Crude oil and refined products were seeing small losses as of this writing in the overnight session on Monday following recent gains and amid flat-to-lower trade in US stock market index futures, despite strength in European shares. The US dollar index was flat. Market participants had a quiet day on the economic calendar before them and would have to look elsewhere for direction.
Asian stocks saw mixed trade, with the Nikkei rising 0.27% and the Shanghai Composite adding 0.21%, but with a 0.45% drop in the Hang Seng. In European news, German manufacturers orders saw a surprise drop of 0.2% in April (consensus called for a 1.0% rise) – but there were strong base effects as March orders growth was revised up from 3.0% to 3.9%. The DAX was up 0.07% as of this writing, trailing gains of 0.26% in France’s CAC 40 and 0.28% in the UK’s FTSE 100. The gains in the latter came amid stronger than expected home price appreciation of 1.3% in May (expectations were at 1.2%), per the Halifax index. Futures for the major US stock market indexes were mixed as of this writing, with Dow futures up 0.13% but S&P 500 futures down 0.02% and Nasdaq futures trading 0.17% weaker. The US dollar index was flat.
The complex saw gains of between 0.4% (RBOB) and 1.2% (WTI) on Friday, with strength in global shares and weakness in the US dollar index. Brent crude gained 58 cents to close at $71.89/bbl and WTI settled 81 cents stronger at $69.62/bbl. On the product end of the barrel, ULSD (HO) settled 1.82 cents higher at $2.1199/g, while RBOB added 97 points for a $2.2115/g settlement price. According to Platts, New York Harbor ULSD and HSHO barge price differentials to spot NYMEX held steady at +0.10c/g and -31.65c/g, respectively, but the ULSHO price differential strengthened by 25 points to -21.50c/g. June propane prices strengthened along with crude on Friday. According to Platts, non-LST prices at Mt. Belvieu rose 1.5 cents to 92.000c/g and LST prices increased by one cent to 91.875c/g. Conway prices saw a smaller rise of 87.5 points to 89.250c/g.
Natural gas futures on NYMEX gained 5.6 cents on Friday with a dip in the rig count, settling at $3.097/mmBtu. As of this morning, things are quiet in the Atlantic with the National Hurricane Center predicting no tropical cyclone activity over the next 48 hours.
