CNBC's Sharon Epperson discusses the day's activity in the commodities markets, and looks ahead to where oil and gold are likely headed tomorrow.
Tuesday, September 14, 2010
Stock Market and Commodities Summary For Tuesday Sept. 14th
Crude oil closed down $0.41 at $76.78 a barrel today. Prices closed near mid range today and saw a corrective pullback from recent gains and were also pressured by some weak economic data coming out of Germany. Bulls still have the slight near term technical advantage. The next near term upside price objective for the bulls is producing a close above solid technical resistance at $80.00 a barrel.
Natural gas closed up 1.7 cents at $3.955 today. Prices closed nearer the session high today and hit another fresh three week high on short covering in a bear market. The bears still have the overall near term technical advantage. A three month old downtrend is still in place on the daily bar chart.
Gold futures closed up $24.90 at $1,272.00 today. Prices closed near the session high today and soared to a fresh contract and all time record high. A sharply lower U.S. dollar and some fresh safe haven investment demand boosted gold higher today. A dour economic report coming out of Germany today spooked the markets in Europe, and that added to buying interest in gold. Now, look for price volatility in the gold market to heat up in the near term, with bigger daily price movements likely, both on the upside and on the downside. Gold bulls still have the strong overall near term and longer term technical advantage.
The U.S. dollar index closed down 72 points at 81.46 today. Prices closed near the session low again today and hit another fresh four week low. Bears have the near term technical advantage and gained more downside momentum today. Bulls' next upside price objective is to close prices above solid technical resistance at last week's high of 83.31.
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Phil Flynn: OPEC Divisions
The Globe and Mail quoted him as saying, "We believe that the market has bottomed in terms of demand and has already begun picking up," he said. "And Saudi Aramco will be responding to the economic recovery that has ensued with appropriate adjustments. But those will be determined collectively and not singly, either by the company or by the kingdom." Of course when the Saudis speak the market listens yet at the same time are they sending a message to other members of the cartel that the kingdom is tired of holding back on production while others profit by taking their market share. Early this morning the OPEC Secretary said in so many words.....Read the entire article.
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Crude Oil Retreats Along With Equities as Economic Data Disappoints
From Oil N Gold Insights.....
Crude oil pulled back in concert with stock markets. Political environment in Japan and economic releases in the UK and the Eurozone took center stage in driving market sentiment. Currently trading at 76.7, the front month WTI contract retreated for the first time in 3 days after soaring to a 1 month high of 78.04 yesterday. Weakness in USD sent precious metals higher. Gold climbed to as high as 1256.9 while silver continued trading above 20. For PGMs, both platinum and palladium strengthened for a second day to 5 week high of 1570 and 4 month high of 541 respectively.
In Japan, Prime Minister Naoto Kan's victory as the head of the ruling Democratic Party of Japan (DPJ) pushed the yen to a 15 year high against the dollar. Kan has been viewed as more tolerant to yen's appreciation than another PM candidate Ichiro Ozawa.
In the Eurozone, ZEW's index signaled investors lost confidence on Eurozone's economy. The 'economic sentiment' index for the 16-nation region plummeted to 4.4 in September from 15.8 in August. The market had anticipated a milder drop to 14.5. The reading specifically for Germany slumped to -4.3 in August from 14 a month ago. In the UK, headline CPI surprisingly rose to +3.1% y/y in August. Inflation has been overshooting BOE's target of +3% for 6 straight months, increasing the difficulties for the central bank to implement measures to stimulate growth.
Gold/silver ratio has dropped to 62.2 yesterday from 64.4 earlier in the month and above 70 earlier this year, indicating silver's outperformance. However, we have become more cautious of a correction in silver price from current price level. In fact, silver is the only precious metal under our coverage that is oversupplied due to rising mine production.
PGM prices rallied as a labor strike at the South African PGM producer Northam Platinum entered a second week. According to the company, about 80% of the mine's 6 800 workers were on the strike.
