Wednesday, July 29, 2015

"Oil scores July’s 2nd biggest percentage gain "

We're going lower.
Last I saw the front futures were at $48.82 up 84 cents.
There's a very good chance WTI will undercut the $41.39 low print from earlier this year.

For right now though, upticks. From MarketWatch:

EIA data show U.S. weekly crude supplies, production down
Oil futures settled higher on Wednesday, with U.S. prices scoring their second-biggest one-day percentage gain of July after U.S. government data showed sizable weekly declines in crude supplies and production. 

West Texas Intermediate crude for September delivery CLU5, +1.79%  added 81 cents, or 1.7%, to settle at $48.79 a barrel on the New York Mercantile Exchange. It was trading down at around $47.70 before the supply data. The biggest percentage gain for the month was seen on July 9, when prices rose about 2.2%.
ICE September Brent crude LCOU5, +0.62%  tacked on 8 cents, or 0.2%, to $53.38 a barrel.

Early Wednesday, the U.S. Energy Information Administration reported a drop of 4.2 million barrels in crude supplies for the week ended July 24. Analysts polled by Platts forecast a crude-stock fall of 700,000 barrels, while the American Petroleum Institute Tuesday said supplies declined 1.9 million barrels.

“The reports seems to suggest that, at least in the short term, the bearish news has been over played,” said Phil Flynn, senior market analyst at Price Futures Group. “Despite a recent uptick in [drilling] rigs, it looks like production still may be peaking.”...MORE