Rumored International Supply Disruptions Lift Energy Prices

On April 26, 2013 by TradingDesk

Energy markets surged Thursday on concerns that the alleged use of chemical weapons in Syria would lead to military intervention by world powers, or just the United States. While Syria is not a significant energy producer, its close ties with Iran bring the potential for supply disruption threats to the table. News that Norway may need to shut 7 of its oil fields in June due to pipeline maintenance added to the bullish action on the day.

When the dust settled, diesel prices had risen for the 6th straight day, adding 18 cents to the HO contract during that time. This streak of gains follows a streak of 6 straight losing sessions which had slashed prices by 24 cents. That’s an awful long way to travel in three weeks to end up with a 6 cent price drop and neutral charts that now provide little in the way of direction. RBOB meanwhile looks slightly weaker, and will need to make a run at $2.90 before the end to its bullish action can be called.

CLICK HERE for a PDF of this morning’s charts

 

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