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Crude oil pulled back in concert with stock markets. Political environment in Japan and economic releases in the UK and the Eurozone took center stage in driving market sentiment. Currently trading at 76.7, the front month WTI contract retreated for the first time in 3 days after soaring to a 1 month high of 78.04 yesterday. Weakness in USD sent precious metals higher. Gold climbed to as high as 1256.9 while silver continued trading above 20. For PGMs, both platinum and palladium strengthened for a second day to 5 week high of 1570 and 4 month high of 541 respectively.
In Japan, Prime Minister Naoto Kan's victory as the head of the ruling Democratic Party of Japan (DPJ) pushed the yen to a 15 year high against the dollar. Kan has been viewed as more tolerant to yen's appreciation than another PM candidate Ichiro Ozawa.
In the Eurozone, ZEW's index signaled investors lost confidence on Eurozone's economy. The 'economic sentiment' index for the 16-nation region plummeted to 4.4 in September from 15.8 in August. The market had anticipated a milder drop to 14.5. The reading specifically for Germany slumped to -4.3 in August from 14 a month ago. In the UK, headline CPI surprisingly rose to +3.1% y/y in August. Inflation has been overshooting BOE's target of +3% for 6 straight months, increasing the difficulties for the central bank to implement measures to stimulate growth.
Gold/silver ratio has dropped to 62.2 yesterday from 64.4 earlier in the month and above 70 earlier this year, indicating silver's outperformance. However, we have become more cautious of a correction in silver price from current price level. In fact, silver is the only precious metal under our coverage that is oversupplied due to rising mine production.
PGM prices rallied as a labor strike at the South African PGM producer Northam Platinum entered a second week. According to the company, about 80% of the mine's 6 800 workers were on the strike.
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Short Term Buy Signal on Gold!
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Crude Oil Is Little Changed as Enbridge Works on Pipeline
“We are all waiting to see what happens with the Enbridge pipeline,” said Carl Larry, president of Oil Outlooks and Opinions LLC in Houston. “Any news that comes out will have the ability to move the market.” Crude oil for October delivery fell 9 cents to $77.10 a barrel at 9:11 a.m. on the New York Mercantile Exchange. Futures settled at $77.19 yesterday, the highest level since Aug. 11.
Brent crude oil for October settlement, which expires tomorrow, slipped 5 cents to $78.98 a barrel on the ICE Futures Europe exchange in London. The more actively traded November contract dropped 13 cents to $78.94. Canada is the largest exporter of crude to the U.S., sending 2.2 million barrels a day in June, according to the Energy Department. Refiners in the region may obtain supplies from Cushing, Oklahoma, the Midwest oil-storage hub, driving up futures traded in New York.
From Bloomberg News
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Crude Oil Support, Resistance and Pivot Point Numbers For Tuesday Morning
Crude oil was lower overnight as it consolidates some of the rally off August's low. Stochastics and the RSI remain bullish signaling that sideways to higher prices are possible near term.
If October extends the rally off August's low, the 62% retracement level of the decline off August's high crossing at 78.58 is the next upside target. Closes below the 20 day moving average crossing at 74.48 would confirm that a short term top has been posted.
First resistance is Monday's high crossing at 77.50
Second resistance is the 62% retracement level off August's high crossing at 78.58
Crude oil pivot point for Tuesday morning is 77.20
First support is the 20 day moving average crossing at 74.48
Second support is the reaction low crossing at 72.63
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If October extends the rally off August's low, the 62% retracement level of the decline off August's high crossing at 78.58 is the next upside target. Closes below the 20 day moving average crossing at 74.48 would confirm that a short term top has been posted.
First resistance is Monday's high crossing at 77.50
Second resistance is the 62% retracement level off August's high crossing at 78.58
Crude oil pivot point for Tuesday morning is 77.20
First support is the 20 day moving average crossing at 74.48
Second support is the reaction low crossing at 72.63
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Monday, September 13, 2010
Where is Crude Oil and Gold Headed on Tuesday?
