Jason Schenker Crude Quotations

Energy shares took a hit today as crude prices eased. The drag in energy shares, combined with end-of-year low volume, is bringing volatility to the stock markets.

In terms of expectations, the crude build was a bit of a surprise. In theory, it should be mildly more bearish but right now with distillates it is the cold weather.

In terms of expectations, the crude build was a bit of a surprise.

Given OPEC's decision to keep quotas unchanged, Iranian guarantees of oil supply and U.S. statements excluding the possibility of oil sanctions, crude is poised to fall next week.

Massive inventory declines in crude oil are part of a three-month trend, heating oil prices continue their relentless rise, and the supply disruption premium is in full effect. This may only be the beginning; the winter oil bull run has begun.

mitigated some of the upward pressure on crude oil prices.

A further deterioration of the situation in Nigeria, or escalation of nuclear brinkmanship with the Iranians, could push the (New York) price of crude further to 70 dollars.

The crack spread of gasoline has collapsed, and only an escalation of Iranian tensions could buttress crude at this level.

The government's offer of barrels from the Strategic Petroleum Reserve has mitigated some of the upward price pressure on crude oil. The problems with gasoline and natural gas may not be helped even if the SPR is tapped. If refineries are offline and can't run the extra oil, it will make no difference.

I think it is easily conceivable that we could see crude futures hit $70 this week.