Month: December 2018

EMEA Weekly Base Oil Report

Base oil trading in Europe, the Middle East and Africa is slowing down ahead of the year’s end and the holiday season, as many operators are planning a two-week break from production.

Some producers are still keen to move stocks of API Group I base oils before the end of December, but this is becoming an uphill struggle with a lack of serious demand and suppliers reluctant to drop prices to very low levels – which still might not be enough to move large quantities. Nevertheless, Group I prices continue to erode both for exports and sales within the region. read more

Today’s Economic Events

10:00 EC OCT Euro-Zone: Industrial Production (MoM) exp: 0.2% prev: -0.3%
13:30 US NOV Consumer Price Index (MoM) exp: 0% prev: 0.3%
13:30 US NOV CPI – Ex Food & Energy (MoM) exp: 0.2% prev: 0.2%
15:30 US W48 Crude Oil Inventories (WoW chg) exp: NA prev: -7323
19:00 US NOV Monthly Budget Satement (B USD) exp: NA prev: -100

General Market Comment

US indices closed mixed on Tuesday. Shares in the Banks (-1.25%), Insurance (-1.22%) and Capital Goods (-0.69%) sectors ended lower while shares in the Household & Personal Products (+1.25%), Food & Staples Retailing (+0.75%) and Food, Beverage & Tobacco (+0.71%) sectors gained traction. On the economic data front, the NFIB small business optimism index declined to 104.8 in November (estimated 107) from 107.4 in October. In other news, the PPI final demand improved by 0.1% MoM (expected to remain flat) compared to an increase of 0.6% in the previous month. The S&P 500 (2,636.78) remains below its 20d moving average (2,696.14 – negative slope) and 50d moving average (2,746.95 – negative slope). read more

Commodity Closing – Europe/Oil-Gas Majors 11.12.18

NEW YORK – Oil futures rose on Tuesday with the help of an increase in global stock markets, an outage reducing Libyan crude production and a gradual decrease in Russian output. U.S. crude oil production is expected to average 12.06 million barrels per day (bpd) in 2019, the U.S. Energy Information Administration said on Tuesday, up 1.18 million bpd from the prior year which is a small upward revision from the previous forecast of a 1.16-million bpd rise. Output this year is forecast to rise by 1.53 million bpd to 10.88 million bpd, down from an earlier estimate of a rise of 1.55 million bpd. read more

Today’s Economic Events

07:45 FR 3Q F Wages (QoQ) exp: 0.3% prev: 0.3%
09:30 UK OCT Unemployment Rate (ILO) exp: 4.1% prev: 4.1%
10:00 GE DEC Zew Survey (Current Situation) exp: 55.5 prev: 58.2
10:00 GE DEC Zew Survey (Econ. Sentiment) exp: -24.7 prev: -24.1
13:30 US NOV PPI – Ex Food & Energy (MoM) exp: 0.1% prev: 0.5%
13:30 US NOV Producer Price Index (MoM) exp: 0% prev: 0.6%

General Market Comment

US indices closed mixed on Monday. Shares in the Banks (-2.33%), Automobiles & Components (-2.15%) and Energy (-1.62%) sectors were under pressure while shares in the Semiconductors & Semiconductor Equipment (+2.03%), Software & Services (+1.6%) and Media (+0.93%) sectors closed in the green zone. On the economic data front, there was no major news to report. The S&P 500 (2,637.72) remains below its 20d moving average (2,703.35 – negative slope) and 50d moving average (2,752.49 – negative slope). read more

Commodity Closing – Europe/Oil-Gas Majors 10.12.18

NEW YORK – Oil fell nearly 2 percent on Monday, echoing the weakness in global stock markets as the focus returned to demand growth concerns and the crude prices erased some of the gains made last week on an OPEC-led decision to cut output.

Today’s Economic Events

07:00 GE OCT Current Account (B EUR) exp: NA prev: 21.1
07:00 GE OCT Exports (MoM) exp: 0.5% prev: -0.7%
07:00 GE OCT Imports (MoM) exp: 0.6% prev: -0.1%
07:00 GE OCT Trade Balance (B EUR) exp: 17.4 prev: 18.3
09:30 UK OCT Industrial Production (MoM) exp: 0% prev: 0%
09:30 UK OCT Manufacturing Production (MoM) exp: -0.1% prev: 0.2%
09:30 UK OCT Trade Balance in Goods (M GBP) exp: -10521 prev: -9731
09:30 UK OCT Trade Balance Non EU (M GBP) exp: -3228 prev: -2343

General Market Comment

US indices dropped lower to finish the week on Friday, pressured by shares in the Semiconductors & Semiconductor Equipment (-3.95%), Technology Hardware & Equipment (-3.69%) and Transportation (-3.68%) sectors. On the economic data front, change in nonfarm payrolls decreased to 155k in November (estimated 198k) from 237k in October while change in manufacturing payrolls added 27k jobs in November (forecasted 18k) vs. 26k a month earlier. In other news, the unemployment rate remained unchanged MoM at 3.7% in November, in-line with estimates. Wholesale inventories improved by 0.8% MoM in October (expected 0.7%) from 0.4% in September. Finally, the University of Michigan sentiment index remained unchanged MoM in a preliminary estimate of 97.5 in December (estimated 97). The S&P 500 (2,633.08) remains below its 20d moving average (2,711.81 – negative slope) and 50d moving average (2,758.02 – negative slope). read more

Commodity Closing – Europe/Oil-Gas Majors 07.12.18

NEW YORK – Oil prices jumped more than 4 percent on Friday as Saudi Arabia and other producers in OPEC, as well as allies like Russia agreed to reduce output to drain global fuel inventories and support the market.