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Nova Energy Market Insights

Nova Energy Market Insights provides actionable information through the analysis of market trends, pricing models, and industry news. The blog delivers Nova Energy clients a customized perspective into the financial markets that have a direct impact on their business today.

Speculators Challenge Historic Long Positioning as Global Inventories Fall

January 15, 2018 | Comments Off on Speculators Challenge Historic Long Positioning as Global Inventories Fall

Speculative positioning in NYMEX WTI futures is nearing historic levels as net position for Managed Money contracts climbs to 432,650 and the hedge fund ratio jumps to 15.13. Net positioning is firmly above its high of 405,328 made on 2/21/2017 and the hedge fund ratio is 0.07 away from its high of 15.20 formed on …

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US Oil Production Falls, Dollar Continues to Weaken

January 12, 2018 | Comments Off on US Oil Production Falls, Dollar Continues to Weaken

A series of back to back news releases pushed the US dollar significantly lower this week and helped sustain higher prices for crude oil and its products. On Wednesday morning, China released statements saying they may slow or halt the purchase of US treasuries. The announcement comes on the back of increased trade tensions between …

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API Estimates Push Crude Higher; US Dollar Tumbles on Reports China May Slow or Halt US Treasury Purchases

January 10, 2018 | Comments Off on API Estimates Push Crude Higher; US Dollar Tumbles on Reports China May Slow or Halt US Treasury Purchases

ULSD futures traded higher overnight after the API’s release of inventory estimates yesterday at 4:30 pm with prices climbing as high as $2.0844. ULSD’s rally seems overly dependent on crude oil’s price action given the API’s estimates. The American Petroleum Institute estimated crude draws for the week ending 1/5/2018 of -11.19 million while the inventory …

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CFTC COT Update for 1/2/2018

January 8, 2018 | Comments Off on CFTC COT Update for 1/2/2018

A constant stream of bullish events has pushed crude oil and its products higher since the end of November. On December 7, a leak was detected on the Forties Pipeline System in the North Sea. The pipeline was closed for repairs five days later, removing 450,000 bpd of production from the global market. On December …

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EIA Weekly Petroleum Status Report 12/29/2017

January 5, 2018 | Comments Off on EIA Weekly Petroleum Status Report 12/29/2017

Crude oil stocks show consistent draws while distillate and gasoline continue to post builds. For the week ending 12/29/2017, crude oil stocks excluding the strategic petroleum reserve declined by 7.419 million barrels to 424.463 million barrels. Distillate fuel oil stocks climbed 8.899 million to 138.834 million barrels. Total Gasoline stocks rose 4.813 million to 233.187 …

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