Written Commentary
CRUDE OIL
The crude oil market has extended the bounce off the early April low in a sign that the bull camp retains control despite ongoing concerns of a slow recovery in US demand. Crude oil has also thrown off frequent chatter about upcoming increases in OPEC+ production.
While the charts in the gasoline market are not as bullish as the crude oil charts, it is difficult to argue against bullish success this week. However, there have been a-number-of anecdotal stories of rising demand for gasoline and rising pump prices seem to be reflecting good demand.
NATURAL GAS
While we have a difficult time “buying into” the bullish argument for natural gas prices, one can hardly discount the bull’s success. Certainly, Chinese LNG imports are a major component of any bull case, and this week’s flow of Chinese economic news should set the stage for lofty LNG sales to China.
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