CNBC's Bertha Coombs discusses the day's activity in the commodities markets, and looks ahead to where oil and gold are likely headed tomorrow.
Stock Market and Commodities Commentary For Monday Evening
Crude oil closed higher on Monday as it extends the rally off August's low. Profit taking tempered early gains and the mid range close sets the stage for a steady opening on Tuesday. Stochastics and the RSI remain bullish signaling that sideways to higher prices are possible near term. If October extends the rally off August's low, the 62% retracement level of the August decline crossing at 78.58 is the next upside target. Closes below the 20 day moving average crossing at 74.43 would temper the near term friendly outlook. First resistance is today's high crossing at 78.04. Second resistance is the 62% retracement level of the August decline crossing at 78.58. First support the 20 day moving average crossing at 74.43. Second support is August's low crossing at 70.76.
Natural gas closed higher due to short covering on Monday while extending the trading range of the past three weeks. The mid range close sets the stage for a steady to higher opening on Tuesday. Stochastics and the RSI are neutral to bullish hinting that a short covering rebound is possible near term. Closes above the 20 day moving average crossing at 3.973 are needed to confirm that a short term low has been posted. If October renews this year's decline, weekly support crossing at 3.225 is the next downside target. First resistance is the reaction high crossing at 3.946. Second resistance is the 20 day moving average crossing at 3.973. First support is August's low crossing at 3.697. Second support is weekly support crossing at 3.225.
Gold closed lower due to profit taking on Monday and below the 10 day moving average crossing at 1248.80 signaling that a short term top might be in or is near. Stochastics and the RSI are overbought, diverging and are turning bearish hinting that additional profit taking is possible near term. Closes below the 20 day moving average crossing at 1240.20 would confirm that a double top with June's high has been posted. If October renews the rally off July's low, June's high crossing at 1267.10 is the next upside target. First resistance is last Wednesday's high crossing at 1263.20. Second resistance is June's high crossing at 1267.10. First support is the 20 day moving average crossing at 1240.20. Second support is the reaction low crossing at 1232.40.
The U.S. Dollar closed sharply lower on Monday and below trading range support crossing at 82.23. The low range close sets the stage for a steady to lower opening on Tuesday. Stochastics and the RSI are diverging and are turning neutral signaling that sideways to lower prices are possible near term. If December extends the decline off August's high, August's low crossing at 80.75 is the next downside target. If December renews the rally off August's low, the reaction high crossing at 84.94 is the next upside target. First resistance is last Tuesday's high crossing at 83.29. Second resistance is August's high crossing at 83.96. First support is today's low crossing at 82.02. Second support is August's low crossing at 80.75.
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Commodity Corner: Oil Gets Boost from China, Pipeline Closure
The October crude oil futures price increased by nearly 1% Monday on news about China's industrial production growth rate.
Oil settled at $77.19 a barrel, a 74-cent increased from Friday, after the National Bureau of Statistics of China reported the country's August 2010 industrial production rate was 13.9% higher than the comparable figure for August 2009. Broken down by various sectors, the government agency reported year on year increases of 12.9% in raw chemical material and chemical product manufacturing; 20.1% in transport equipment manufacturing; and 14.9% in the production and supply of electricity, gas, and water.
Also supporting the oil futures price Monday was the ongoing closure of a key segment of Enbridge's Lakehead System near Chicago following a leak reported last Thursday. Enbridge announced Monday that it had recovered all but approximately 50 of the 6,100 barrels of crude that had leaked from the pipeline. The company had no current estimate of when it might restart the line, but it was working with shippers to divert crude oil volumes to other available pipelines and storage facilities.
Oil traded within a range from $76.36 to $78.04 Monday.
A suddenly active Atlantic hurricane season, and the possibility that energy infrastructure in the Gulf of Mexico will be in the path of a tropical system, helped to nudge the natural gas price toward $4.00 Monday. Gas for October delivery settled at $3.94 per thousand cubic feet, a six-cent gain from Friday, with the existence of three systems circulating in the tropics. In the west-central Caribbean, a broad, poorly organized low-pressure system was moving west-northwestward Monday afternoon. The National Hurricane Center was giving the system a medium chance (40%) of developing into a tropical cyclone by Wednesday afternoon.
