78 up from the low.
April Natural Gas finished up 0.04 at 3.05, 0.01 off the high and 0.06 up from the low.
With the nearby crude oil contract failing to hold a rally today, the dollar showing signs of strength and this week’s crude oil inventory data hanging over the market it is difficult to call for an end to the March slide in prices. However the market should draft some support from news that Chinese February crude oil imports posted the second highest reading ever. It is also possible that energy prices will garner some support from news that Chinese crude oil imports for the first two months of 2017 managed to rise of 12.5% on a year-over-year basis. Issues that might leave the bear track in prices in place is the idea that the removal of rules on the US energy sector will facilitate more production as well as news that Russia, Iran and Iraq have all escalated shipments to China. The weekly natural gas storage report showed a draw of 150 bcf. Total storage stands at 2,092 bcf or 14.6% above the 5 year average. Over the last four weeks natural gas storage has declined 264 bcf.