DIRS.INFO The most relevant business & tech news

The combined position fell to 447 million barrels (23rd percentile for all weeks since 2013) down from 534 million barrels (38th percentile) seven days earlier. Funds sold the equivalent of 99 billion cubic feet over the seven days ending on April 25, after buying a net total of 1,287 billion cubic feet in the previous eight weeks. The position slipped to 12 billion cubic feet net short (31st percentile for all weeks since 2006) from 87 billion cubic feet net long (34th percentile) a week earlier. Stocks were 280 billion cubic feet (+16% or +0.61 standard deviations) above the prior ten-year seasonal average on April 21, up from a deficit of 263 billion cubic feet (-8% or -0.98 standard deviations) on Jan. 1. Related columns:- Oil market has absorbed surprise production cut by OPEC⁺ (April 26, 2023)- Oil buying slows amid renewed concerns about economy (April 24, 2023)- Oil prices stall as short-covering rally is completed (April 17, 2023)John Kemp is a Reuters market analyst.

The most recent week saw purchases of NYMEX and ICE WTI (+12 million), Brent (+8 million), U.S. gasoline (+2 million) and European gas oil (+1 million) but sales of U.S. diesel (-3 million). But in products, the long-short ratio has increased to only 2.69:1 (40th percentile) from 2.39:1 (38th percentile) on March 21. And in middle distillates, such as gas oil and ultra-low sulphur diesel, the ratio has actually fallen slightly to 1.70:1 (33rd percentile) from 1.78:1 (35th percentile). Even on the crude side, however, the end of the short-covering process has sapped oil prices of some of their upward short-term momentum. U.S. NATURAL GASInvestors are becoming cautiously more bullish on U.S. gas prices, anticipating prices have already dropped so low the balance of risks is tilted strongly towards the upside.

Purchases over the three most recent weeks totalled 225 million barrels, among the largest increases over any three-week period in the last decade. As a result, fund managers held a combined position of 515 million barrels (34th percentile for all weeks since 2013) on April 11, up from just 289 million barrels (6th percentile) on March 21. But the pace of buying slackened noticeably last week as most of the short positions that existed in late March had been closed out. By April 11, total shorts had been reduced to just 125 million barrels (7th percentile) as bearish investors were squeezed out of the market. Fund short positions in NYMEX WTI were reduced to 24 million barrels, the lowest for almost six months, and down from 127 million barrels three weeks earlier.

The buying came as OPEC+ announced cuts totalling more than 1 million barrels per day on April 2 and after fund managers had already purchased 61 million barrels the previous week. Purchases centred on crude, in both Brent (+73 million barrels) and NYMEX and ICE WTI (+60 million barrels), with small sales of European gas oil (-2 million) and U.S. diesel (-3 million) and no change in U.S. gasoline. CRUDE SQUEEZEWith its surprise announcement, OPEC+ successfully squeezed the shorts in crude petroleum, with bearish positions reduced to the lowest for 11 weeks since late January. Since March 21, funds have purchased a total of 174 million barrels of crude, the fastest rate since December 2019 and before that September 2017. Bearish short positions were cut by 113 million barrels while fund managers added 61 million barrels of new bullish long positions.

This marked a sharp turnaround after fund managers sold a total of 281 million barrels over the two preceding weeks, the fastest rate of selling for almost six years. Most of the buying came from the closure of previous bearish short positions (-48 million barrels) rather than initiation of new bullish longs (+13 million). Buying was concentrated in NYMEX and ICE WTI (+49 million barrels), U.S. gasoline (+14 million), U.S. diesel (+5 million) and European gas oil (+1 million) with sales of Brent (-9 million). Short positions in NYMEX and ICE WTI were slashed (-51 million barrels) but no new bullish positions were established and in fact long positions were trimmed marginally (-2 million). U.S. GAS POSITIONSFund managers are becoming less bearish about the outlook for U.S. gas prices following the full re-opening of Freeport LNG’s export terminal.

Hedge funds and other money managers sold the equivalent of 142 million barrels in the six most important contracts in the seven days ending on March 21, after selling 139 million barrels in the week to March 14. Fund managers have slashed their combined position to just 289 million barrels (6th percentile for all weeks since 2013) from 570 million (46th percentile) on March 7. The fund community liquidated 163 million barrels of previous bullish long positions in the two most recent weeks, while establishing 115 million barrels of new bearish short ones. The most recent week saw heavy sales across the board, including Brent (-63 million barrels), NYMEX and ICE WTI (-48 million), U.S. gasoline (-15 million), U.S. diesel (-6 million) and European gas oil (-10 million). Anticipating the erosion of the surplus, funds have bought the equivalent of 774 billion cubic feet in the last seven weeks.