Out in the mid-Atlantic, Hurricane Igor was packing maximum sustained winds of 150 miles per hour late Monday morning. Forecasters were expecting the storm to follow a northwestward track and become centered approximately 500 miles northeast of the Lesser Antilles by Thursday morning. Another system, Tropical Storm Julia, was churning near the Cape Verde Islands Monday afternoon and moving in a west-northwestward direction at 13 miles per hour. Thanks in part to shearing conditions produced by Igor, forecast models anticipate that Julia will become a low end hurricane and then weaken into a tropical storm.
The October natural gas futures price fluctuated from $3.80 to $3.97. Gasoline futures increased by a penny to settle at $1.98 a gallon Monday. The intraday range for gasoline was $1.97 to $2.01.
From Rigzone.Com
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Phil Flynn: Just When You Thought Gas Prices Were Going To Go Down
The impact was felt across the markets as refiners may be forced to reduce runs. This can also increase the demand for higher yielding crudes as well to maximize output. Thanks goodness there is plenty of supply in storage or this could have really been worse. The market seemed to like the Basel rule or maybe they just like the finality of it all. Global blinking regulators agreed on a new set of rules designed to increase banks capital buffers to better be able to withstand large market movements but at the same time gave them more than a few years to get up to those levels.....Read the entire article.
The "Super Cycle" in Gold and How It Will Affect Your Pocketbook in 2010
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Crude Oil Technical Outlook For Monday Morning
If October extends the rally off August's low, the 62% retracement level of the decline off August's high crossing at 78.58 is the next upside target. Closes below the 20 day moving average crossing at 74.43 would confirm that a short-term top has been posted.
First resistance is the overnight high crossing at 77.50
Second resistance is the 62% retracement level of August's high crossing at 78.58
First support is the 20 day moving average crossing at 74.43
Second support is the reaction low crossing at 72.63
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Sunday, September 12, 2010
Gold forms Overbought Rising Wedge at Resistance
From guest blogger Chris Vermeulen from The Gold and Oil Guy....
Precious metals soar as investors flock to gold and silver. But are they looking deep enough to truly understand the current trends at hand?
When reviewing the metals sector I like to look at it from different angles to get a solid understanding of the patterns and trend forming. I follow multiple time frames along with monitoring the gold mining stocks. Gold stocks tend to lead the price of gold bullion and when its out performing the price of gold substantially by 10% or more you should be expecting a pause or pullback in both gold stocks and gold bullion prices temporarily.
Below are a few charts showing the long and short term trends for gold.
Gold Bullion Price – Weekly Trend Chart
Gold continues to be in a strong up trend. The occasional test of support at the major moving averages can provide great long term points for adding to a position. The 50 period average is one which is tested frequently.
Looking at the weekly chart does give me a red flag for the intermediate price of gold. While the trend is clearly up I can’t help but notice the rising wedge which is a bearish pattern. During an uptrend we want to see bull flags and pennants, not a grind higher forming a narrowing range. This grind higher could unfold much similar to the price action of 2005 and 2007 instead of a correction but I am leaning more towards a sharp correction because more people are bullish on gold now then they were during the June top.
For those looking at gold as a long term investment/currency can be patient and wait for a pullback to a major moving average before adding to your position then you would lower your overall risk for this position. You will understand after reviewing the following charts.
GLD – Gold Bullion ETF – Daily Chart
(This fund moves identical to spot gold price so even though I am showing you GLD fund, the spot gold chart is doing the exact same thing.) As you can see below the price of gold is trading at resistance and becoming choppy. Buying gold at resistance does not make much sense to me. There is a very good chance gold will move lower in the coming weeks providing a better price for long term investors to add to their positions. For example, if you waited for the weekly chart to pullback to the 50 period moving average that would be like buying this GLD fund at $113, which is an 8% discount.
