Crude Oil
Darin Newsom with Barchart says grains have had a good run on fund short covering and will need some new bullish news to keep going and get above chart resistance.
As brent crude futures soar toward $100, it’s creating a new battle in the Federal Reserve’s effort to fight inflation. One money manager warns another rate hike is likely.
“A lot of people looked at the smaller landlocked crush facilities and said, ‘Does that make sense?” I think those locations will go away, and I’m not sure they should have been there to begin with,” Fife says.
The license would still bar Venezuela’s PdVSA, the state-owned oil company, from receiving any profits from the oil sales in the joint venture with Chevron.
Rep. Khanna’s Gasoline Export Ban Act of 2022 would grant the president authority to stop exports of gas when prices are high. Other government officials are instead looking at biofuels to mitigate rising gas prices.
U.S. officials are bracing for another potential oil price surge in December, if a European embargo on Russian oil goes into effect and the Saudis refuse to increase production to make up for the drop in oil supply.
The 15 million barrels from the country’s Strategic Petroleum Reserve (SPR) are the final part of a 180-million-barrel release announced in March and does not constitute a further release.
OPEC+’s decision to slash oil production has the White House considering measures aimed at breaking the cartel’s hold on markets or limiting U.S. oil exports should shortages emerge.
An oil price of $120 a ton could send the global economy into a major recession and fan inflation in the U.S., which Jim Wiesemeyer says is already in double digits for rural Americans.
British Prime Minister Liz Truss and President Biden agree a U.S./U.K. trade deal is a low priority. However, the U.K. might lean on the U.S. more in coming weeks as many countries prepare to ban Russian oil.