Going Once, Going Twice, Sold!

By: Daniel Guttman / August 3, 2017

The market has remained relatively flat early this morning, still trying to seek a direction after yesterday’s DOE stats. Yesterday, the market closed up $0.0175 to $1.6588 on front month Heating Oil, down $0.0165 to $1.6448 on front month RBOB, and up $0.43 to $49.59/bbl on WTI Crude. 

One interesting piece of news out of the Middle East, is that oil is being auctioned off in an effort to increase the value of crude oil. The hopes are that buyers will outbid each other and increase the price of oil.  According to John Driscoll, chief strategist at JTD Energy Services, “They see how many buyers are participating, how aggressive they are and whether they are willing to improve their price.  Sellers are getting a much more indicative and reliable gauge of the market for the crude through this process.”  Iraq held their first ever auction in April, selling two million barrels of Basrah Light.  Another transaction totaled an additional four million barrels of Basrah Light and Basrah Heavy where 17 bidders submitted 25 bids within a two-minute window.  The crude was sold at a higher price than the official price. 

Summer gasoline prices are expected to rise rather than fall over the last part of summer. Crude inventories are falling, which point in the direction of rising prices for the month of August.  Gas prices are up $0.20 at the pump compared to last year at this time and most likely aren’t going to stop there. 

As of 11:05 a.m. EST, the market is still relatively flat across the board. September Heating Oil is down $0.0015 to $1.6573 and September RBOB is up $0.0050 to $1.6498.

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Daniel Guttman

Written by

Daniel Guttman

With a background in wholesale and commercial sales as well as pipeline scheduling, Daniel is currently the Manager, Business Development in the Card Access Fuels department. He is tasked to find new and innovative solutions to increase sales opportunities for the sales team while managing and evaluating internal department processes. He assists with day to day personnel management, customer data analysis, as well as the daily Pacific Pride inventory and pricing direction.


Guttman Energy Daily Market Update Disclaimer – The information contained in this market update is derived from sources believed to be reliable; however this update could include technical inaccuracies or typographical errors and Guttman Energy does not guarantee the accuracy, completeness or reliability of this update. FURTHERMORE, THIS UPDATE IS PROVIDED "AS IS," WHERE IS, WITH ALL FAULTS AND WITHOUT ANY WARRANTY OR CONDITION OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY. GUTTMAN ENERGY ALSO SPECIFICALLY DISCLAIMS ALL EXPRESS AND IMPLIED WARRANTIES. YOU USE THIS UPDATE AT YOUR SOLE RISK. This update and any view or comment expressed herein are provided for informational purposes only and should not be interpreted in any way as recommendation or inducement to buy or sell products, commodity futures or options contracts.


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