LONDON, March 22 (Reuters) - Portfolio investors dumped petroleum futures and options at one of the fastest rates on record in the early stages of the banking crisis, as traders anticipated an increased probability of a recession hitting oil consumption. Hedge funds and other money managers sold the equivalent of 139 million barrels in the six most important futures and options contracts over the seven days ending March 14. Fund managers have sold a total of 148 million barrels since the end of January, taking their combined position to 432 million barrels (20th percentile for all weeks since 2013). In the most recent week, there were heavy sales of Brent (-65 million barrels), NYMEX and ICE WTI (-59 million), U.S. gasoline (-12 million) and European gas oil (-7 million), with only minor buying of U.S. diesel (+4 million). Related column:- U.S. bank failure places oil prices under pressure (March 13, 2023)John Kemp is a Reuters market analyst.

But the wave of buying spread beyond crude to encompass U.S. gasoline (+11 million barrels), U.S. diesel (+8 million) and European gas oil (+7 million). Chartbook: Investor petroleum positionsThe net position across all six contracts climbed to 575 million barrels (47th percentile for all weeks since 2013), up from 343 million barrels (11th percentile) on Dec. 13. Hedge funds became more bullish about Brent than at any time since May 2019, before the pandemic erupted and upended the oil industry. In the oil market, investors are increasingly sure continued growth will cause supplies to tighten and send prices higher. Unenviable alternatives for 2023 (Reuters, Jan. 26)- Investors surge back into oil on rising economic optimism (Reuters, Jan. 23)- Bullish oil investors look beyond China's COVID wave (Reuters, Jan. 3)- Investors abandon bullish oil positions as recession nears (Reuters, Dec. 12)John Kemp is a Reuters market analyst.

The wave of buying was led by crude (+78 million barrels), especially Brent (+55 million), with smaller buying in NYMEX and ICE WTI (+23 million). The increase in investors’ Brent positions was the largest since August 2018 and the sixth-largest out of 514 weeks since the time series began in 2013. Chartbook: Investors' oil positionsThe sudden turn around seems to have been driven by a combination of low initial positioning and a sudden increase in confidence about the outlook for the global economy and oil consumption. Ironically, the biggest risk to the economy and oil consumption is that the economic revival rekindles inflationary pressures and forces the major central banks to persist in raising interest rates longer and higher. Related columns:- Bullishness on oil ebbs at start of 2023 (Reuters, Jan. 16)- Hedge fund petroleum buying paused over year end (Reuters, Jan. 9)- Bullish oil investors look beyond China's COVID wave (Reuters, Jan. 3)- Investors abandon bullish oil positions as recession nears (Reuters, Dec. 12)John Kemp is a Reuters market analyst.

[1/2] Crude oil storage tanks are seen from above at the Cushing oil hub, in Cushing, Oklahoma, U.S., March 24, 2016. Hedge funds and other money managers sold the equivalent of 17 million barrels in the six most important petroleum-related futures and options contracts over the seven days ending on Jan. 10. Investors sold a total of 29 million barrels in the two most recent weeks, after purchasing 103 million barrels in the two weeks before, according to position records published by regulators and exchanges. The net position in middle distillates is 60 million barrels (48th percentile) but the net position in crude is just 301 million (9th percentile). Sluggish output growth from U.S. shale producers, sanctions on Russia's oil exports, China's eventual emergence from the coronavirus pandemic and depleted diesel stocks are all contributing to eventual bullishness about prices.

LONDON, Jan 9 (Reuters) - Rallying oil prices ran out of steam just before the end of the year as investors turned cautious after two weeks of heavy petroleum buying. Hedge funds and other money managers sold the equivalent of 12 million barrels in the six most important petroleum-related futures and options contracts over the seven days ending Jan. 3. Light selling emerged after funds had purchased 103 million barrels over the preceding two weeks, according to position records published by ICE Futures Europe and the U.S. Commodity Futures Trading Commission. But global distillate inventories remain severely depleted after an unprecedented drawdown between the middle of 2020 and the middle of 2022. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.