Gold continues to hold up within its channel but this week we could see fireworks if the price breaks below the blue support channels.
Gold:Gold Stocks Comparison – Daily Chart
This chart shows the performance of gold vs gold stocks from the Feb 2010 lows. The blue line is the performance of gold stocks while the red line shows gold’s performance. It’s obvious that when everyone is bullish on gold they buy the highly leverages gold investments in order to take full advantage of the upcoming move. This is much like reading the put/call ratio for trading the SP500 and it measures the bullishness of the precious metals sector.
When gold equities are strongly out performing gold bullion you should be thinking about raising your stops, taking partial profits and or hedging your long term position until the sector stabilizes is not trading at a premium.
Precious Metals Sector Trading Conclusion:
In short, Gold is in a strong up trend and will remain inrecious Metals Sector Trading Conclusion: one for a long time. Commodities have higher percentage of going parabolic. That means there’s a small chance that gold continues to move up quicker and quicker surging hundreds of dollars in a very short period of time. That being said, it’s not very likely, and from a technical point of view those buying gold now are paying a premium in my opinion.
Being a patient trader is not easy, but waiting for low risk entry points is very rewarding on many different levels when done correctly.
Get Chris Vermeulen'a detailed ANALYSYS and TRADES for Oil, US dollar, Treasury notes, the broad market, and Sectors. Be sure to join his ETF Trading Service at The Gold and Oil Guy.Com
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Precious metals soar as investors flock to gold and silver. But are they looking deep enough to truly understand the current trends at hand?
When reviewing the metals sector I like to look at it from different angles to get a solid understanding of the patterns and trend forming. I follow multiple time frames along with monitoring the gold mining stocks. Gold stocks tend to lead the price of gold bullion and when its out performing the price of gold substantially by 10% or more you should be expecting a pause or pullback in both gold stocks and gold bullion prices temporarily.
Below are a few charts showing the long and short term trends for gold.
Gold Bullion Price – Weekly Trend Chart
Gold continues to be in a strong up trend. The occasional test of support at the major moving averages can provide great long term points for adding to a position. The 50 period average is one which is tested frequently.
Looking at the weekly chart does give me a red flag for the intermediate price of gold. While the trend is clearly up I can’t help but notice the rising wedge which is a bearish pattern. During an uptrend we want to see bull flags and pennants, not a grind higher forming a narrowing range. This grind higher could unfold much similar to the price action of 2005 and 2007 instead of a correction but I am leaning more towards a sharp correction because more people are bullish on gold now then they were during the June top.
For those looking at gold as a long term investment/currency can be patient and wait for a pullback to a major moving average before adding to your position then you would lower your overall risk for this position. You will understand after reviewing the following charts.
GLD – Gold Bullion ETF – Daily Chart
(This fund moves identical to spot gold price so even though I am showing you GLD fund, the spot gold chart is doing the exact same thing.) As you can see below the price of gold is trading at resistance and becoming choppy. Buying gold at resistance does not make much sense to me. There is a very good chance gold will move lower in the coming weeks providing a better price for long term investors to add to their positions. For example, if you waited for the weekly chart to pullback to the 50 period moving average that would be like buying this GLD fund at $113, which is an 8% discount.
Gold continues to hold up within its channel but this week we could see fireworks if the price breaks below the blue support channels.
Gold:Gold Stocks Comparison – Daily Chart
This chart shows the performance of gold vs gold stocks from the Feb 2010 lows. The blue line is the performance of gold stocks while the red line shows gold’s performance. It’s obvious that when everyone is bullish on gold they buy the highly leverages gold investments in order to take full advantage of the upcoming move. This is much like reading the put/call ratio for trading the SP500 and it measures the bullishness of the precious metals sector.
When gold equities are strongly out performing gold bullion you should be thinking about raising your stops, taking partial profits and or hedging your long term position until the sector stabilizes is not trading at a premium.
