Compiled by Sam Fletcher, Senior Writer
Highlights of the Market Watch feature on OGJ Online. Dates are when items appeared online. Subscribers can retrieve full articles online via keyword search.
Oct. 19
Energy prices plummeted Monday in profit taking among speculators after a record-breaking run-up in crude prices.
The November contract for benchmark US sweet, light crudes plunged by $1.26 to $53.67/bbl Monday on the New York Mercantile Exchange, while the December contract lost $1.13 to $52.84/bbl. On the US spot market, West Texas Intermediate at Cushing, Okla., was down by $1.27 to $53.67/bbl. Gasoline for November delivery plummeted by 5.9¢ to $1.35/gal on NYMEX. Heating oil for the same month fell by 3.94¢ to $1.51/gal. However, the November natural gas contract gained 9.7¢ to $6.81/Mcf.
Oct. 20
Energy prices fell Tuesday as futures market speculators continued to lock in profits. Some analysts claimed that the recent spike in energy prices to record levels, as markets built against possible winter shortages, was excessive. But most traders seemed confident that they hadn't yet seen the end of extraordinarily strong energy prices.
The November crude contract dropped to $53.29/bbl on NYMEX. It fell as low as $52.59/bbl in that session after opening at $53.64/bbl but regained part of its loss as some traders were forced to cover open sales positions. The December crude contract lost 20¢ to $52.64/bbl. Spot market WTI also was down $53.29/bbl. Heating oil for November delivery dipped to $1.5085/gal on NYMEX, but gasoline for the same month gained to $1.36/gal. The November natural gas contract shot up to $7.12/Mcf on NYMEX, "driven higher early by record heat in Texas and cool Northeast weather that firmed the cash [spot] market," said analysts at Enerfax Daily. Later in that session, the price continued to rise on technical buying, as existing buy orders above $7/Mcf were triggered.
Oct. 21
Energy futures prices rebounded to new highs Wednesday with an Energy Information Administration report that US distillate fuel stocks plummeted by 1.9 million bbl to 119 million bbl during the week ended Oct. 15.
The expiring November crude contract shot to an all-time high of $55.20/bbl before closing at $54.92/bbl. The December contract jumped to $54.41/bbl. Spot market WTI gained $54.92/bbl. Heating oil for November closed at a record $1.5604/gal after climbing as high as $1.565/gal. Gasoline was up to $1.40/gal. November natural gas soared to $7.62/Mcf, "the highest settlement price in nearly 2 years," said analysts.
Oct. 22
Energy prices continued to climb Thursday, spurred by growing demand and apparently short supplies of heating oil so near the start of the winter heating season.
The December crude contract climbed to $54.47/bbl on NYMEX, while the January contract was up to $54.05/bbl. Spot market WTI dropped to $54.47/bbl to match the new front-month NYMEX contract. Heating oil for November escalated to a record closing of $1.58/gal. Gasoline advanced to $1.41/gal. The November natural gas contract was up to $7.70/Mcf, "confounding conventional wisdom by moving to a new record 2004 settlement price on the same day that a new record for natural gas in underground storage was reported by EIA," said analysts at Enerfax Daily.
Oct. 25
Natural gas prices reached their highest level in more than 18 months on NYMEX Friday, and crude oil closed at another NYMEX record, settling above $55/bbl. The escalating prices stunned traders and analysts.
Heating oil also reached a record during the Friday session, which traders said was becoming a routine event given the turbulent energy complex.
Growth in China's economy and demand for energy combined with fears of short worldwide oil supplies, some analysts noted. The December crude contract climbed by 70¢ to $55.17/bbl, while the January contract increased by 64¢ to $54.69/bbl. Spot WTI held at $54.47/bbl. Heating oil for November continued upward by 1.45¢ to a closing of $1.59/gal. Gasoline for the same month advanced by 2.54¢ to $1.44/gal. The November natural gas contract soared by 40.8¢ to $8.11/Mcf.
