Crude

Tyler Durden's picture

The "Revolver Raid" Arrives: A Wave Of Shale Bankruptcies Has Just Been Unleashed





Back in early 2007, just as the first cracks of the bursting housing and credit bubble were becoming visible, one of the primary harbingers of impending doom was banks slowly but surely yanking availability (aka dry powder) under secured revolving credit facilities to companies across America. This, in effect, was the first snowflake in what would ultimately become the lack of liquidity avalanche that swept away AIG and unleashed the biggest bailout of capitalism in history. Back then, analysts had a pet name for banks calling CFOs and telling them "so sorry, but your secured credit availability has been cut by 50%, 75% or worse" - revolver raids. Well, the infamous revolver raids are back.

 
Tyler Durden's picture

Crude Tumbles On Iran "Deal" Headlines





Despite the "deal" having absolutely no content whatsoever... the headlines:

IRAN OIL, BANK SANCTIONS WILL BE LIFTED ONCE DEAL IMPLEMENTED

...are enough to send the algos scrambling and spark weakness across the crude complex (even though this 'news' is stating what will/may/could/won't happen after June 30th).

 
Tyler Durden's picture

Rig Count Drops For 17th Week With Smallest Decline Of 2015





Crude prices are undecided how to react to this week's 20 rig decline in total rig count to 1028. This is the 17th weekly decline in a row (down over 46% from the highs) but the pace of declines is dropping rapidly as it appears the 'efficiency' has been wrung out for now.

 
Tyler Durden's picture

Futures, Dollar Drift Lower, Oil Slides Ahead Of "Whisper Miss" Payrolls





Unlike yesterday's vertigo-inducing overnight session, today has been a smooth sea by comparison even if one which has flowed from the top left to the bottom right for now, with futures erasing all of the last minute surge which was HFT programmed to sticksave the S&P just green for the year and then some. It is difficult to pinpoint the catalyst that will be today's market narrative although with NFP in just over 24 hours, falling on a holiday which will allow S&P futures just 45 minutes of trading after the BLS report hits before closing for the day, and with the weak ADP not to mention the 0.0% GDP, the "whisper" expectation is for a NFP print that will be well below consensus, somewhere in the mid-100,000s if not worse now that the bartender hiring spree is over. The fact that March payrolls have missed on 6 of the last 7 reports probably adds to the dollar weakness, even if a huge miss tomorrow may just be the catalyst Yellen needs to launch the QE4 trial balloon.

 
Tyler Durden's picture

Central Banking Refuted In One Blog - Thanks Ben!





Blogger Ben’s work is already done. In his very first substantive post as a civilian he gave away all the secrets of the monetary temple. The Bernank actually refuted the case for modern central banking in one blog. The truth is the real world of capitalism is far, far too complex and dynamic to be measured and assessed with the exactitude implied by Bernanke’s gobbledygook. In fact, what his purported necessity for choosing a rate “somewhere” actually involves is the age old problem of socialist calculation.

 
Tyler Durden's picture

WTI Crude Tops $49.50 After Iran Talks Reportedly "Paused"





Crude oil prices continue to push higher. Following the earlier drop in US crude production this week and PEMEX oil rig fire, we now have more substantive headlines from Switzerland:

*IRAN TAKES PAUSE IN TALKS, NO DOCUMENT SEEN TODAY: TASS CITES UNIDENTIFIED EUROPEAN DIPLOMAT

Of course, one wonders who really wants a deal now... with over-supply already a problem, any sanctions-lifting would boomerang back to US Shale firms and further destabilize the illusion of recovery in America.

 
Tyler Durden's picture

Production Cut Sparks Crude Rally As Inventory Rise Reaches Longest Streak On Record





Following last night's pump'n'dump after API inventories exceeded expectations (5.2mm vs 4.2mm exp.), WTI crude prices have dropped to almost a $46 handle and recovered as chatter of "no deal" from Switzerland picks up. DOE reports a 4.766mm barrel build, greater than expected, for the 12th week in a row - the longest streak since records began in 1982. Crude prices are however surging as production dropped wekk-over-week for only the 2nd time this year...

 
bugs_'s picture

America's New Crisis - Peak Oil Storage





Domestic energy production continues to increase despite the anticipated shale shakeout.  The precipitous decline in gasoline prices were welcomed by most but government exise tax revenue was in jeopardy.

 
GoldCore's picture

Gold Flat In Quarter In Dollars But 11% and 5% Higher In Euro and Pounds





Silver surges 6.5% in dollars and 19% and 12% in euros and pounds *Oil and most commodities declined on economic concerns in the quarter (see table)  *U.S. stocks eked out minor gains to new record highs and look toppy *Gold performance impressive given strength of dollar and equities, oil collapse and negative sentiment

 
Tyler Durden's picture

Whiplash Session Sees Furious Buying Of Futures To Defend 50-DMA As New Quarter Begins





It has been another whiplash, rollercoaster, illiquid session which saw US equity futures tumble early overnight driven by a bout of USDJPY and Nikkei selling, only to regain all losses as European, and BIS, traders walked in, and promptly BTFD. In fact at last check, it was as if all the fireworks that took place just a few short hours ago and sent the ES as low as 2037, and below what has become the key support level, the 50-DMA never happened.

 
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