Analysis and Recommendations: Crude Oil touched a record low of 80.38 and bounced to trade at 80.92 down 93 cents for the day. Brent Oil is down 79 cents
Analysis and Recommendations:
Crude Oil touched a record low of 80.38 and bounced to trade at 80.92 down 93 cents for the day. Brent Oil is down 79 cents at 84.62. OPEC continues to increase production to offset the fall in prices as the organizational members try to price the US out of the markets. Oil has collapsed into a bear market as shale supplies boost U.S. output to the most in almost 30 years and global demand growth weakens. The largest producers in the Organization of Petroleum Exporting Countries are responding by cutting prices, sparking speculation that they will compete for market share rather than reduce supply.
The average regular gasoline price in the U.S. fell 0.9 cents a gallon to $3.177, Heathrow, Florida-based motoring group AAA said on its website today. That’s the lowest since February 2011.
U.S. crude stockpiles probably climbed for a second week to 364.2 million barrels, according to the median estimate in a Bloomberg News survey of nine analysts before the Energy Information Administration report tomorrow. Production rose to 8.88 million a day in the week ended Oct. 3, the most since March 1986, said the Energy Department’s statistical arm.
OPEC, which supplies about 40 percent of the world’s crude, is raising output amid speculation its members are fighting for market share. The group pumped 30.47 million barrels a day in September, the most since August 2013, its monthly report on Oct. 10 showed.
Venezuelan President Nicolas Madera gave instructions to ask for an emergency meeting of OPEC, the country’s foreign ministry said in a post on its Twitter account on Oct. 10. Kuwait hasn’t received an invitation to hold an emergency session to consider cutting output, the country’s Oil Minister Ali Al-Omair told the official Kuwait News Agency. Youcef Yousfi, Algeria’s energy minister said Oct. 12 his government is “tranquil” about prices.
FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports.
WEEKLY
This Week in Petroleum
Release Schedule: Wednesday @ 1:00 p.m. EST (schedule)
Gasoline and Diesel Fuel Update
Release Schedule: Monday between 4:00 and 5:00 p.m. EST (schedule)
Weekly Petroleum Status Report
Release Schedule: The wpsrsummary.pdf, overview.pdf, and Tables 1-14 in CSV and XLS formats, are released to the Web site after 10:30 a.m. (Eastern Time) on Wednesday.
Today’s economic releases actual vs. forecast:
Cur. |
Event |
Actual |
Forecast |
Previous |
|||
|
AUD |
Consumer Sentiment |
0.9% |
|
-4.6% |
|
|
|
CNY |
CPI (MoM) (Sep) |
0.5% |
0.4% |
0.2% |
|
|
|
CNY |
CPI (YoY) (Sep) |
1.6% |
1.7% |
2.0% |
|
|
|
CNY |
PPI (YoY) (Sep) |
-1.8% |
-1.6% |
-1.2% |
|
|
|
JPY |
Industrial Production |
-1.9% |
-1.5% |
-1.5% |
|
|
|
EUR |
German CPI (MoM) |
0.0% |
0.0% |
0.0% |
|
|
|
EUR |
ECB President Draghi |
|
|
|
|
|
|
GBP |
Average Earnings Index |
0.7% |
0.7% |
0.6% |
|
|
|
GBP |
Claimant Count |
-18.6K |
-35.0K |
-33.2K |
||
|
GBP |
Unemployment Rate |
6.0% |
6.1% |
6.2% |
|
|
|
USD |
Core PPI (MoM) (Sep) |
|
0.1% |
0.1% |
|
|
|
USD |
Core Retail Sales |
|
0.3% |
0.3% |
|
|
|
USD |
NY Empire State |
|
20.50 |
27.54 |
|
|
|
USD |
PPI (MoM) (Sep) |
|
0.1% |
0.0% |
|
|
|
USD |
Retail Sales (MoM) |
|
-0.1% |
0.6% |
|
|
|
USD |
Business Inventories |
|
0.4% |
0.4% |
|
|
|
USD |
Federal Budget |
|
80.9B |
-129.0B |
|
|
|
USD |
Beige Book |
|
|
|
|
|
|
EUR |
ECB President Draghi |
Upcoming Economic Events that you should be monitoring:
Cur. |
Event |
Actual |
Forecast |
Previous |
|||
|
NZD |
Business NZ PMI (Sep) |
|
|
56.5 |
|
|
|
EUR |
Core CPI (YoY) (Sep) |
|
0.7% |
0.7% |
|
|
|
EUR |
CPI (MoM) (Sep) |
|
0.4% |
0.1% |
|
|
|
EUR |
CPI (YoY) (Sep) |
|
0.3% |
0.3% |
|
|
|
USD |
Initial Jobless Claims |
|
290K |
287K |
|
|
|
CAD |
Manufacturing Sales |
|
-1.6% |
2.5% |
|
|
|
USD |
Industrial Production |
|
0.4% |
-0.1% |
|
|
|
USD |
Phil Fed Manufacturing |
|
20.0 |
22.5 |
Government Bond Auction
Date Time Country Auction
Oct 14 08:30 Spain 6 & 12M T-bill auction
Oct 14 09:30 Belgium 3 & 12M T-bill auction (Jan & Oct 2015)
Oct 15 09:03 Sweden Bond auction
Oct 15 09:30 Germany Eur 4.0bn Sep 2016 Schatz auction
Oct 16 08:30 Spain Bono/Obligacion auction
Oct 16 09:30 UK Auctions 0.125% 2024 I/L Gilt
Oct 16 15:00 US Announces details of 30Y TIPS auction on Oct 23