Welcome to NexusFi: the best trading community on the planet, with over 150,000 members Sign Up Now for Free
Genuine reviews from real traders, not fake reviews from stealth vendors
Quality education from leading professional traders
We are a friendly, helpful, and positive community
We do not tolerate rude behavior, trolling, or vendors advertising in posts
We are here to help, just let us know what you need
You'll need to register in order to view the content of the threads and start contributing to our community. It's free for basic access, or support us by becoming an Elite Member -- see if you qualify for a discount below.
-- Big Mike, Site Administrator
(If you already have an account, login at the top of the page)
Personally I think Brent is reacting to international fundamentals that show the oil situation is tightening while WTI is reacting to middle america fundamentals that still show we have too much crude in the US. I suspect this is exasperated by the fact that Shale Drillers are selling/hedging Cal18 and Cal19 crude at $50.
In the meantime, we also see some very large hedge funds who are long Crude and crude exports are at record levels (but that was first half of 2017)
We see the 12 month Z7/Z8 spread has not moved past this year's highs
The 12 month Z8/9 and the Z9/Z0 spreads are at multi year highs
Looking at last year seasonally the spread rose between Nov and Dec and did not rollover really end of May
But last year was different as in the spread was at a low in early NOv before rising
The previous year i.e. Nov/Dec 2015 showed a different picture where the spread declined from Oct all through Dec
So what does all this mean? Trying to figure out if the Z8/9 spread is ready to rollover or not?
First there was the thwarted missile attack, then the announcement of a series of very high profile arrests of certain key figures in an anti-corruption crackdown, then Donald Trump tweeted about wanting the Aramco IPO to take place on NYSE and more recently the helicopter crash killing several senior officials including Prince Bin-Muqrin.