Rising inventories are keeping a lid on prices. Inventories are back at levels we last saw in 1999, but the price is still a couple times higher. The market has been remarkably resilient because there are fears of supply disruptions.
The overall supply of crude is very adequate and there is no risk of a shortage out there. This is a big change from 2004 and the early part of 2005.
We came in higher but couldn't hold it, which underscores the weakness of the market. The overall supply of crude is very adequate and there is no risk of a shortage out there.
Prices are much higher on fear of possible further supply disruptions. Continued concern about the Iranian situation and new threats in Nigeria and primary drivers. There were no new reported attacks in Nigeria, just more threats.
The heating oil fundamentals are the worst since the winter of 1998-1999 when the price was 30 cents. There is plenty of supply and prices should be lower. It's too early in the winter but in a few weeks prices should be much lower.