Month: November 2012

Momentary optimism is ruling participants’ thinking so far this session, but global economy is still sending out stark warning. For one, and particularly troubling, is signs that the economic powerhouse that is supposed to carry the EU out of its morass, Germany, is heading into recession, while Japan is faring no better.… Read more

Prices are naturally swinging with sentiment on whether or not fiscal crisis can be averted in both Europe and the US. President Obama and Speaker Boehner both staked out their territory yesterday, but the commentary did not seem much removed from either campaign stance.… Read more

Successive headlines are trumpeting that a deal has been reached on Greece and the Spanish banks. Unfortunately, this has not been received as the panacea previous deals were in the subsequent price action. This skepticism will now be reflected in the focus on the negotiations over the US fiscal cliff.;… Read more

Policymakers toiling over the European fiscal conundrum appear to have reached an agreement over the main trouble spot: Greece. This latest palliative will not be the last for the beleaguered country. Similarly, most assessments of the looming fiscal deadline in the US, conclude with interim relief well short of a comprehensive resolution.… Read more

Concerns for a potential supply disruption waned as tensions between Israel and Gaza eased somewhat. Caution should prevail though amid violent protests in Egypt and deteriorating conditions in Syria. The situation in Gaza was the main driver for oil prices last week, but with Thursday’s cease-fire, and so far, the truce is holding.… Read more

Prices startlingly broke from yesterday’s highs when it seemed like the events in Gaza were entering a “calm period” as a cease-fire was negotiated. Subsequently, denied prices rose over $1.00 off the day’s lows. Participants also took some comfort in Federal Reserve Chairman Bernanke’s commentary which implied, not only future stimulative monetary policy but exhortations to policymakers to find resolution to the looming fiscal cliff.… Read more

January crude oil prices trended higher throughout the US trading hours and broke out to its highest level since October 23rd. Support for the crude oil market came on rising tensions between Israel and Hamas, as well as hopes that US lawmakers could avert the fiscal cliff.… Read more

Ending the week close to the highs should have been enough of a clue of the market’s nervousness over martial Israeli action in Gaza. At this particular moment, negotiators are gathering in Cairo to arrange at least an armistice, while things are sorted out.… Read more

Initial price action yesterday maintained reactive gains from the previous session consequent to Israel’s martial action towards Hamas. A disheartening rise in initial unemployment claims and a poor Philly Fed report, at first, passed without much notice in the oil pits.… Read more

Nothing like a few headlines to shake things up. Those came yesterday after news that Israel had initiated an air strike on Gaza, which took out Hamas’ military commander. But with neither entity controlling oil production of any consequence, the rally only extended to the upper end of consolidation experienced over the last two weeks.… Read more