Precious Metals Sector Trading Conclusion:
In short, Gold is in a strong up trend and will remain inrecious Metals Sector Trading Conclusion: one for a long time. Commodities have higher percentage of going parabolic. That means there’s a small chance that gold continues to move up quicker and quicker surging hundreds of dollars in a very short period of time. That being said, it’s not very likely, and from a technical point of view those buying gold now are paying a premium in my opinion.
Being a patient trader is not easy, but waiting for low risk entry points is very rewarding on many different levels when done correctly.
Get Chris Vermeulen'a detailed ANALYSYS and TRADES for Oil, US dollar, Treasury notes, the broad market, and Sectors. Be sure to join his ETF Trading Service at The Gold and Oil Guy.Com
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Oil Rises For Second Day Amid Optimism About Economic Recovery in the U.S.
“It’s that optimism in the market,” said Jonathan Barratt, managing director at Commodity Broking Services Pty in Sydney. “The data out of China was quite supportive. The whole world is looking for a means to create confidence. As result of that being created you’ll see more demand, or an expectation for more consumption of oil.” The October contract rose as much as 47 cents, or 0.6 percent, to $76.92 a barrel in electronic trading on the New York Mercantile Exchange, and was at $76.80 at 9:32 a.m. Sydney time. It gained $2.20, or 3 percent, to $76.45 on Sept. 10. Prices have fallen 3.2 percent this year.
Enbridge Energy Partners LP on Sept. 9 shut its Line 6A, part of a system that can transport 670,000 barrels a day from Canada. The country is the largest source of U.S. imports, sending 2.2 million barrels a day in June, according to the Energy Department. Brent crude oil for October settlement added as much as 31 cents, or 0.4 percent, to $78.47 a barrel on the London-based ICE Futures Europe exchange. The contract rose 69 cents, or 0.9 percent, to $78.16 on Sept. 10.
Bloomberg reporter Ben Sharples can be reached at bsharples@bloomberg.net
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Korea National Oil to Sell as Much as $1 Billion Debt to Fund Acquisitions
China, second to the U.S. as a global energy consumer, and South Korea, the world’s biggest importer of liquefied natural gas, are being joined by Japan and India in seeking to buy stakes in the resources needed to boost their economies. State and private companies in the four nations have bid for more than $56 billion worth of energy resources worldwide this year, according to data compiled by Bloomberg.
China Petrochemical Corp. in April paid $4.65 billion, about 20 percent more than analysts expected, for a 9 percent stake in oil sands producer Syncrude Canada Ltd. Together with Cnooc Ltd., the Chinese oil company may offer at least $7 billion for Brazil oil assets and a stake in OGX Petroleo & Gas Participacoes SA, two people with knowledge of the matter said on Sept. 10.....Read the entire article.
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China's Outlook Dominates the Market
While market sentiment was dominated by renewed concerns over the stability of the European banking system earlier in the week, better than expected bond auctions in Portugal and Poland eased the worries. Confidence was further boosted by the weekly drop in US jobless claims and China's trade data which suggested the country's demand for foreign goods remained strong.
Oil started the week moving within a narrow range with a soft tone but strength in stock markets drove price higher. Prices were further lifted after reports of shutdowns of production facilities. Gold jumped earlier in the week as sovereign risks in the Eurozone spurred demand for safe havens. However, failure to breach the record high triggered selloff.
Crude Oil
Oil price jumped on Friday as better-than-expected data from the US and China boosted optimism of the demand outlook. The front-month WTI contract jumped to a 4-week high of 76.73 before settling at 76.45, up +2.48% on weekly basis. Fuel prices also soared with heating oil and gasoline futures gaining more than +2%. Brent crude also rose but the increase was milder than WTI crude.
Movement of WTI-Brent spread was dramatic last week. The front-month WTI contract had widened to a $3.65 discount to ICE Brent on Tuesday (Sep 7) before narrowing to $1.71 on Friday. The change was mainly driven by shutdown of the largest pipeline operated by Enbridge Energy Partners due to a leak. According to the company, the pipeline can carry 670K bpd of oil from Canada to refineries in the US Midwest. The direction of the WTI-Brent spread in the near-term depends on when the pipeline can resume operations. Indeed, Enbridge closed another line, which transports oil from Indiana to Ontario, 6 weeks ago after a spill in Michigan. Repair of the line has been finished but US regulators has not yet permitted it to resume operations.