The combined position had been reduced to 343 million barrels (11th percentile for all weeks since 2013), down from 579 million barrels (47th percentile) five weeks earlier. In the most recent week, there were continued sales of Brent (-6 million barrels), U.S. diesel (-7 million) and U.S. gasoline (-5 million) and no change in European gas oil. Chartbook: CFTC and ICE commitments of tradersFrom a fundamental perspective, the outlook for oil prices remains mixed. Production cuts by OPEC+, sluggish output growth from U.S. shale, and the eventual reopening of China’s economy are bullish for oil prices. From a positioning perspective, however, the balance of risks has clearly tilted towards the upside, especially in crude oil.

The combined position has been cut to just 358 million barrels (12th percentile for all weeks since 2013) down from 579 million barrels (47th percentile) on Nov. 8. Fund managers sold NYMEX and ICE WTI (-5 million barrels), Brent (-4 million), U.S. gasoline (-5 million), U.S. diesel (-11 million) and European gas oil (-5 million). The net position in U.S. diesel and European gas oil was cut to 49 million barrels (41st percentile) from 75 million barrels (62nd percentile) on Nov. 8. Bullish long positions outnumbered bearish short ones by a ratio of 2.92:1 (52nd percentile) down from 5.40:1 (81st percentile) four weeks earlier. The extremely low level of hedge fund positions in crude has created upside price risk if and when managers attempt to rebuild bullish positions.

LONDON, Nov 21 (Reuters) - Oil prices were hit by an abrupt reversal of sentiment last week, with investors selling at the fastest rate for four months, as the economic outlook worsened and fears eased that the G7 price cap on Russian crude would disrupt its exports. The most recent week saw sales concentrated in Brent (-30 million barrels) and NYMEX and ICE WTI (-19 million) with lighter sales in European gas oil (-5 million), U.S. gasoline (-4 million) and U.S. diesel (-4 million). As a result, Brent futures prices and calendar spreads retreated as traders prepared for a relatively hard landing for the global economy which will likely cut oil consumption absolutely or at least relative to the previous trend. Related columns:- Oil investors set for supply fall to offset weak economy (Reuters, Nov. 15)- Hedge funds tempted back into crude oil market by limited supply (Reuters, Nov. 7)- Oil funds trapped between low inventories and slowing economy (Reuters, Oct. 31)- Oil investors on defensive as recession forces intensify(Reuters, Oct. 24)John Kemp is a Reuters market analyst. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.

[1/2] Crude oil storage tanks are seen in an aerial photograph at the Cushing oil hub in Cushing, Oklahoma, U.S. April 21, 2020. In the most recent week, purchases were concentrated on the crude side in NYMEX and ICE WTI (+19 million barrels) and Brent (+10 million). There was smaller buying in U.S. gasoline (+7 million barrels) and U.S. diesel (+4 million) and no change in European gas oil. As a result, the combined crude position has climbed to 443 million barrels (39th percentile for all weeks since 2013), up from 314 million barrels (10th percentile). Related columns:- Hedge funds tempted back into crude oil market by limited supply (Reuters, Nov. 7)- Oil funds trapped between low inventories and slowing economy (Reuters, Oct. 31)- Oil investors on defensive as recession forces intensify (Reuters, Oct. 24)- OPEC⁺ cut draws hedge funds back into the oil market (Reuters, Oct. 10)John Kemp is a Reuters market analyst.

LONDON, Nov 7 (Reuters) - Prospective disruption to Russia’s petroleum exports from the planned G7 price cap as well as the reduction of OPEC+ production targets are encouraging more hedge funds to build bullish positions in the crude oil market. Hedge funds and other money managers purchased the equivalent of 35 million barrels in the six most important petroleum futures and options contracts in the week ending on Nov. 1. The net position in crude had climbed to 414 million barrels (30th percentile for all weeks since 2013) up from a recent low of 14 million barrels (10th percentile) at the end of September. Since 2013, the median position in crude oil has been just over 500 million barrels, still some 90 million barrels higher than last week. Related columns:- Oil funds trapped between low inventories and slowing economy (Reuters, Oct. 31)- Oil investors on defensive as recession forces intensify (Reuters, Oct. 24)- OPEC⁺ cuts attract funds back to oil market (Reuters, Oct. 17)- OPEC⁺ cut draws hedge funds back into the oil market (Reuters, Oct. 10)- John Kemp is a Reuters market analyst.

