Nova Energy Market Insights
Nova Energy Market Insights provides actionable information through the analysis of market trends, pricing models, and industry news. The blog delivers Nova Energy clients a customized perspective into the financial markets that have a direct impact on their business today.
Market Overview WTI futures had a slight extension over the previous weeks rally with prompt month contracts trading as high as $69.56. The fundamental environment remains supportive of oil prices on bullish demand and economic growth, but short-term market conditions warrant a corrective move lower. The rising cost of capital in the US has investors …
Rising Cost of Capital Threatens Bullish Fundamentals Read More »
Market Overview Risk premium that was priced into the energy complex because of tensions with Syria is beginning to sell off. While the coordinated strikes on Syrian chemical weapons facilities by the United States, Great Britain, and France was a clear escalation of intent, selling pressure found its way into the market as traders see …
Sellers Looking for Positions as Global Risk Unwinds Read More »
Market Overview The potential trade war between the US and China dominated price action last week and remains the focus for the coming sessions. Early trading this week has seen a rally in WTI despite the lingering threat. Comments from President Trump early Sunday morning took some of the pressure off commodities as he pointed …
Energy Complex Trends Higher Despite Trade Tensions Read More »
Market Overview Trade war tensions continue to mount as China issues tariffs on US exports worth $3 billion following the issuance of tariffs on Chinese goods in excesses of $50 billion by the US. In prior weeks, the energy complex appeared little phased by further talk of trade wars with WTI posting a significant rally …
Trade War Fears and Equity Performance Weigh Heavily on Crude Read More »
Market Overview Not long after we said the technicals across the energy complex were setting up for bearish momentum, WTI prices broke above key resistance and quickly climbed toward $66. Several geopolitical issues preceded crude’s rally. First and foremost, Saudi Arabia issued comments suggesting the OPEC led supply cut agreement may be extended into 2019. …
WTI Challenges Highs As OPEC Talks 2019 Supply Cut Read More »