We do not expect WTI crude oil to return parity or even at premium to Brent crude in the short term as total crude oil inventory remains at record high and Cushing stock is abundant......Read the entire Oil N' Gold Focus Report
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Oil started the week moving within a narrow range with a soft tone but strength in stock markets drove price higher. Prices were further lifted after reports of shutdowns of production facilities. Gold jumped earlier in the week as sovereign risks in the Eurozone spurred demand for safe havens. However, failure to breach the record high triggered selloff.
Crude Oil
Oil price jumped on Friday as better-than-expected data from the US and China boosted optimism of the demand outlook. The front-month WTI contract jumped to a 4-week high of 76.73 before settling at 76.45, up +2.48% on weekly basis. Fuel prices also soared with heating oil and gasoline futures gaining more than +2%. Brent crude also rose but the increase was milder than WTI crude.
Movement of WTI-Brent spread was dramatic last week. The front-month WTI contract had widened to a $3.65 discount to ICE Brent on Tuesday (Sep 7) before narrowing to $1.71 on Friday. The change was mainly driven by shutdown of the largest pipeline operated by Enbridge Energy Partners due to a leak. According to the company, the pipeline can carry 670K bpd of oil from Canada to refineries in the US Midwest. The direction of the WTI-Brent spread in the near-term depends on when the pipeline can resume operations. Indeed, Enbridge closed another line, which transports oil from Indiana to Ontario, 6 weeks ago after a spill in Michigan. Repair of the line has been finished but US regulators has not yet permitted it to resume operations.
We do not expect WTI crude oil to return parity or even at premium to Brent crude in the short term as total crude oil inventory remains at record high and Cushing stock is abundant......Read the entire Oil N' Gold Focus Report
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Saturday, September 11, 2010
Learn How To Trade Crude Oil In 90 Seconds
If you're not a member, join today and learn how MarketClub and our "Trade Triangle" technology can help you hunt down profits in crude oil.
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Crude Oil Stocks For Volatile Oil Prices
Stephanie Link, director of research for TheStreet, reveals her top energy stocks and how investors can protect their portfolio against risk.
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Every Once in a While, You Find Something Amazing....Check out Trend TV
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ONGC, Indian Oil Share Sales May Raise $4.1 Billion for Indian Government
“The plan is to complete the disinvestments before the end of the fiscal year,” Sundareshan said. “It will be Indian Oil followed by ONGC. In the last quarter, hopefully.”
Prime Minister Manmohan Singh wants to raise 400 billion rupees from asset sales in the year ending March 31 to help fund the construction of roads, ports, hospitals and schools. The government said in January it can sell shares in as many as 68 companies as it seeks to shrink its budget deficit to 5.5 percent of gross domestic product this fiscal year from an estimated 6.9 percent last year.
Indian Oil is building a refinery in Orissa state with an annual processing capacity of 15 million tons. The refiner plans to spend 145 billion rupees in the financial year ending March compared with 135 billion rupees last year to increase capacity, Serangulam V. Narasimhan, finance director, said Jan. 6.
ONGC will complete the valuation on BP Plc’s assets in Vietnam in a few weeks as it seeks to buy them in partnership with Vietnam Oil & Gas Group, Sundareshan also said.
State owned ONGC is considering all options for buying partner BP’s stake in a Vietnam gas field, Chairman R.S. Sharma said July 22. The London based company, which is raising funds to pay for the Gulf of Mexico oil spill, agreed July 20 to sell fields in the U.S., Canada and Egypt to Houston based Apache Corp. for $7 billion and plans to dispose of assets in Pakistan and Vietnam.
Bloomberg reporter Natalie Obiko Pearson can be reached at npearson7@bloomberg.net.
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