The previous four weeks saw two large purchases (+62 million and +47 million barrels) and two large sales (-34 million and -50 million barrels) as investor sentiment see-sawed. The mixed picture continued last recent week, with heavy buying of Brent (+29 million barrels), and smaller purchases of NYMEX and ICE WTI (+6 million) and U.S. gasoline (+6 million). But that was partly offset by small sales of U.S. diesel (-4 million) and European gas oil (-2 million). But uncertainty is high and confidence is low, with a net position of just 503 million barrels (33rd percentile for all weeks since 2013). Related columns:- Oil investors on defensive as recession forces intensify (Reuters, Oct. 24)- OPEC⁺ cuts attract funds back to oil market (Reuters, Oct. 17)- Diesel’s gloomy message for the global economy (Reuters, Oct. 14)- OPEC⁺ cut draws hedge funds back into the oil market (Reuters, Oct. 10)- John Kemp is a Reuters market analyst.

Hedge funds and other money managers sold the equivalent of 50 million barrels in the six most important petroleum futures and options contracts in the week to Oct. 18. Sales were the fastest for three months and came after purchases totalling 109 million barrels over the two previous weeks. But there was continued buying of U.S. diesel (+4 million barrels) and European gas oil (+2 million), extending the pattern from earlier in October. Related columns:- OPEC⁺ cuts attract funds back to oil market (Reuters, Oct. 17)- Diesel’s gloomy message for the global economy (Reuters, Oct. 14)- OPEC⁺ cut draws hedge funds back into the oil market (Reuters, Oct. 10)- Oil investors ready for recession (Reuters, Oct 3)- Hedge funds dump distillates as recession risks intensify (Reuters, Sept 26)John Kemp is a Reuters market analyst. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.

Hedge funds and other money managers purchased the equivalent of 47 million barrels of petroleum-related futures and options in the week to Oct. 11. Purchases came after OPEC+ announced on Oct. 5 the group would reduce its combined output target by 2 million barrels per day from November. There was also strong buying of middle distillates (+14 million barrels), including European gas oil (+7 million) and U.S. diesel (+6 million), but sales of U.S. gasoline (-3 million). The total position in mid-distillates has risen to 70 million barrels (58th percentile) from a low of 45 million (40th percentile) two weeks ago. Related columns:- Diesel's gloomy message for the global economy (Reuters, Oct. 14)- OPEC+ cut draws hedge funds back into the oil market (Reuters, Oct. 10)- Oil investors ready for recession (Reuters, Oct 3)- Hedge funds dump distillates as recession risks intensify (Reuters, Sept. 26)John Kemp is a Reuters market analyst.

Fund buying concentrated on crude (+46 million barrels) rather than fuels (+15 million) and came ahead of a decision by OPEC+ on Oct. 5 to cut the group's combined output allocations by 2 million barrels per day. Register now for FREE unlimited access to Reuters.com RegisterPortfolio managers purchased Brent (+27 million barrels), NYMEX and ICE WTI (+19 million), European gas oil (+6 million), U.S. diesel (+6 million) and U.S. gasoline (+4 million). As a result, the combined crude position climbed to 360 million barrels (18th percentile for all weeks since 2013) up from 314 million barrels (10th percentile) the previous week. The combined distillate position increased to 56 million barrels (45th percentile) from 45 million (40th percentile) the week before. Related columns:- Oil investors ready for recession (Reuters, Oct. 3)- Hedge funds dump distillates as recession risks intensify (Reuters, Sept. 26)- Recession will be necessary to rebalance the oil market (Reuters, Sept. 22)- Oil prices and financial markets brace for recession (Reuters, Sept. 15)John Kemp is a Reuters market analyst.

Hedge funds and other money managers sold the equivalent of 8 million barrels in the six most important petroleum-related futures and options contracts in the week to Sept. 20. Funds have sold a total of 186 million barrels over the 16 weeks since the start of June, according to records published by ICE Futures Europe and the U.S. Commodity Futures Trading Commission. (Chartbook: https://tmsnrt.rs/3Stv0XG)The most recent week saw purchases of Brent (+6 million barrels), NYMEX and ICE WTI (+3 million) and U.S. gasoline (+2 million) but sales of U.S. diesel (-3 million) and European gas oil (-15 million). Middle distillates such as diesel and gas oil are mostly used in freight transportation, manufacturing and mining, so they are heavily geared to the business cycle. Fund managers have cut their position in mid-distillates in each of the last three weeks by a total of 39 million barrels as fears of a recession have intensified.

Search resuls for: "ICE WTI"

21 mentions found